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New Cement factories development and news

54748 Views 89 Replies 31 Participants Last post by  abnet
New cement factories expected to shrink gap

Local cement producing factories that are under final stage for commissioning are expected to shrink the gap between demand and supply in the coming six months.

The country’s booming construction industry increased cement demand by 12 percent per annum starting from 2004, but the figure is currently way above 12 percent. “The current cement demand rate is higher than the previous growth rate,” one expert involved in the sector said.

Currently, local factories including small scale factories produce about 2.7 million ton of cement annually, while the estimated demand is over 8 million ton per annum.

The construction boom in the last three years, that triggered high cement demand, forced the government and some private companies to import the product. Though the imported cement was delivered to the market along with the local product, the market still did not settle down.

The gap between the high demand and short supply led the price of cement to scale up to 400 birr per quintal from the 250 birr price per quintal on the Addis Ababa market.

“The significant increase in cement production in the coming year will settle the market instability and fill the gap,” the expert added.

The new cement factories and others expansion that are expected to commence production in the coming few months will increase the supply of the product hence decreasing the wide gap that exists between demand and supply. This will actually force the price to decrease considerably.

The state-owned Mugher, the largest cement factory in the country, is currently expanding in order to increase its annual production to 2.4 million tones from the current 900,000 tones starting from the beginning of December 2010.

Private cement factories that are under construction or those that have finalized their projects are expected to minimize the cement demand gap by half along with Mugher’s new expansion, which is being constructed around Tatek Military Camp, 12km west of Addis Ababa.

One of the major private cement factories, the Chinese Hung Shen, is expected to commence production in November. The plant is located around Gebre Guracha, 165km northwest of Addis Ababa and has the capacity to produce four million tons of cement annually.

Experts say that cement demand is continuing to grow in relation with the rise of the construction sector. “The rapid rise of cement demand is expected to continue in the years to come, because currently most construction projects are halted due to cement shortage,” the experts explained. “When these projects revive, the demand will also grow.”

Currently about 25 local and foreign companies are registered in the country to engage in cement production, but most of them are not feasible, according to the information obtained from the Ministry of Mine and Energy

So we can expect that once these two plants start operating at full capacity,
the total production will go from 2.7 million tons per annum to 8.2 million tons per annum.

Several other cement companies are currently under construction, such as Derba Midroc and Habesha, so the capacity will keep increasing. Hopefully we'll start exporting as well.
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I think manufacturers are being very unwise with their obsession with cement. It's one of the main causes of residential construction failures in the country. The limitations it places on design, time and the excessive cost burden it places on construction are some of the main causes of housing shortage in the country.

When the yearly demand is 80k and the country only outputs 6k, there is a major problem!..and that artificially drives the price of homes through the roof. There is already a huge housing bubble, along with the hyper-inflated price of cement. It will eventually burst.

The sooner someone realizes nothin beats wood frame construction along with magnesium oxide sheets, the better.
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^^ That sort of technology is only just starting to arrive in the country but it apparently is receiving a lot of positive interest from construction companies.

It will take a while though before it takes off. In the meantime cement is needed.
I think this one also belong here.

Addis Fortune

The thriving construction industry is increasing the demand for cement, but the increased prices is not a result of only normal supply and demand dynamics because traders and brokers are exploiting the excess demand for their own financial gain, writes MAHLET MESFIN, FORTUNE STAFF WRITER.

Internal Price Fixing Eschewing Cement Market

Ashenafi Bekele, 32, a father of one, went shopping for cement to construct a three-storey house for his brother, who resides in Switzerland, on a 300sqm plot, located around Ayat in Bole District, on Wednesday, February 23, 2011.

Upon entering a shop, Ashenafi inquired about the current prices and, after haggling a little, purchased 80ql of Jemmo Ordinary Portland Cement (OPC) at 400 Br per quintal, instead of the initial asking price of 415 Br. However, he was not happy with the brand.

“The district administration has written a letter to Mugher Cement Enterprise to order 250ql, but they said they have too many orders to fill and cannot help me,” he told Fortune.

