Dangote ends Nigeria’s Cement importation, exports almost half a million metric tons cement to neighboring countries

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In its 2016 full year audited results presented on the floor of the Nigerian Stock Exchange (NSE) in Lagos yesterday, Dangote Cement sold 8.6 million metric tons of cement outside Nigeria, which is 54 per cent more than what was sold in 2015

LAGOS, Nigeria, February 28, 2017/ — Following continuous increase in its production capacity, foremost cement manufacturer, Dangote Cement Plc (www.Dangote.com) has finally ended the era of Nigeria’s dependence on importation as the company exported 0.4 million tons of the product to other countries in 2016.

In its 2016 full year audited results presented on the floor of the Nigerian Stock Exchange (NSE) in Lagos yesterday, Dangote Cement sold 8.6 million metric tons of cement outside Nigeria, which is 54 per cent more than what was sold in 2015.

The export is significant given that the nation used to be a net importer of cement. As at 2011, Nigeria was one of the world’s largest importers of cement, buying 5.1 million metric tons of foreign cement at huge expense to the country’s balance of payments.

The company’s Pan-African cement plants continued to perform well, contributing significantly to its turnover and profitability.

While presenting the results, the company’s Chief Executive Officer, Onne van der Weijde, assured the investors of better returns on their investment in the Dangote Cement.

According to him: “The new year has started well and we expect much higher profitability in Nigeria in 2017, even though we may not see the volume growth we achieved in 2016. I am confident that we will deliver an even stronger performance in 2017 as we increase market share and extend our reach across Africa.”

The economic challenges notwithstanding, Onne revealed that Dangote Cement achieved sales and revenue growth of 25 per cent and consolidated its position as Africa’s leading producer of cement.

While sales from Nigerian operations increased by 13.8 per cent to nearly 15.1 million metric tons at a growth rate far higher than the country’s GDP, which fell in 2016, its total revenue leaped by 25.1 per cent to ?615.1 billion

To the delight of the investors, Dangote Cement earnings per share increased by 4.5 per cent to ?11.34 and the dividend payout to the shareholders also increased significantly by 6.3 per cent to N8.5 kobo per share.

It would be recalled that Dangote Cement is Africa’s leading cement producer with nearly 46 million metric tons’ capacity across Africa. It is a fully integrated quarry-to-customer producer with production capacity of 29.25Mta in Nigeria; Obajana plant in Kogi is the largest in Africa with 13.25Mta of capacity across four lines; Ibese plant in Ogun State has four cement lines with a combined installed capacity of 12Mta and Gboko plant in Benue state has 4Mta.

The company has also concluded arrangements to build new factories in Ogun State (3-6Mta) and Edo State (6.0Mta). Through its recent investments, Dangote Cement has eliminated Nigeria’s dependence on imported cement and has transformed the nation into a net exporter of cement serving neighbouring countries.

In addition, the company has invested several billion dollars to build manufacturing plants and import/grinding terminals across Africa. Its operations are in Cameroon (1.5Mta clinker grinding), Congo (1.5Mta), Ghana (1.0Mta import), Ethiopia (2.5Mta), Senegal (1.5Mta), Sierra Leone (0.7Mta import), South Africa (3.3Mta), Tanzania (3.0Mta), Zambia (1.5Mta).

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28 COMMENTS

  1. This company is very dodgy. Yes it has s rich owner but the investment of Dangote in zambia will end in tears.

    I see things that when they come to fruition – you all wonder how I knew.

    Thanks

    BB2014,16

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    • The wealth son of Africa making a huge economic impact on his country while our own stolen riches from privatization are making baseless cries over their election lose.

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    • While bread has failed to even point at single pitratrine in chawana that he built before becoming president of pf.

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    • For once i agree with you. This investment in africa is huge, but in zambia, hes employed foreigners, and pays less compared to like companies. Hes using his own trucks, hence no business boom for our truckers

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    • IWE KA MUSHOTA TALALA; IKALA TONDOLO MUFANA. DONT SCARE AWAY INVESTORS. HAD IT NOT BEEN FOR DANGOTE, HOW WOULD A BAG OF CEMENT BE COSTING YOU NOW?

