Dangote Cement Plc (DCP) is transforming its transport network to lower delivery costs, extend market reach and turn Nigeria into a regional cement and clinker supply hub. With a target of 8000 compressed natural gas (CNG) and electric trucks by 2027, alongside investment in export infrastructure, logistics is central to converting the producer’s manufacturing scale into sustained growth.

Speaking at the company’s Capital Markets Day, Murilo Silva, head of transport at Dangote Cement Plc (DCP), described logistics as a strategic asset rather than simply a support function. Its importance spans distribution reach, scale, costs and the visibility of Dangote’s brand. “And we will continue to be the backbone of the future growth of the company,” he said.

That ambition requires logistics to match DCP’s pan-African footprint. Its network encompasses more than 10,000 trucks, 51 depots and over 65,000 retail locations, supported by road, rail and maritime connections. Mr Silva highlighted rail use in South Africa, Tanzania and the Republic of Congo, as well as exports from Senegal to Mali. Together, these channels connect integrated plants with customers and grinding operations across national borders.

“For exportation, Nigeria plays a role as the anchor of the system,” he explained. Nigerian cement and clinker exports rose 18.6 per cent to 1.4Mt in 2025. The company recorded 34 clinker shipments from Nigeria that year, around three times the 2022 level, demonstrating its ability to assemble cargoes and secure vessels.

DCP is targeting at least 10Mta of cement and clinker exports from Nigeria. Its Apapa and Onne terminals, in Lagos and the Port Harcourt area, respectively, each have 2Mta dispatch capacity. Expansion at Apapa and plans for a deepwater port at the Olokola Free Trade Zone in Ogun State underpin the next stage of growth. The existing terminals also handle gypsum imports, eliminating third-party terminal charges for Nigerian operations.

Receiving infrastructure extends the reach of this production base. Ghana and Sierra Leone have terminals with 40,000t capacity, while a terminal under construction in Senegal is designed to receive 30,000t vessels. In Cameroon a dedicated 200m jetty allows clinker to be unloaded directly to the grinding plant. Supplying these markets from Nigeria improves utilisation of existing assets and reduces the need to build additional kilns.

On land, DCP faces poor roads, high inland transport costs, unreliable delivery times and limited fleet maintenance services. Its response rests on scale, integration and network density: strategically located plants, depots and branded retail containers shorten haulage distances, while workshops provide engine refurbishment and tyre retreading. Control over these services helps sustain deliveries where external infrastructure is inadequate.

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Fuel is another priority. Mr Silva indicated that it represents approximately 60 per cent of transport costs, with CNG offering savings of around 60 per cent against diesel. DCP is developing its own gas compression and refuelling infrastructure, with supply capacity exceeding 1Msm3 daily. Domestic gas also reduces exposure to imported fuel and foreign-exchange volatility, while lower delivery costs make more distant customers commercially accessible.

The transition is underway. Around 3400 CNG trucks were deployed in 2025, with approximately 3000 scheduled for Nigeria in 2026 and more than 900 already received at the time of the presentation. Plans also include replacing around 1900 Customer Truck Empowerment Scheme (CTES) vehicles with CNG trucks and deploying approximately 155 electric trucks across pan-African operations in 2026.

Customers themselves are part of the transformation. Mr Silva said DCP’s fleet covers all inbound transport requirements and export haulage, while domestic distribution is split approximately 70:30 between the company and its customers. Through CTES, customers acquire trucks with flexible financing and repay them through transporting their cement, strengthening distribution capacity and loyalty. More than 4000 trucks have been provided to customers, according to the presentation.

The presentation envisages distribution of around 2000 CTES trucks by the first quarter of 2027. This should increase responsiveness during peak demand and draw on customers’ local knowledge to reach more difficult delivery destinations.

For DCP, the commercial logic reaches beyond cheaper haulage. A denser, more reliable network keeps cement available, supports the brand and helps distributors serve markets that competitors may struggle to reach economically. Combining customer investment with cleaner trucks and stronger maritime links gives the company a platform to pursue both domestic growth and regional exports.