Sino Zimbabwe Cement challenged by export competition

Sino Zimbabwe Cement challenged by export competition
17 March 2020

Sino Zimbabwe Cement has been forced to restrict its business after being outcompeted in export markets by Dangote Cement. Sino Cement has faced stiff competition in the export markets of Zambia and Tanzania.

Andrew Gona, Sino Zimbabwe Cement's export manager, said: "We used to export, but the growth of Dangote in the region has pushed us out on competitive grounds. They have built modern plants that are low cost right in the heart of what used to be our export market.

"We can supply and sustain demand at any level. Our markets are mainly the Government through the Ministry of Local Government and Public Works and Transport and Infrastructural Development. All Government projects are supplied with cement from here."

Sino Zimbabwe Cement's capacity utilisation remains above the Confederation of Zimbabwe Industries average of 30 per cent but has struggled to source coal supplies because of a shortage of locomotives to bring the coal in. It has a growing need to acquire US dollars to make payments to rail companies.

Published under Cement News