Displaying items by tag: Cimerwa Cement
Rwanda: Upgrade work at Cimerwa’s plant at Bugarama has led to local cement prices rising by up to nearly 50%. The plant has been shut for nearly a month for improvements to its mill, heat exchanger bypass, clinker cooler plate, bag filter and limestone weigh feeder, according to the New Times newspaper. However, the work has been delayed by bad weather and delays waiting for imported parts to arrive.
The total cost of the upgrade project is US$3.3m. An unnamed German contractor has been involved with the work. The plant has a nominal production capacity of 0.6Mt/yr but it currently produces 0.5Mt/yr. Normal supply from the plant is expected to resume by the end of May 2018.
Cimerwa to upgrade Bugarama cement plant
28 February 2018Rwanda: Cimerwa plans to upgrade its Bugarama cement plant in Rusizi District of Western Province. The project is intended to increase the plant’s production capacity and to target demand locally and abroad, in particular infrastructure development, according to the New Times newspaper. However, the subsidiary of PPC has not disclosed how much it is spending on the project. Upgrade work will start in March 2018 and end in April 2018.
At present the 0.6Mt/yr plant has a 65% production utilisation rate. The company expects to reach full capacity in mid-2019, although it claimed in 2017 that it would be able to do this by mid-2018. In 2017 the company sold 0.38Mt of cement, with 10% exported to Democratic Republic of Congo and Burundi. The plant imports most of its coal from Malawi and Tanzania.
Cement imports to Rwanda drop by nearly half in 2016
27 March 2017Rwanda: The Ministry of Trade, Industry and East African Affairs has said that the value of cement imports dropped by nearly half to US$42m in 2016 from US$80m in 2015. The development comes as the government looks for ways to strengthen capacity for local production to meet growing housing demand and reduce expenses on imports, according to the New Times newspaper. Local producer Cimerwa, a subsidiary of South Africa’s PPC, is currently building a new 0.6Mt/yr cement plant in Bugarama, Rusizi, that will be ready for production in mid-2018. It has also called for imports of cement to the country to be restricted.
Bheki Mthembu appointed chief of Cimerwa
11 January 2017Rwanda: Bheki Mthembu has been appointed the chief executive officer of Cimerwa, PPC’s subsidiary in the country. Mthembu has been in post since December 2016, according to the Business Day newspaper. Mthembu holds a degree in chemistry from the University of KwaZulu-Natal. He has worked for PPC since 1995.
Cement means prizes for Cimerwa
16 September 2016Rwanda: As part of efforts to promote consumption of ‘Made in Rwanda’ products, local cement manufacturer Cimerwa has launched a campaign in which more than 100 lucky winners will walk away with cash prizes worth a total of US$85,000. Busisiwe Legodi, the company chief executive officer, said the ‘Buy, Build & Win’ campaign would encourage Rwandans to buy locally-produced cement and enhance the competitiveness of the country's sole cement producer.
Rwanda: PPC says its 600,000t/yr Cimerwa cement plant in Bugarama, Rusizi will reach full production by mid-2018. The greenfield plant is part of its strategy to make 40% of its turnover from outside of South Africa by 2018, according to Business Daily. At present the plant is running at about 60% of its production capacity.
Cimerwa sales volumes have exceeded 100,000t from commissioning to February 2016. Further sales, marketing, and distribution efforts are expected to improve this. The plant sells cement domestically in Kigali and it exports to the Democratic Republic of Congo and Burundi.
PPC is growing cement production capacity in Africa with plants being built in the DRC, Ethiopia and Zimbabwe. Capacity is expected to reach 12.7Mt/yr in 2018 from 8.6Mt/yr in 2015.
Cimerwa calls for cement imports to be restricted
01 March 2016Rwanda: The management of Cimerwa has asked that the government prioritise locally-made cement, according to the New Times. Despite opening a new cement plant in mid-2015 and cutting its prices, the local producer has found it difficult to sell its product despite growth in the construction sector.
