Features of logistics in the Russian cement market

The article presents and analyses data on the logistics costs level in the Russian cement market and on cement rail, road and water transportation in 2007-2010. While the more important factors during the pre-crisis period were speed of delivery and complete supply of required volumes, now the users try to cut down on the delivery distance as much as possible and use other methods to reduce their logistics costs. Nevertheless, the share of these costs in the cement price is still significantly higher than in early 2008, in view of a substantial increase in the cost of logistics services against a cement price level decrease.

Author: O.M. Kiyutsina

Section: Review

Keywords: cement prices; logistics costs; cement transportation; delivery distance; cement import