Mugher cement costs 450 Br per quintal at the shop where Ashenafi made his purchase at Megenagna, a huge increase on the price at the factory’s 215 Br per quintal.

“Our lease agreement stipulates that we must commence construction within six months, making it difficult to wait for Mugher,” he said. “This situation and prices forced me to buy Jemmo.”

For the previous two weeks, a quintal had cost 370 Br, claimed Ashenafi, expressing surprise, not that prices are increasing, but at the rate at which they are doing so.

The country’s construction industry is thriving and big government projects like dams, condominium housing units, and road construction are underway, increasing the demand for cement.

The government has further plans to increase the national road network from the existing 49,000km to 136,000km, build a 2,000km railway line, and construct additional housing units to raise their number from the current 213,000 to 700,000, as part of the Five-year GTP. These projects are estimated in the plan to increase the demand for cement to 27 million tonnes per annum by 2015.

National demand is currently estimated at around 11 million tonnes. However, the combined total capacity of the 11 companies producing Ethiopia’s cement can only supply three million tonnes to the market annually, according to research conducted by the Ministry of Trade (MoT).

However, this discrepancy between the supply and the demand is not the problem for Ashenafi.

“I can buy 1,000ql from one cement shop here in Megenagna,” he told Fortune. “The product is available but the traders and brokers raise the price by only making a phone call.”

Traders across the city collude to keep their prices the same, so that a specific brand cannot be found at a cheaper price elsewhere and create price competition among traders.

“The MoT has no control over the cement distributors as most of them do not have licences,” an architect who has worked in the construction sector for 15 years told Fortune on condition of anonymity.

Individuals and government institutions who obtain cement are selling the product in large quantities and there is no mechanism with which the government can monitor whether the requested amount is used for the stated purpose, he claimed.

“The cement market is not governed by healthy rules of demand and supply, as the Prime Minister claimed,” he said. “Rather, it is dictated by illegal wholesalers, retailers, and brokers who control the market through use of their cell phones.”

This control over the market is confirmed by sources in the Ministry of Industry (MoI).

“All these irregularities in the cement market are occurring due to certain stakeholders using the excess demand for financial gain,” according to Nuredin Mohammed, director of Trade Registration and Licensing at the MoI. “The Addis Abeba City Trade and Industry Bureau gives out trade licences for wholesalers and retailers of cement. But monitoring the sources from which they obtain the cement they sell is the responsibility of the MoI, while the Ethiopian Revenues and Customs Authority (ERCA) should control whether the traders are using VAT receipts or not.”

The ministry is not lax in executing these duties, claimed sources inside the MoI.

“The ministry follows up on the cement that is allotted for major projects, like those in the manufacturing industry,” sources inside the MoI told Fortune. “There must be a mechanism to control the traders as well.”

Over the past four years, cement consumption has risen by an average of 35pc each year, well above the growth rates seen during this period for both overall GDP growth (11pc) and the construction sector (10pc). This annual growth rate is expected to remain almost the same for the next five years.

“Mugher prioritises the receivers of its cement, and the government, investors, real estate developers, and NGOs have a preference,” claimed a member of the company’s management who was not authorised to comment. “Yet, the factory satisfies only five per cent of the total demand from government developmental institutions.”

State owned Mugher Cement and private companies Messebo, owned by the Endowment Fund for the Rehabilitation of Tigray (EFFORT), and National Cement SC are the top three producers with a combined capacity of around 1.6 tonnes per year.

Hawaei Plc and Debresina Business Industries have been banned from manufacturing cement since January 21, 2011. This came after their products were found to be below standard by the former Ethiopian Quality and Standards Authority (EQSA) during a surprise inspection made on nine of the local factories. Since the inspection, another four companies have been working under stringent supervision by experts of the authority at their respective factories.

This situation is contributing to the shortage, according to sources at the Ethiopian Conformity Assessment Enterprise (ECAE), the new quality control branch of the the former EQSA.