"We recognise that while the regional market is large enough for everybody, as local company, and as Rwandan consumers, we all have a duty to contribute to the economy by consuming locally-produced goods and services in order to reduce Rwanda's import bill and build local businesses," said Busisiwe Legodi, the chief executive officer of Cimerwa. The company is also considering setting up depots across Rwanda to further cut its prices.
Cimerwa inaugurates new cement plant in Rwanda
20 August 2015Rwanda: Rwanda's only cement manufacturer, Cimerwa, has inaugurated its new US$170m, 500,000t/yr capacity cement plant in Muganza, Rusizi. Its current plant produces 100,000t/yr.
Increasing production capacity makes it possible for the plant to export up to 30% of its total production to other countries, such as the Democratic Republic of Congo and Burundi. This is expected to drive sustainable economic development and poverty reduction. Exporting cement to neighbouring countries means that Rwanda will be able to reduce its trade deficit gap with at least an additional US$92m/yr in foreign revenues, according to the National Bank of Rwanda (BNR).
Rwanda's current cement demand is estimated at about 450,000t/yr. However, demand across the borders in the Democratic Republic of Congo and Burundi is more than 900,000t/yr.
Legodi Busisiwe, the CEO of Cimerwa, said that the new plant would play a critical role in enhancing competitiveness of the local construction sector through reduced logistical costs. "The new plant seeks to bring on board high quality products that will help boost capacity of the country's infrastructure," he said.
The new plant comes at a time when the Government is trying to narrow the country's trade deficit gap by boosting its exports to the tune of at least 28%/yr. The country's trade deficit improved by 6% from US$723m in 2014 to US$6.78bn during the first five months of 2015. There is hope that cement exports could further narrow this gap.
There is hope among market players that increasing cement production will reduce the high prices of Cimerwa cement in the country. Ephraim Karekezi, a Kigali-based engineer, believes that the new plant will help bring down cement prices. "The cost of construction is high simply because of high prices of raw materials, including cement. Therefore, the new cement plant offers sector players the green light in addressing the question of affordability and propelling the sector towards economic excellence," said Karekezi.
Cimerwa dry cement plant up-and-running
16 July 2015Rwanda: Cimerwa has officially unveiled its new 0.6Mt/yr dry process cement plant. It hopes that the new technology will help it to reduce its production costs and better compete with imported cement from Rwanda's neighbours. The plant previously relied on wet process technology.
Cimerwa has also installed a 15MW peat-powered power plant, which will help it address unreliable electrical supplies that have caused it to suffer high production costs for many years.
Cimerwa launches new corporate identity brand
12 May 2015Rwanda: Cimerwa has unveiled its new corporate identity and product packaging. The new identity uses bold blue 32.5 bags and bright red 42.5 bags.
"We have moved from the previous green to a bold blue reflecting the refreshing nature of the business as we go through a rebirth and repositioning of Cimerwa. The previous logo was a closed diamond; the new logo is open, symbolising the bright future of the company and the journey we will be making together towards the top," said Legodi Busisiwe, Cimerwa CEO.
Cimerwa is finalising work on its new state-of-the-art production facility in Bugarama, Rusizi. The plant, which will boost Cimerwa's manufacturing capacity by six times, will commence production early in the second half of 2015. When fully operational, the plant's production capacity will increase from the current 100,000t/yr to 600,000t/yr.
Legodi said that construction of the plant in Bugarama is now complete and is undergoing structured tests in line with global best practice in the cement manufacturing sector. "The testing phase, which is the most important in preparing the plant for production, will take at least two months. Our aim is to certify that the new plant operates efficiently and effectively when it is running fully and produce a quality cement to meet Rwanda's growing demand," said Busisiwe.
According to Francois Kanimba, the minister for trade and industry, Rwanda's industrial and construction sectors are expected to register strong performances by the end of 2015. "Construction and real estate are key sectors and potential major drivers of future economic growth in Rwanda, mainly due to the high demand for residential and commercial buildings," said Kanimba. "Statistics from the Rwanda Development Board puts total housing needs in Kigali alone at 458,265 dwelling units. The government is keen to develop home-grown industries that will offer locally-made, world class products and, in the process, reduce the large bill we spend on imports."