Ghana: Production at the Diamond Cement Ghana Limited (DCGL) at Aflao, Ghana, has slumped in the face of recent competition from cheap imported cement.
The Management staff of DCGL refused to comment on the issue. A contract agent of the DCGL stated that the company had a serious marketing problem and has adopted a bonus regime on recent purchases to entice clients.
According to local press, DCGL is not currently in full production and has resorted to alternating production days to allow for the glut in the market and the factory to be cleared.
"Production is done for three days, then it is stopped for a while and resumes for another three days and so on. The cut in production is 40% or thereabouts," stated an anonymous dealer. The source said it appeared interplay of pricing and proximity could be working against DCGL. Competing imported products may have some official support in terms of low taxes at the seaports, making those products cheaper.