New Uganda cement plant construction launched

The DAO Group has launched construction of Uganda’s third cement factory in the Baduka district in the east of the country with a groundbreaking ceremony in the presence of President Yoweri Museveni.

The plant will have an initial capacity of with a 750tpd plant which will increase to 2500tpd in the medium-term and 5000tpd in the long-term, according to reports by Business Week.

The other two cement companies operating in the East African country are Tororo Cement and Hima Cement. The latter is owned by Bamburi Cement of Kenya and is part of the Lafarge group. The two cement works have a combined capacity of 1.9Mta.

Uganda's president Yoweri Museveni, who commissioned the new factory, lauded the investors for putting their trust in Uganda.

He said cement industries have transformed the economy especially in the areas where they are located.

"Cement factories have helped us reduce poverty in areas like Kasese and Tororo," he said.

DAO Africa Finance and Administration Manager Hussein Jingo said their total investment in the factory is US$150m.