“It is assumed that traders will increase prices if the ECAE announced that factories have been prohibited from producing,” an official at the enterprise, who is not authorised to comment, told Fortune.

While the production of certain factories has been stopped or limited, others are aiming to increase their production.

Mugher, Messebo, Derba Midroc, and Jemma cement factories are carrying out expansion projects, according to a document obtained from MoI. Upon being completed in 2012, these projects are expected to boost the production capacity by 2.9 million tonnes, according to estimations in the document.

As part of its expansion, Mugher is constructing a new factory around Tatek Military camp, located 12km west of the capital city.

“The project, which is being constructed as a total cost of 138.3 million dollars by Sinoma, a China based company, is to start trial production within two weeks and will start producing for the market soon after,” Elias Kifle, project manager of the construction, told Fortune. “The supply problem will be solved once the new expansion project comes online as it will produce a lot of cement for the market.”

Aside from the local companies, 25 companies have been registered to engage in cement production in Ethiopia, out of which 10 are foreign companies. These include Super Sunrise Industrial Plc, which has an investment capital of 9.5 billion Br; Sunrise Industrial Plc, with a capital of 8.3 billion Br and the capacity to produce three million tonnes per annum; and North Holding Plc, with a capital of five million Birr and 7.8 million tonnes annual production capacity.

Most of these are to be located in at Semen Shewa, Amhara Regional State, and Dire Dawa Town.
Yet, obtaining cement from foreign sources does not end there.

In order to meet the government’s demand for cement, the Ministry of Finance and Economic Development (MoFED) signed an agreement, in November 2010, with Maple Leaf Cement Factory, a private company based in Pakistan, to import OPC.

Since January 2011, the government has received 41,000 metric tonnes of cement out of the 1.5 million metric tonnes it had ordered from Maple Leaf, which was established in 1956 and is engaged in manufacturing and marketing cement with a total capacity of 3.6 million tonnes per annum. The cement is being allocated to large government construction projects.

However, an increased supply being allocated for government projects is unlikely to make a difference to small cement users like Ashenafi, who may remain subject to prices being set artificially high by traders.

Habesha Cement to Link Quarry, Town by Road
Company accepted bids for machinery to begin site clearing, construction of road

Habesha Cement SC accepted bids, on Friday, March 4, 2011, to rent machinery and vehicles to begin clearing the site for its factory and for the construction of a road between its quarry and the nearest town.

A total of 20 million Br has been set aside by the company for the construction of the road, according to Zelalem Admasu, manager of the contract administration and procurement department for the company, which was formed in September 2008 by Eskinder Desta, Nigeru Mulalaem, and Mersha Alemu, with a capital of 600,000 Br.

The road will lead from Goro Town of Western Shoa Zone, Oromia Regional State, to the quarry from where raw materials will be transported to the cement factory it plans to construct in Holeta Town, located in the same zone.

In September 2010, Habesha Cement, which has more than 15,000 shareholders, awarded a 79 million dollar contract for the engineering, procurement, and construction (EPC) of the factory to Northern Heavy Machinery Industries (NHI) Shenyang Co Ltd, a Chinese engineering company. At the time, the entire construction of the cement factory was estimated by the company to cost around 100 million dollars.

The machines the company wants to rent for clearing the site for the road are bulldozers, graders, excavators, rollers, loaders, as well as dump, water, and fuel trucks, according to Zelalem. Habesha plans to perform the cite clearing and road construction work by itself, he said.
However, the bid for the supply of the machines with which these works are to be preformed is not limited to a single company.

“We do not require one bidder to present all the machines,” he told Fortune. “As long as the companies have a valid business licence and VAT registered, many can win the tender.”

The budget set aside for the road includes hiring consultants for the design and supervision of the construction; a tender had been floated for this and the technical proposals made by the bidders are being evaluated, according to Zelalem.

The five consultancy companies who bid for the contract are C-Tech Engineering Co, Construction Design SC, Compass Aeped Consulting Plc, Pure Consulting Plc, and Classic Consulting Engineering Plc.

