HeidelbergCement Georgia Fails to Resume Cement Exports to Azerbaijan, but Maintains Production Capacity in Georgia

HeidelbergCement Georgia, German cement concern, has taken no decision on contraction of cement production capacity in Georgia, despite the company has failed to resume cement exports to Azerbaijan.

Akaki Chkhaidze, a company marketing department head, told GBC the Rustavi and Kaspi plants maintain the full-scale production capacity. Moreover, Chkhaidze dismissed the information as if the company intended to leave Georgia.

As reported, HeidelbergCement Georgia suspended cement exports to Azerbaijan in March 2010 after Azerbaijan banned imports of Georgian cements. In the period of March 17-May 20 the company losses have recorded 3 million USD.

Negotiations on Georgian cement exports resumption have been failed several times, Chkhaidze said.

“Azerbaijan warns Azerbaijani companies not to conclude contract agreements on imports of Georgian cement, because they would not be let the consignments to Azerbaijan”, Chkhaidze said.

At the same time, the Azerbaijani government has made no explanations behind the decision, he added.
HeidelbergCement launched operation in Georgia in 2006. The company acquired a 67 percent stake in LLC Georgian Cement. Moreover, at the end of 2006 HeidelbergCement acquired a 75 percent stake in Saktsementi.
HeidelbergCement is one of the major manufactures of cement, concrete and other construction materials worldwide.