Lafarge sees jump in production capacity

BUSINESS REPORTER

Lafarge Cement Zimbabwe says its newly completed Dry Mortar Mix Plant will increase the company’s production capacity as well as the availability of locally produced products thereby cutting on imports.

The installation works for the plant were completed in December 2020 and the official commissioning of the Dry Mortar Mix Plant is expected soon.

“Our newly completed Dry Mortar Mix Plant is set to increase our production capacity from 7 000t per annum to 100 000t per annum,” Lafarge Cement Zimbabwe CEO Precious Nyika told Business Times in written responses.

The Dry mortars stable has products which include the SupaGrow agricultural lime range comprising of SupaGrow Dolomitic Lime and SupaGrow Calcitic Lime. The range also includes a range of tile adhesives, branded SupaFix, which complement the core cement business by being value-added brands.

“The Dry Mortars factory upgrade positions the business to be the largest manufacturer of tile adhesives in the country, which will play a significant role in increasing the number of locally, produced products on the market whilst significantly lowering the import bill,” Nyika said.

The dry mortars business grew by 64% in volumes in the third quarter to September 30, 2020 from the same period in 2019 on the back of an increase in demand for SupaGrow, the agricultural lime range, during the winter land preparations.

“This demand was further compounded by the widespread application of the Pfumvudza agriculture model,” board chairman Kumbirayi Katsande said in a trading update.

Zimbabwe is working on an import substitution programme under the local content policy designed to cut the import bill.

A 2020 manufacturing survey report recommended that manufacturers should develop strong industrial linkages and value chains focus on the domestic market penetration then exports and undertake import substitution by producing own maize, wheat, and soyabeans to save on forex.

A number of companies such as Nestle Zimbabwe have reported a drop in their imports to below 20% from 85% through value chain development.

Related Articles

Leave a Reply

Back to top button