How dangote faced stiff competition in kenya which led to failed set up of cement plant

How dangote faced stiff competition in kenya which led to failed set up of cement plant

nyangau mkenya

nyangau mkenya

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2013
ARM Cement takes on Dangote with new Kitui factory
The Nairobi bourse-listed firm will raise up to $300 million (Sh25.5 billion) to fund new plants including the planned unit in Kitui that will produce 8,000 tonnes of cement per day.
read at:ARM Cement takes on Dangote with new Kitui factory


in 2015:
Dangote sparks fight for Kitui limestone mines.
Africa’s richest man Aliko Dangote has sparked a fresh battle for Kitui limestone mines with local cement firms as he lobbies residents and the county government for land deals.

Mr Dangote, through his younger brother, Ado Dangote, threw a party for land owners in the limestone-rich fields of Mutomo last Thursday in an event that saw Kitui’s political class promise to quicken statutory approvals for the construction of a Sh36 billion cement plant.

The East Africa Portland Cement Company board has urged its management to strike deals with Kitui to secure the coveted raw material
these events look set to re-open the fight for Kitui mines, which four years ago pitted Bamburi against ARM in a court battle for control of a 180-square kilometre piece of land endowed with limestone
read the rest at :Dangote sparks fight for Kitui limestone mines


2016
Hopes of Dangote’s Sh35b cement plant dashed as investor vanishes
Dangote Quarries had promised to put up a Sh34.8 billion cement plant in Kanziku with capacity to produce 5,500 tonnes of cement daily to rival a planned one by ARM Cement worth Sh26 billion in Kyuso Sub County. More than a year after the multinational pulled out of Kitui claiming to have completed phase one of prospecting, neither residents nor the county government have any information on their plans. The community from the limestone rich Kanziku area is now convinced that Dangote Quarries have lost interest in Kitui limestone investment. “We have lost hope in Dangote. He is no longer in our minds. He is a wealthy man but his wealth is not benefiting us at all,” said a disappointed Francis Munyalo, capturing the mood of the residents.

Read at: https://www.standardmedia.co.ke/business/article/2000201814/hopes-of-dangote-s-sh35b-cement-plant-dashed-as-investor-vanishes


2016
Dangote’s firm, Kajiado farmers feud over reps in mining deals
A company associated with Africa’s richest man, Aliko Dangote, has sparked controversy among landowners in Kajiado county after it allegedly picked individuals to represent Mailua farmers in mining deals.
Dangote seeks to mine limestone and marble in Kajiado as he prepares to open a cement plant in Kenya. Dangote Quarries Kenya applied for an exclusive prospecting license for limestone and marble in land measuring about 120 square kilometres and it was approved by the government.
The billionaire announced plans to set up a Sh34 billion cement factory in Kenya in 2013 and has been prospecting in the limestone-rich Kitui and Kajiado counties.
Yesterday, two representatives of the 217-member Mailua Group Ranch said they have not taken lightly the decision by the company to engage an individual farmer and two county administration officers.

Tarayia ole Mantina and Uhuru ole Nchoke, whose farms have been marked for limestone prospects by Dangote, said they appointed six individuals to engage the company in the mining deals, but they cannot trust the three individuals picked by the company.

read at : Dangote’s firm, Kajiado farmers feud over reps in mining deals


2016
Wrangles derail much needed cement plant in Kitui County
Jeremiah Nzuki, a former chairman of Ene Mali (Owners of wealth), a society formed in 2005 to safeguard the vast natural resource says people’s despair worsened with Dangote’s mysterious departure after a hyped entry disguised as a government project. He says fights among cement companies over the control of the resource has contributed to the mess exasperated by envy and disunity among local leaders. “With the aim to undercut the original Ene Mali society leaders and confuse poor members for their selfish gain, a cabal of leaders bribed and poached some office bearers to form a splinter society that approached East African Portland Cement Company even as Bamburi was prospecting for quality and quantity. The cabal’s self-seeking move was the genesis of wars by cementcompanies that have left Kanziko in limbo,” says Mr Nzuki.

