Creating competition in the cement market

According to a Government decision, a number of steps are to be taken in order to encourage competition in the cement market currently controlled by a monopoly of a single producer –"Nesher Israel Cement Enterprises Ltd.''. The decision covers a range of topics including unloading of cement, its transportation, the supervision of its prices, its manufacture and import. In addition, the decision includes a number of clauses on ways of handling the cement industry.

This decision is only partially implemented, although the most significant part that has been implemented does not appear in the original decision (number 535) and includes the sale of the ''Har Tuv'' factory to a new player in the industry. The sale has opened the cement market to an additional player while decreasing Nesher's market share. The factory has been sold. Following the sale agreement, a further Government decision was made (number 1960), in which the State suspends most of the components of the original decision for a five year period, as of 2014. Other parts of the original decision that were not suspended, are only very partially implemented in view of a disagreement between the various Government Ministries involved and additional parties that are essential to the implementation of the decision.