Rising cement consumption signals growth in East Africa
Posted on : Monday, 5th October 2015
East Africa is one of the world’s fastest-growing marketplaces for construction opportunities and building materials. Significant projects are under construction across East Africa, including Ethiopia’s $4 billion hydro-power dam on the Blue Nile River and Kenya’s Sh195 billion ($13 billion) railway that will link the Port of Mombasa to the Rwandan capital of Kigali via Uganda.
In Rwanda, CIMERWA, the only cement company in Rwanda that mines raw materials, produces clinker concentrate, and packs and sells cement for general and civil construction, has spent Sh17.85 billion ($170 million) on a new modern dry process production plant with a capacity to turn out 600,000 tonnes of cement per year. In addition, Ethiopia is predicted to be the fastest-growing country in the world over the next three years and the government of Kenya has earmarked $55.6 billion for infrastructure development. These East African infrastructure projects are the key to unlocking the full economic potential of the region. Recognising the importance of these projects and the vital role they play in the future of the region, many of East Africa’s leading project owners who are paving the way for the transformation of the region’s built environment are set to converge at Totally Concrete East Africa this month at the Safari Park Hotel in Nairobi, Kenya. Busi Legodi, CEO of CIMERWA in Rwanda will be at the event to discuss the state-of-the-art cement plant commissioned in Rwanda and its contribution in the region. James Mworia, CEO of Centum Investment, will provide an update on the Two Rivers development and the role of mixed-use real estate in the local marketplace. Eng John Kipchumba Tanui, CEO of the Konza Technopolis Development Authority and Silivester Kasuku, CEO of the LAPSSET Corridor Development Authority will also be there to highlight opportunities and successes brought about by two of Kenya’s most important developments now underway. Because African infrastructure lags behind that of other developing countries and is characterized by missing regional links and stagnant household access, the future of world demand for cement over the next 10 years will largely be driven and determined by development rates and build on the African continent.
