Feasibility Study For Starting Cement Production Plant In Tanzania.

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Out of food and beverages and the broads agro-processing segment. The manufacture sector is support primary by element manufacturing with the counting’s cement capacity expanding rapidly in recent years, most significantly after the 2015 market entry of Tanzania.

 

Although supply has risen substantially increased competition has resulted in narrower margins exacerbated by broader industrial issues, including chronic fuel and electricity shortages.

Despite this, the outlook for cement demand is bullish, with expectations of a steady rise on the back of new construction activity although the near term challenges will likely continue to weigh on growth and profit in 2018.

Cement Industry Growth In Tanzania.

Cement production has expanded sharply since the early 2000s supported by robust macroeconomic growth and rising contraction activity According to AIB capital, output reached a compound annual growth rate of 9.7% between 2001 and 2015, starting the period at 900,000 tones. The ministry of finance and planning reported that output rose by 4.3% in 2011 to 2.4m tones, against 2.3m tones in 2010, production.

Increased by 7.1% in 2012 to 2.6m tones, although it moderated in 2013, to 2.4m tones, before growth by 18.1% in 2014 to 2.8m tones. 

AIB capital found that total installed capacity stood at 3.7m tones, in 2015, with production averaging 3.3m tones. Compared to 6.5m. Tones in Kenya, 2.1m tones in Uganda and 800,000 tones in Rwanda.

TPCC and Tanga cement are two of the largest Tanzania cement production, with market capitalization of 84bll and 81.1 bil, respectively, in 2016, while Germany’s Heidelberg cement, Switzerland’s, LafargeHolcim and South Africans Africasam Investment Holdings also operate units in the country TPCC held at 35% market share at the end of 2015, with 1.9m tones per annual (Tpa) of productions, following by Tanga cement cement, with 1.2m (TPA).

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  • Cement plant operation expenses
    The cement market analysis in Tanzania
    Equipment required to produce cement and their prices
    Demand for cement in Tanzania
    Production of cement in Tanzania
    Challenges
    Investment cost of the project and its breakdown

Hussein Boffu runs a consultancy provides business planning, financial forecasts, market research reports, expert analysis and consulting for entrepreneurs and business owners. Reach out to him via email at hussein.boffu@tanzaniapetroleum.com or by calling, texting, or WhatsApp at +255(0)655376543.