Chilanga Cement, ZCC strategise on how to reduce prices

Chilanga Cement, ZCC strategise on how to reduce prices
09 June 2004

Chilanga Cement Plc and the Zambia Competition Commission (ZCC) have appointed six distributors in Lusaka to supply cement in a bid to stabilise the prices of the commodity.

In a joint statement yesterday after making a survey of cement prices in Lusaka, Chilanga Cement managing director Ian Coulter and ZCC executive director George Lipimile stated that they had selected six distributors on account of their storage capacity and general competence to assist in normalising the supply and pricing of cement.

Of late, some traders have taken advantage of the shortage of cement to inflate prices from the recommended K32,000 to K40,000.

The shortage is due to rehabilitation works going on at the Ndola plant, which are likely to be completed in the next three weeks.

In the new distribution measures, Chilanga Cement and ZCC have identified Dar Farms and Transport International on Mwembeshi road, Sonex Hardware and Zambisa Hardware, both on Cha Cha Cha Road.

Others are Micmar Investments on Lumumba Road, Lusen Distributors off Chandwe Musonda Road and Fort Jameson on the Great North Road.

"These traders shall sell the cement at the recommended price of K32,000 per pocket. Chilanga cement shall endeavour to make sure that the said companies have cement in stock at all times," the statement says.

Coulter and Lipimile stated that the list would be reviewed from time to time until the supply situation improved.

"The measure is temporal and shall continue for the next three weeks until production normalises at the Ndola plant," they said.

However, the statement said the other dealers would continue to receive the normal supply of cement depending on the production levels.

Published under Cement News