Mbarara, Uganda | THE BLACK EXAMINER | DEVKI Group, the company behind National Cement Limited, has unveiled plans to establish a second plant in Mbarara District. This new plant, with a capacity of 1.5 million tonnes per annum and an investment of $60 million, will increase National Cement’s capacity in Uganda to 3.5 million tonnes of cement.
Anticipated to become operational by the end of 2024, the Mbarara plant marks a significant milestone in the company’s mission to provide cost-effective cement products to its clientele in Uganda and East Africa.
This new facility complements the existing 2-million-tonnes-per-annum plant located in Tororo. Additionally, with the upcoming commissioning of the 6,000-ton-per-day clinker plant in West Pokot, Kenya in December, National Cement will be well-positioned to supply cement at competitive prices.
The 2018 opening of the Tororo grinding plant of Simba Cement, with a capacity of 1 million tonnes per annum, directly created 300 jobs and contributed to reduced cement prices across the country. The expansion is expected to further enhance accessibility and affordability of cement, especially in Western Uganda and the Democratic Republic of Congo. National Cement aims to decrease prices by at least 25% by 2025.
Lokesh Kumar, CEO/Operations, expressed the company’s commitment to its long-term vision, emphasizing the goal of lowering cement prices, stimulating economic growth, creating more job opportunities, and supporting the construction industry. This expansion aligns with the vision of the President of Uganda regarding industrialization, job creation, and import substitution. The new plant is expected to employ 700 people directly and indirectly.
The high cost of cement has posed a challenge for many Ugandans and East African households and businesses in realizing their construction aspirations. Groundbreaking for the plant is scheduled for early 2024, with production set to commence the same year.
