Tanzania cement producers fear cheap imports are damaging their growth prospects

Tanzanian cement producers claim cheap imports are distorting the market, limiting their growth prospects in the continuing construction boom. They say their growth prospects looked bearish despite a growing demand of cement to feed the rapidly expanding construction sector in the country fuelled by significant investment in new and existing infrastructure. Reinhardt Swart, chairman of the Tanzania Chapter of East African Cement Producers Association (EACPA), said the industry is facing contraction an
Quarry Products / August 14, 2015

Tanzanian cement producers claim cheap imports are distorting the market, limiting their growth prospects in the continuing construction boom.

They say their growth prospects looked bearish despite a growing demand of cement to feed the rapidly expanding construction sector in the country fuelled by significant investment in new and existing infrastructure.

Reinhardt Swart, chairman of the Tanzania Chapter of East African Cement Producers Association (EACPA), said the industry is facing contraction and possible job losses in the near future as they are forced to compete with cheap imports at the time their margins are squeezed by overcapacity in the market.

"I am not asking for protection. I'm not asking the government to ban imports. I am asking for the government to create a level playing field," he told India-based Business Standard.

Tanzania's building and construction sector is amongst the most rapidly growing in Africa, leading to increased consumption of cement that has attracted new investments including a US$500 million factory built in the Mtwara region by Nigerian billionaire Aliko Dangote.