Tanga Cement Company Ltd (TCCL) has launched construction of a new clinker production line involving an investment of US$165m.
Speaking at the groundbreaking ceremony, Lau Masha, TCCL board chairman, told local press: "Apart from increasing our clinker manufacturing capacity to match the current cement grinding, this project will also reduce cement manufacturing cost, improve quality and increase cement availability,.”
The first phase of the expansion project involved the installation of a second cement mill which increased grinding capacity to 1.3Mta in 2010. "However our clinker manufacturing annual capacity remained at 500,000tpa, with the shortfall being covered by imports that consumed foreign currencies," he said.
The new clinker line is scheduled for completion in the first quarter of 2015.
Cement consumption in Tanzania has been growing at a healthy pace and last year increased by 18.8 per cent to 2.65Mt. Further gains of just over 10 per cent are forecast for 2013 and 2014. While domestic demand growth remains strong, TCCL plans to raise exports to other East African Community member states through the introduction of building depots, including two that are already in operation in Rwanda and Burundi.
