Nigeria: Cement producers in Nigeria have called on the Federal Government to ban bulk cement imports before the August 2012 deadline set by the government, claiming that the volume of cement currently produced in the country is enough to meet local demand.
"The government should enforce the ban before the August deadline," said Daljeet Ghai, Group Chief Executive at Dangote Cement. "Dangote alone has the capacity needed to meet local demand and sustain supply of the commodity across the nation."
The current production data from the various plants in the country, obtained from Cement Manufacturers Association of Nigeria (CMAN) show that the country's total cement production capacity is now at 22.5Mt/yr while the country's cement consumption is 18.5Mt/yr.
Dangote alone currently accounts for 15Mt/yr while Lafarge Wapco Cement contributes 7.5Mt/yr. Unicem produces 2.5Mt/yr and Ava Cement produces 0.5Mt/yr.
Citing the example of the company's Ibese cement plant as basis for confidence in the ability of local manufacturers to meet domestic demand and still be able to export, Dangote's Ghai said, "The Ibese plant is grinding 0.48Mt/month, while daily production is 16,000t/day at 2400t/hr (6Mt/yr). It started with production of 12,000t/day in February 2012, but barely two months later, production moved up to 16,000t/day, it's full installed capacity."
Vijay Khana, Deputy Director of operations at Ibese Cement added that on a daily basis, the company supplies the market with more than 200,000 bags of cement.
Nigeria's second largest cement producer, Lafarge Cement Wapco, said that it is ready for the import ban. "For sure, I see a ban on cement imports happening," said Lanre Opakunle, Plant Manager at Ewekoro Cement Plant II. "The best thing for Nigeria is for us to manufacture cement here. If we manufacture it here, we create jobs here and we save the economy in terms of foreign exchange."
The CEO and President of Dangote Cement, Aliko Dangote, has said that the company will hold a 'cement import closing ceremony' whenever the ban is introduced.