Addis Fortune
BIYO, MUGHER | Mugher cement factory expansion | In Progress

This news is from 2008 :D
Mugher expansion to ease cement shortage
By Groum Abate
Monday, 21 April 2008 11:42

About half of the expansion project of Mugher Cement Enterprise launched with an investment of 1.4 billion birr, has reportedly been completed.

The project is expected to play a significant contribution towards improving the severe shortage of cement that has hit the country repeatedly.
Mugher Cement Enterprise has been producing 3,000 tons of cement daily and would have the capacity to produce over 7,500 tons daily upon the completion of the expansion project next year, which will enable it to annually produce 1.4 million tons and create over 300 permanent jobs.
A sever cement shortage has hit the country and forced a halt to small scale construction in the city, after the government banned those who allegedly import cement with black market foreign currency.
Amazingly, the price of cement is stable without any change during the last couple of weeks.
Mugher Cement Enterprise, the biggest player out of the five cement factories in the country, could only meet five percent of the total demand.
According to a survey done by Mugher during the last Ethiopian fiscal year, the country’s demand for cement is 17.8 million tones annually, whereas the country’s total production is only limited to 1.9 million tones per annum.
Mugher cement factory accounts for the lion’s share of the cement market in Ethiopia with a production capacity of 900,000tn along with Dire Dawa cement factory with 72,000tn production per annum, Messebo cement factory with a capacity of producing 700,000tn annually and the new entrant, Abyssinia Cement a subsidiary of Abyssinia Steel.
Derba Midroc, sister company of Midroc Ethiopia; Ethio Cement; Jema Plc; and East Africa are also in the pipeline to start construction of cement factories. Other companies have also either started construction of factories or were granted land for cement factories, including Star Business Group, Nyala Metals, DH Geda, and National Cement Factory among others.
Furthermore, Nigeria’s leading industrial conglomerate, Dangote Group, who controls about two-thirds of the Nigerian cement market, signed contracts worth 1.2 billion dollars in February with China’s Sinoma International to built cement plants in Ethiopia, Democratic Republic of Congo, Equatorial Guinea, Tanzania, Senegal and Zambia.
Update on this one.
Now after three years they are saying 95 percent completed and the cost reached 1.5 billion birr :bash:
Home News Mugher Cement Project nearing completion

Thursday, 28 April 2011 09:12

AMBO (ENA)-Expansion of Mugher Cement Factory being undertaken at a cost of 1.5 billion birr is nearing completion, the Factory said.

Factory Manager, Eng.Mekonnen Zergaw told ENA Tuesday that 95 per cent of the construction of the project has so far been finalized.

He said the project will help raise the factory’s production capacity from the existing 2000 tones per day to 5000 tones.

The project created 400 new jobs.

The Ethiopian Herald, Thursday, April 28, 2011
abnet, thanks for keeping us updated.

Seems like importing cement from countries such as Pakistan won't be needed in the near future.
Ethiopian cement factories to double capacity amid construction-industry boom.
Ethiopian Cement Plants to Double Capacity Amid Construction-Industry Boom
By William Davison - May 20, 2011 8:04 AM ET

Ethiopia will more than double its cement-output capacity after a new factory and two enlarged plants begin production later this year amid a building boom in the Horn of Africa country, a government official said.

The increase is expected to help end the need for imports by as early as next year, according to Shimeles Wolde, head of the Chemical and Allied Industries Directorate in the Industry Ministry. In recent years, Ethiopia imported about 1 million metric tons of cement annually to meet demand of about 8 million tons, Shimeles said in an interview.

“In 2012, there should not be that much need for importing cement,” Shimeles said today in Addis Ababa, the capital. “In 2012 or early 2013, supply and demand should be balanced.”

