Tanzanian cement producers are being urged to open their own depots in remote areas to bring down retail prices. Dr Cyril Chami, Minister for Industry, Trade and Marketing, said the time had come to ensure cement prices are uniform across the country.
"Although the manufacturing firms incur transport costs in shipping the product to the market, they dispose it at retail prices that are not affordable to the ordinary people," said Dr Chami. He said producers should establish their own depots to “ensure equitable retail prices of the products in all of the regions.”
Tanzanian cement demand is expected to continue growing this year. A recent report by Tanzanian Securities Ltd stated: "We expect demand to grow at 18% if the retail business, infrastructure development and mining investments are sustained and the economic momentum quickly return to pre-global financial crisis and its subsequent recession.”
The report said the market share stands at retail (60%), business sector (20%) and infrastructure and mining sectors account for 20%, respectively.
Source: All Africa News
