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Dangote Cement maintains strong hold on Nigerian Cement market

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World Cement,

Dangote Cement has maintained its strong hold in the Nigerian domestic cement market, accounting for 65% of the Nigerian market volume, while other African plants’ volumes went up 7.5%, to 7 million tpy.

In the past months, the cement company has expanded its operations across Africa with the coming on stream of the 1.5 million tpy integrated cement plant in Mfilia, Republic of Congo.

Additionally, an acting chief executive officer has been appointed for the company. According the unaudited results for the nine months ended 30 September 2017, the plant, which began operations last month, has doubled the size of the cement sector in the country. The Congo plant brings Dangote to 10 cement plants across Africa.

Analysis of the results indicated that the company recorded strong volumes in Senegal, Ethiopia, and Cameroon. The 1.5 million tpy clinker grinding facility in Douala, Cameroon, sold approximately 938 000 t of cement, indicating an increase of 16.4% than during the same period of 2016. The company attributes the increase in sales to a number of factors, ranging from strong brand recognition, increased point of sales branding, improvements in sales and marketing strategies to higher visibility through trade shows.

Dangote Cement Ethiopia increases sales by 16.8%, to nearly 1.7 million tpy, in the first nine months of 2017, representing capacity use of approximately 88%. The cement plant in Pout, Senegal, sold 1 million t of cement in the period, up by 21.7% from the same period in 2016.

Chief Executive Officer, Dangote Cement, Onne van der Weijde, speaking on the results said, “Our Pan-African operations are performing strongly with excellent sales growth in Cameroon, Ethiopia and Senegal. We are consolidating our success across Africa and have just commissioned our 1.5 million tpy factory in Congo, the tenth country in which we have established operations.”??

“In our key operations in Nigeria we have significantly improved our fuel mix and this has helped increase margins across the Group. It is especially good for Nigeria because most of the coal we are using is mined in our own country”.

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