Economic Reforms In Edo, Producing Enabling Environment –Dangote | Independent Newspapers Limited
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Economic Reforms In Edo, Producing Enabling Environment –Dangote

Posted: Apr 12, 2016 at 3:00 am   /   by   /   comments (0)

The Chairman of the Dangote Group of Companies, Aliko Dangote, has stated that the economic reforms in Edo State in areas of innovations in rural finance and investment on infrastructure have produced an enabling environment that has furthered a platform for future growth.

Dangote who stated this during the groundbreaking ceremony of the $1bilion cement plant in Okpella, Edo State, testified that the enabling environment encouraged the group to consider Edo State as the right destination for the investment.

He pointed out that while Nigeria is a growing economy, the developmental challenges are quite enormous and will require the combined efforts of government and the private sector to overcome. In the light of this, he emphasized that they are in Edo State to contribute their own quota to transform the economy of Edo State as they have done in other places.

“This project is only one of our several successful projects presently ongoing in parts of the country and in more than 16 other locations in the African continent, in line with our Pan African investment strategy. Last year June, we commissioned our cement plant in Ethiopia, and in August of same year in Zambia and Cameroon. We commissioned our plant in Tanzania in October. We plan to commission very soon, some of our other African plants in Senegal, Congo Brazzaville and South Africa.

“Also last year, in Lagos, we signed a deal valued at $4.34billion, with Sinoma International Engineering Company Limited, for the construction of 10 additional new cement plants across Africa, with one in Nepal, Asia. The combined capacity of these new projects will be 25 million metric tons per annum. By the time all these new projects are completed in the next few years, we will have a total capacity of 81 million metric tonnes per annum. This will make us one of the top six cement companies in the world. We are currently consolidating our cement businesses across Africa in order to reap the benefits of scale. As a matter of fact, our operational offshore cement plants have started to make substantial contributions to our Group revenue”, he said.

He disclosed that there is no doubt that the presence of the plant at Okpella will impact positively on the community, its people and the state. On completion, it is expected to create about 4,500 direct jobs and 45,000 indirect jobs.

Nigeria, he said, is saving $3billion annually for not importing cement because of the investment of local cement manufacturers. The additional investment in the sector will guarantee that they always meet local demand as well as surplus for export and foreign exchange generation.

He specifically said: “Anywhere we operate, there is a multiplier effect as job creation and more entrepreneurs will be created as ancillary services providers. This includes suppliers, mechanics, hoteliers, restaurants, etc. By this investment, Dangote is increasing its production capacity thus maintaining its leadership in the industry. The Okpella 6 million capacity plant will take our local capacity to 35m mtpa, and with the coming on stream of the 6m mtpa Plant at Itori in Ogun State, our local capacity will go up further to 41m mtpa.

“By the time we complete this plant, our esteemed customers in this locality would have greater access to supplies and the new plant here will reduce the distance and time in delivery of products and our customers would continue to enjoy various incentives on purchases as we have been doing. May I on this note express our deep appreciation to our customers for their loyalty and commitment to our Dangote Cement brand 3X.

“While we are in the business of creating wealth primarily, we are not unmindful of the need to touch lives of people. As a company, we have always been conscious of the need to give back to the society as a guarantee for sustainable business success. This has been our guiding business philosophy at all our locations in any country we operate”.