The Productıon and Sales Data of the TÜRKÇİMENTO Members for 2021 Announced

The Cement Sector Hopefully Expects Measures Agaınst Energy Costs To Be Taken  

In 2021, the production of the TÜRKÇİMENTO Members increased to 78,9 million tons by 9,2% year-on-year. Domestic sales increased by 8,2% and became 60,2 million tons. 77,5% of the cement produced by the TÜRKÇİMENTO members with a total capacity utilization ratio of 71% was consumed in the domestic market, while domestic sales increased by 4,6 million tons. The increase in production was due to the domestic market demand, and the total exports of the sector dropped.   

Fatih Yücelik, Chairman of the Board of Directors of TÜRKÇİMENTO, said, “As the cement sector, we continued our activities in 2021 under difficult conditions, following 2020 in which we achieved a growth of approximately 23%. The total production of our members increased by 9,2% last year. We predict 4% growth in our sector in line with the economic growth target in 2022.”

  TÜRKÇİMENTO, the umbrella association of the cement sector, announced the production and sales figures for 2021. While the cement production of the TÜRKÇİMENTO members that represent 94% of the sector increased to 78,9 million tons by 9,2% year-on-year, domestic sales became 60,2 million tons with an increase of 8,2% in 2021. Around 22,5% of the cement produced last year was exported.   

Fatih Yücelik, Chairman of the Board of Directors of TÜRKÇİMENTO, who announced the sector's data for 2021, said, “As the cement sector, we continued our activities in 2021 under difficult conditions, following 2020 in which we achieved a growth of approximately 23%. Demand, which was delayed in 2018, 2019, and the first half of 2020 when the sector experienced contraction, stepped in through the impact of favorable market conditions and contributed to growth in both the second half of 2020 and 2021. Yücelik summarized the latest data regarding 2021 as follows:

•  While the cement production of the TÜRKÇİMENTO members that represent 94% of the sector increased to 78,9 million tons by 9,2% year-on-year, domestic sales became 60,2 million tons with an increase of 8,2% in 2021.  
• Increase in domestic sales was observed in all regions except the Eastern Anatolia Region.  
• 77,5% of the cement produced by the TÜRKÇİMENTO members with a total capacity utilization ratio of 71% was consumed in the domestic market, while domestic sales increased by 4,6 million tons. The increase in production was due to the domestic market demand, and the total exports of the sector dropped.  
• The total export amount of the cement sector declined by 1,9% to become 30,8 million tons. 18,3 million tons of the exports in question consisted of cement and 12,5 million tons of clinker.  
•  n 2021, the total exports of the cement sector increased by 12,7% on value basis and climbed to 1 billion 256 million dollars. The total export amount of the cement sector dropped by 1,9% and became 30,8 million tons.
• In the light of these data, Turkey continued its position as the second largest cement exporter of the world in 2021. Our most important markets in exportation, which is oriented to more than 100 countries, are the US, Israel, Ivory Coast, and Ghana.  
• With the estimated data of plants that are not members of TÜRKÇİMENTO, domestic market consumption, which was approximately 59,2 million tons in 2020, increased by 5,9% and became 62,7 million tons in 2021.   

WE OBSERVE THE IMPACTS OF THE RUSSIA-UKRAINE CRISIS AS VERY HEAVY AND FAST    

Pointing out that the sector is going through challenging times in 2021, particularly with the increases experienced in energy costs, in the process that started with the pandemic, Fatih Yücelik expressed that as the sector, they started to observe the impacts of the Russia-Ukraine crisis very heavily and fast. Yücelik said, “The meeting we held with Mehmet Muş, Minister of Commerce, last week on the Russian-Ukrainian crisis took place in a very productive and constructive atmosphere. Even if this crisis keeps on in the forthcoming period, the solution-oriented approach of the Minister, the instructions he gave during the meeting, and his statements regarding the measures that will be taken yielded hope for our sector.

Coordination for taking measures concerning the problems brought to the agenda was undertaken by the Ministry of Commerce. Our follow-up of the agenda on this subject is ongoing. As the sector, we protect our hope that this crisis will be overcome, thanks to the instructions given by the Minister.” 

EXPECTATIONS FOR 2022 

Fatih Yücelik provided the expectations of the sector regarding 2022 as follows: “The assumption that 2023 is the beginning of a period in which the impacts of the pre-election uncertainties and the pandemic decline and that new investments will start from the second half of 2022 gives us hope for an increase in our domestic sales. We predict 4% growth in our sector in line with the economic growth target in 2022. Despite this growth, we unfortunately do not expect that the sector will reach the level of 75 million tons of domestic sales at the end of 2017, the year in which they started to contract.”