Zambian prices expected to come down

Cement prices in Zambia are expected to drop further with new capacity investments being lined up, according to the country's Commerce, Trade and Industry Permanent Secretary, Siazongo Siakalenge.

Mr Siakalenge said two Chinese investors, namely, Jidong Development Group and Sino Construction Limited, had expressed interest in setting up two cement plants in Lusaka and Ndola, respectively.

"Government signed a Memorandum of Understanding (MoU) with the two companies in China in April this year to come and invest in Zambia," he told AllAfrica news.

Mr Siakalenge said Sino Construction was currently in talks with Ndola Lime to establish a US$580m and 1.5Mta  cement plant in the area.

He said Jidong Group had signed a MoU with Buffalo Consortium Limited of Zambia to establish a US$420m and 1.5Mta cement plant in Lusaka.

"The commissioning of Dangote Cement Plant in Masaiti District on the Copperbelt is already receiving attention and more investors have pledged to invest in Zambia," he said.

Mr Siakalenge said the Government had reformed the investment environment and that the country's economy was competitive in the region.

Cement prices in the country had been high in the past. However, prices have dropped by K15 from the time Dangote entered the market and the prices are expected to drop further.

Dangote Cement is doubling its investment in Zambia and is next year expected to set up another 1.5Mta plant in Lusaka.