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    • MWAICE, MUSHOTA, LET DONGOTE SERVE AFRICA LIKE NO OTHER SON OF AFRICA HAS DONE IT BEFORE, ECONOMICALLY. DONGOTE IS ONE OF VERY FEW AFRICA SAVER. OTHER AFRICAN INVEST IN THE WEST WITH THE MONEY THEY STILL FROM AFRICA ESPECIALLY OUR WESTERN AFRICAN BROTHERS. DONGOTE HAS VOWED TO INVEST WHOLE HIS WEATH IN AFRICA IN ORDER TO HELP AFRICA BECOME SELF-SUFFICIENT. SO, WHAT’S WRONG WITH THAT, MUSHOTA?

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    • @max
      @Mushota doesn’t need 2be Prophet 2predict. U just hav 2b analytical of trends in building constructions esp in Nigeria.
      Building collapses in Nigeria:
      Synagogue Sept2014, Lekki Mar2016, Uyo Church collapsed killing 160 NOv2016, Titanic in Ebute Meta Jul2006, Jos school Sept2014 etc. All built with Dangote cement coupled with none adherence to building standards.

      Either Dangote cement is not strong for extreme weight bearing or the contractors ignore recommended cement ratio mixes!

      But why high collapses in Nigeria? Stick 2our own Lafarge cement esp Superset!

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  2. Meanwhile here in Zambia dependence on kaloba has skyrocketed. This is what happens when you have failed government like pf which forces dull and lazy citizens like that prostitute mushota to become an economic refugee doing menial works for old people in Europe.

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    • i copied this from one of the bloggers …..” The wealthy son of Africa making a huge economic impact on his country while our own stolen riches from privatization are making baseless cries over their election lose”. Hehehehe ba NEZ,continue crying.Meat is expensive yet kachema owns half the cattle in zambia.yet he says he can fix the economy. Why doesn’t he fix the prices of commodities he is dealing in ? Dangote came and cement is now affordable.All those who were building when it was only lafarge can attest to this.How long has HH been wealthy ???..kikikikikikiki

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    • Do you want PF government to give you house that’s when you are going to say PF government is working, I don’t think this person is normal always twist the topic what is your problem, do you think Zambia belongs to people who fights, if that is your motive then go to Congo and see how people are being killed

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  3. @NEZ!!!!!!!!!!!!! Pease it will pay you more for being positive than negative. mune. Ton down. Mushota does not have good comments just like you but to insult is not good.

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    • And yet you claim to be a prophet,kikikikikikiki !Zambia feels sorry for you aswell sir/madam!!

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    • Give us your quality comments you two kaili! I don’t see anything that would attract quality/non-quality comments going by the article itself which is simply highlighting its performance!

      I would 100% agree with if your were referring to NEZ’s ludicrous comments that have dirtied this site ever since he learnt how to use these modern gadgets! With him everything is Politics, that dull cadre!

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  4. @HHovalhead, with your undoubted knowledge where would zambia be now without privatisation. All Countries need external capital. How could Zambia internalize capital inputs when we are having cash flow problems.
    Is socialism the answer. Ask Cuba

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    • You can say that again Ndanje,i will soon be moving into my own house thanks to Dangote.But i have become a vegetarian because Kachema has failed to reduce the prices of beef despite being one of the biggest cattle farmers in ZED.

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    • Yes cement wud hav bn expensive like SIM cards wud still hav bn expensive without Zamtel which many hav shunned! Remember the first per second billing! But what saved expense is greater than your own life?

      Nigerian building collapses:
      Synagogue Sept2014, Lekki Mar2016, Uyo Church collapsed killing 160 NOv2016, Titanic in Ebute Meta Jul2006, Jos school Sept2014 etc. All built with Dangote cement coupled with none adherence to building standards.

      Either Dangote cement is not strong for extreme weight bearing or the contractors ignore recommended cement ratio mixes!

      But why high collapses in Nigeria? Stick 2our own Lafarge cement esp Superset!

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  5. This company is a saviour i tell you. Mphavu cement monopolised the business we had no say everyday they were increasing the bag of cement without thinking about the poor always thinking abt huge profits bt now the price has stabilised thanks to Dangote.

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  6. Dangote means well, let us support his business. We need competition, not monopoly. The consumer price will remain low as a result.

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  7. Only Satan NEZ doesn’t support Dangote just as he doesn’t support good rains but supports army worms.

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  8. Mushota…. Let alone the company is dodgy ….including all the people working for dangote are dodgy.

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  9. Please bloggers understand NEZ best blogger 2016 he is the devils advocate..he gets u all stirred up and and you respond…he sits back and smiles, never understand Best blogger 2016 he is very clever and makes this blog. He is like a fisherman ..dangles a line with bait and sees who bites…. and he gets plenty of fish.kikiki

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