China National Building Materials (CNBM) - October 2019

CNBM may be ramping up its capacity in Zambia, but fears of growing overcapacity in the country’s cement sector are forcing prices up as producers fight to stay in business. Zambia’s current cement consumption stands at around 2.2Mta. However, its cement industry has a production capacity of nearer 5Mta and there are no signs of that abating. 

CNBM currently has a presence in Zambia through its subsidiary Sinoma Mpande Limestone Ltd, whose 1Mta integrated plant in Chongew Mpande Industrial Park was commissioned this year. The company is also involved in the construction of Central African Cement’s 2.2Mta works in Ndola, which is due to come online in 2022. Sinoma and CNBI will jointly own 65 per cent of the new plant with ZCCM-Investment Holdings/SinoCast holding the remaining 35 per cent.

But this is just the tip of the iceberg with around 8.9Mta of additional capacity due on stream in Zambia by 2022.