By John Lee.
Ras Al Khaimah-based RAK Ceramics has said it wants to expand its manufacturing operations in Iran.
According to a report from The National, the Abu Dhabi-listed company fully acquired its Iranian business last August, which was financed by the World Bank when it started in 2003.
Nour Eldeen Sherif, an equity analyst at Cairo’s MubasherTrade, said:
“Iranian operations are on hold until the company can provide financing facilities for its plant in Iran, but the banks are too shy to deal with the banking sector there.
“Once this issue is handled, we expect operations to gradually recover as the Iranian ceramics market is huge and promising.”
Volumes are expected to stay low this year in the Iranian plant with use rates at 19 per cent, he said.
(Source: The National)