AFRICA: NIGERIA: Local cement production hits 18m metric tons, says Makoju

Nigeria has recorded a major feat in the utilisation of a major natural mineral resource, limestone, as local production of cement hits 18 million metric tons above the 17 million metric tons local demand. The country also recorded zero importation of cement from January 2012 to date.

Joseph Makoju, president, Cement Manufacturers Association of Nigeria (CMAN), who disclosed this while addressing Mike Onolememen, Minister of Works, on the proposed utilisation of cement for road construction in the country, noted that the country has 58 million metric tons installed capacity of cement.

Makoju, who attributed the achievement to the “backward integration policy” initiated in 2002, explained that the move was geared towards improving local production of cement and reduction in capital flight.

He said, “In 2003, cement production was two million metric tons per year and in that year we were importing about six million metric tons. Importation was at the peak around 2007 at seven million. But as we are sitting here today, I’m happy to report that total local production has gone up to 12.8 million metric tons in 2011 from two million in 2002 and as we are sitting here today, we project local production for this year would be up to 18 to 20 million metric tons. The local demand is projected at about 17 million metric tons, even if the local production for the first time is in excess of local demand.

“I’m also happy to report that for the first time in our history, since January to date, there was no cement importation, so we are in a position where we are phasing-out import and relying on local production. For the total installed capacity, new plants were commissioned in the last two years. Dangote commissioned six million metric tons in Ogun State; Lafarge commissioned 2.2 million metric tons in Ewekoro, Ogun State; Dangote also commissioned a new plant of 5.5 million metric tons of cement plant in Obajana plant 3 and when you put all local production together today we have 58 million metric tons. So, Nigeria has arrived to be recognised as a cement producing country.”

While speaking on the proposal sent to the Federal Ministry of Works on the use of cement for road construction in the country, Makoju who doubles as special adviser to Aliko Dangote, president, Dangote Group, assured that the use of cement for road construction will reduce cost of maintenance at the long run as well as ensure durability of Nigerian roads.

“We believe the success story should impact on other problem areas in this country which is bad roads. Everybody knows the state of our roads; we have about 34,000km roads which is a massive road network using asphalt. Cement is an alternative in road construction. It was restricted to some areas where it was cost effective but most times, in terms of the initial cost, it was expensive than asphalt and that is why it did not have wide application. But all along, the life cycle cost of cement, if you build a road today with asphalt, and concrete, the concrete cost about 10 to 15 percent and expensive at the beginning but 25 years later if you are to add all the cost, and keep the roads motorable, you find out that the concrete life cycle ended up cheaper.”