UNICEM to double cement prod with N84bn cement factory

United Nigeria Cement Company (UniCem)’s  construction of a second cement factory in Cross River state will help it double its cement capacity from the current 2.5 million metric tons to 5 million metric tons,  the company’s board chairman, John Coumantaros, has said.

The N84bn cement plant, which is expected to enhance local skills and provide jobs, will also help to push Nigeria’s cement production to over 40 million metric tonnes per annum.

Deputy governor of Cross River state, Barrister Efiok Cobham, said the increased capacity would not only reduce the supply gap of cement but would also reduce its market price.

“The building and construction industry will be a major beneficiary of this investment,” he added.

Speaking at the groundbreaking ceremony of UNICEM Cement Factory in Mfamosing, Calabar, Vice President Namadi Sambo, who represented President Goodluck Jonathan, said investments such as this have helped Nigeria become self reliant in cement production, as the country now has 39.5 million metric tons of cement production.

“From a paltry 2 million metric tonnes of cement hitherto produced locally per annum, by 2013 we have achieved 39.5 million metric tons of installed capacity,” he said.

He attributed this growth to the Backward Integration Policy (BIP) initiated by the federal government in 2002.

Sambo said the success achieved with the BIP would encourage the government to make more favourable policies that would stimulate the country’s manufacturing sector, which he described as the “backbone of the country’s growth”.

He urged UNICEM to work in cooperation with its host community.

“Improving the lives of the people in these communities remains your greatest’ business asset,” he said.

The communities, on the other hand, were enjoined to work hand-in-hand with the company so that the completion of the project could be achieved in record time.

“the government will continue to cooperate with the relevant agencies both public and private to champion meaningful projects and ensure steady progress in our communities,” he said.

Meanwhile, Coumantaros, urged the government to tackle multiple taxation and provide the necessary infrastructure in the power, and transport sectors, especially roads, water and rail to help the ease of doing business.

The construction of  UNICEM cement factory is expected to be completed by 2016.