Ethiopia licensed 36 companies including Lafarge SA (LG), the world’s biggest cement maker, and Dangote Cement Plc (DANGCEM), Nigeria’s largest company by market value, to help it meet a target of producing as much as 27 million tons of cement annually by 2015, Shimeles said. Demand for cement may be met by the end of next year, when the completion of 22 projects takes annual production to 13.5 million tons from 2.7 million tons now, he said.

Ethiopia’s economy expanded an average of 11 percent over the past seven years, International Monetary Fund data shows. The government is targeting growth of as much as 14.9 percent over the next five years. A construction boom in Africa’s second-most populous nation, led by state investment in low-cost housing, roads, dams and universities, has left domestic supply short of demand, which is increasing at as much as 25 percent every year, Shimeles said.

‘Encourage Private Sector’

“We plan to encourage the private sector,” he said. “If there is a gap and the new investor does not come, we will invest. Otherwise it’s open to the private sector.”

Derba Midroc Cement, owned by Ethiopian-born Saudi billionaire Sheikh Mohammed al-Amoudi, plans to start operations at its new 2.5-million ton plant in September, said Chief Executive Officer Haile Assegide.

The expected completion in the next two months of expansions to state-owned Mugher Cement Enterprise and the ruling Ethiopian People’s Revolutionary Democratic Front’s Messebo Building Materials Production Plc will add another 1 million tons, according to Shimeles.
Plant Cost

Al-Amoudi’s plant near Chancho, 70 kilometers (44 miles) northwest of Addis Ababa, cost $351 million and is expected to reach full production capacity in the first quarter of 2012, Haile said in an interview on May 13. The International Finance Corp., the World Bank’s private lending arm, provided $45 million for the project, according to the company’s website.

“We are very confident, unless we have some disaster,” Haile said.

Derba Transport, an affiliate of Derba Midroc, has ordered 1,000 Volvo AB (VOLVB) trucks for $141 million that can each deliver 40 tons of cement to buyers from the factory, according to Haile.

Although it has large, “high-quality” limestone deposits and plentiful water supplies, Ethiopia’s per capita cement consumption of 35 kilograms (66 pounds) per year is very low by international standards, Shimeles said.

“For developing countries cement consumption is an indicator of development,” he said.

Even if the 2015 target is met, the 300 kilograms per capita consumption achieved will still be less than the global average of 390 kilograms, Shimeles said.

To contact the reporter on this story: William Davison in Addis Ababa via Nairobi at [email protected].

To contact the editor responsible for this story: Antony Sguazzin at [email protected]
Messob cement factory expansion about to finish :cheers:

Last Updated 06/06/2011

Messebo Aims to Reach Full New Capacity This Month

Commissioning expansion of cement factory to increase daily clinker production by 4,000tn

Following the completion of Messebo Cement Factory’s expansion in March 2011, it plans to complete the commissioning of the expansion work to increase its daily production capacity of clinker with 4,000tn by the end of this month.

The commissioning cost around 2.3 billion Br and is to increase the factory’s current daily production from 3,000tn of clinker to 7,000tn.

Messebo initially commissioned work on the cement factory in 2001, after an initial design study was made by the Tigray Development Agency (TDA). ENKA, a Turkish company, constructed the factory at a cost of 1.3 billion Br.

The factory’s expansion commenced in April 2009 and was completed after 24 months by Hefei Cement Research & Design Institute (HCRDI), a Chinese company engaged in the research and development of cement production technology and equipment.

Haltach Consultancy Co, an Indian company based in New Delhi, was hired as a consultant at a cost of 1.6 million dollars for 20 months after a bidding process.

“Since the completion of the expansion project, the factory has increased its daily production capacity by 900tn,” Haileselassie Beyene, head of public relations at Messebo, told Fortune. “However, unforeseen circumstances like the increase in the price of furnace fuel and other inputs have forced the factory to increase the price of a quintal of its cement from 200 Br to 260 Br.”

The plant was expanded with the belief that the booming construction sector would absorb the products of new cement factories, according to the public relations head of the factory which is located 780km north of Addis Abeba in Tigray Regional State.

“Our location is strategically positioned to cater to the nation’s northern mountainous terrain,” said Haileselassie. “We supply the Amhara and Tigray regional states with cement for irrigation projects.”

Messebo has a projected total capacity to manufacture 840,000tn of cement annually but is working at 75pc of its capacity and would probably produce only 630,000tn of cement this year, according to data obtained from the Ministry of Industry (MoI).

The factory’s client base consists primarily of projects funded by the government in the Tigray, Amhara, and Afar regional states as well as in Addis Abeba.

Mugher Cement Factory, the biggest cement producer in the country, supplies mostly the Oromia and Southern regional states as well as the capital. National Cement Factory, which is located in Dire Dawa Town, supplies mostly the eastern regions, especially Somali Regional State, with cement.

Like Messebo, both Mugher and National Cement are working at 75pc of their capacity with Mugher estimated to produce 657,000tn of cement while National Cement I expected to produce 112,500tn this fiscal year, according to the study by MoI.

Ethiopia’s annual cement demand is expected to increase from eight million tonnes to 27 million tonnes while annual cement production is expected to increase from the current three million tonnes to 13 million tonnes by the end of 2014/15, according to the study that was published in January 2011.

This would leave the country with a shortage of 13.6 million tonnes by the end of 2014/5, according to the data.

Messebo sells its cement whole and is focused on meeting local demand, according to Haileselassie. However, in the near future when new cement factories come online, it would start exporting, he claimed.

As9de from Messebo, Derba-Midroc Cement Factory and Jemma Cement Factory are also carrying out expansion projects, according to a document obtained from MoI.

Upon being completed in 2012, these projects are expected to boost the country’s production capacity by 2.9 million tonnes.

As part of its expansion, Mugher is constructing a new factory around Tatek Military Camp, located 12km west of the capital.

Upon the completion of its expansion projects, Mugher is expected to have an annual production capacity of 1.4 million tonnes of cement by the end of 2014/15, according to MoI, which also pegs the annual production capacity of Messebo at an expected 1.4 million tonnes that year.

The new entrant to the market, Habesha Cement, is expected by MoI to annually produce 790,000tn of cement.

Habesha laid the cornerstone for its cement factory on May 13, 2011, in the Oromia Regional State. Northern Heavy Machinery Industries (NHMI), a Chinese company, was awarded the engineering, procurement, and construction (EPC) contract of the factory, in September 2010.

Question, whos development is this? (Cement factory?)

Coordinates: 9.021957,38.638262

on New Ambo road, before Menangesha and way before Adis Alem

Im not sure if it is Habesha Cement, I know they have their site near Holeta which should be within that same area (a little further west I believe) but just wanted to confirm if anyone here knows. And if it is Habesha, I had no idea they were this far into construction...
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I think it's Habesha Cement. It's definitely not Midroc since that's on the way to Sululta and it's not the Chinese one because that's down South.
I think its the new expansion factory of mugher cement factory since it looks like in tatek military camp area.
Yeah Im suspecting it could be habesha as well, but I forgot all about the Mugher expansion, your right abnet that could be it also:

Preparations are underway to install the clinker production machinery at Mugher, while the cement mill would be installed on 20 hectares of land around the area commonly known as Tatek 10-kms west of Addis Ababa.


While looking for other ideas, I ran across some other stuff I had forgetten.Apparently, Dangote of Nigeria is planning to build a cement factory as was Lefarge of France. Not sure how far along any of these projects are now though.

Dangote To Invest $250 Million Into Ethiopian Cement Industry

Lafarge setting up cement plant in Ethiopia


Anyway I'll probably move this thread to cement development since it fits that topic...
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Lalibela Strives to Meet Cement Demand
Cement factory expects to produce 1.2 million tonnes cement annally.

Lalibela Share Cement Factory, a subsidiary of Tiret Endowment, has started selling shares to the general public on June 30, 2011. The sale of shares will continue until June 30, 2012, it announce.

Lalibela has made a public offering of 246,000 shares, with each share valued at 5,000 Br, with the aim to raise 1.2 billion Br. A minimum of three shares must be purchased, and the maximum number of shares that can be purchased is 52,800 shares. Lalibela plans to raise 880 million Br, 40pc from bank loans, and 1.3 billion Br, 60pc through the sale of shares, to reach a target of 2.2 billion Br.

The company’s prospectus touts that shareholders can expect a return of 2,130 Br in yearly profits for every 5,000 Br in shares, as earnings are predicted to be no less than 563 million Br in yearly profits. Share purchases must be made in three phases, with 40pc of the share payments paid initially, 30pc paid in six months, and the final 30pc should be paid in the third and final phase, according to Lalibela.

The cement factory will commence construction on June 2012 in Dejen, 229 km from Addis Abeba, on a 3,000ht plot of land. The factory envisions producing 1.2 million tonnes of Ordinary Portland Cement (OPC) and Portland Pozzolana Cement (PPC) in Dejen, on an annual basis.

“The raw materials will be local because of the factory proximity to the Abay Gorge, which has an abundence of limestone,’’ according to Serawit Amene, general manager of Lalibella Cement.

The project requires 928,200tn of limestone, 163,800tn of clay, 252,000tn of pozollan, and 84,000tn of gypsum, which can easily be found in the region. When operation is in full capacity, it will create jobs for 380 employees, the company claims.

The country’s demand for cement is currently higher than 11 million tonnes, and yet there was a 8.8 million ton gap between the demand and supply in 2011. The GTP target for 2015 is to increase production capacity to 27 million tonnes.

Cement production in the country is currently handled by 11 companies, which produced a total of 2.2 million tonnes in 2009/10, according to research conducted by Ministry of Industry (MoI) in 2010. The consumption of cement has increased by an average of 30pc in the four years before 2009, according to the research.

State owned Mugher Cement, Messebo, owned by the Endowment Fund for the Rehabilitation of Tigray (EFFORT), and National Cement, a private company, are the top three producers.

The factory will start full capacity production in 2014, after having an international auction for the supply and instalment of the machines. ‘'The main vision of this factory is to contribute to the supply of affordable cement, which is hard to find in the country,’’ according to Serawit.



Muger receives instruction to build a new cement factory

Saturday, 17 September 2011 09:33


Muger Cement Factory has been instructed to build a new cement factory by the Ministry of Finance and Economic Development (MoFED). The new factory will have the capacity of producing double what it is currently producing. MoFED ordered the building of the new factory after Muger finalized the expansion project it was undertaking in June 2011 which is expected to have a total production capacity of 1.7 million tons.

The new factory is expected to have double the present production capacity.


continued at Reporter
also posted a video about the completed expansion in post #10 (although the vid doesnt seem to be working at the moment)

Habesha Cement signs loan agreement for new factory

deal sealed

Pictured above are Mesfin Abi (Eng.), CEO of Habesha Cement and Tadesse Hatiya.

Habesha Cement became the recipient of the largest loan extended by the Development Bank of Ethiopia (DBE) to a single project from the private sector when it signed a 1.52 billion birr loan Friday at the Intercontinental Hotel.

continued at Reporter
Nigeria's Dangote to build cement plant in Ethiopia

ADDIS ABABA (Reuters) - Nigeria's Dangote Group, which has seen a rapid expansion on the continent, has signed an agreement to set up a $400 million cement plant in Ethiopia, state media said on Thursday.

The deal was signed on Wednesday between Dangote's president and CEO Aliko Dangote and officials from the Ethiopia's Oromiya region, where the plant will be constructed with an aim of producing two million tonnes per year.

The project is scheduled to be finalised in two years time, Ethiopian Television said in a report.

Dangote, Africa's most successful businessman, controls about two-thirds of the Nigerian cement market and seeks to expand his interests in the world's poorest continent.

Dangote has also invested in Ghana's 1.2 million tonnes per year Tema Cement Factory, and other plants in Senegal, Zambia, Tanzania, Democratic Republic of Congo and Equatorial Guinea.
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