Read more at: Wrangles derail much needed cement plant in Kitui County
 
Dangote shakes Kenya’s cement market with Ethiopia imports

Nigeria’s Dangote Cement has started its shake-up of the Kenyan market with imports of the commodity from its plant in neighbouring Ethiopia as it prepares to establish a local manufacturing plant.

Dangote’s targeting of the Kenyan consumer with low-cost cement from Ethiopia is expected to further drive retail prices downward in a market where they have remained static for nearly 10 years.

Importing cement into Kenya is seen as Dangote’s short-term market entry plan as it prepares to establish a local plant in 2019.
“In addition, we have begun exporting cement to neighbouring Kenya,” the company, which is owned by Africa’s richest man, Aliko Dangote, said in its latest trading update.

Dangote said the cement exported to Kenya is priced at about $74 (Sh7,400) per tonne, making it up to 40 per cent cheaper than locally manufactured brands.

The price is expected to incorporate the cost of transporting the cement to Kenya as well as taxes where applicable, while still leaving the company with a profit.

Dangote, which plans to topple LafargeHolcim as the largest producer of cement in Africa, rides on economies of scale to set lower prices that in turn grows its market share. Its plant in Ethiopia has an annual production capacity of 2.5 million tonnes.

However, cement industry sources said the exports mainly covered supplies to road construction projects in northern Kenya.

Dangote also started selling cement in Tanzania early this year after completing its factory in Mtwara about 400 kilometres from Dar es Salaam.

The company cut prices in Tanzania to rapidly gain market share at the expense of rivals, including Kenyan multinationals with a presence in that market.

ARM Cement said in a commentary accompanying its latest results that cement prices in Tanzania fell by a third in the half year ended June as a result of Dangote’s entry.

Dangote said in the trading update that it took market share from its competitors in Tanzania despite incurring higher transport costs since its factory is located relatively farther away from Dar es Salaam.

“We estimate that in June we achieved 23 per cent market share across Tanzania and were the leading supplier of cement in the key market of Dar es Salaam,” Dangote said.

The Nigerian firm’s price in Tanzania stood at about $80 (Sh8,000) per tonne in June, undercutting its competitors by more than 20 per cent.

The company is expected to replicate its lower-pricing strategy in Kenya when it starts to produce cement locally in 2019.

Dangote, which already has a licence to prospect for limestone in Kitui, says it has revised the upcoming factory’s annual production capacity to three million tonnes from the previous 1.5 million.

It has incorporated two majority-owned subsidiaries to house its local limestone mining and cement production operations. It has a 90 per cent stake in Dangote Cement Kenya Limited and a similar stake in Dangote Quarries Kenya Limited. The minority interests in the subsidiaries are not disclosed.

“We are still in the process of finalising agreements for the construction of a factory in Kenya, which we expect to be in operation in 2019,” Dangote said in an earlier trading update.

“Key factors will be good availability of limestone close to Kenya’s centres of demand.” The cost of the plant is yet to be confirmed, Dangote said.

The multinational’s entry comes at a time when cement prices in Kenya have dropped significantly on the effect of increased imports and expansion by established and new players.

The excess capacity, contributed to by the setting up of new firms such as National Cement and Savannah Cement, has seen the average retail price of a 50kg bag of cement drop to Sh670 from the peak of Sh740 in 2008.

The resultant price wars have cut margins, leaving cost cutting and volume sales as the major profit drivers.

Despite the excess capacity, cement firms are planning more expansion in what will further heighten competition. ARM Cement, for instance, intends to build a new clinker and cement factory in Kitui in the medium term, backed by its new single-largest shareholder, CDC Group.

https://www.google.com/url?sa=t&sou...19rAFFjvWz5pXABZA&sig2=o8eCB1F6vDSLfu2xFnQxiQ
 
kilam said:
Dangote shakes Kenya’s cement market with Ethiopia imports

Nigeria’s Dangote Cement has started its shake-up of the Kenyan market with imports of the commodity from its plant in neighbouring Ethiopia as it prepares to establish a local manufacturing plant.

Dangote’s targeting of the Kenyan consumer with low-cost cement from Ethiopia is expected to further drive retail prices downward in a market where they have remained static for nearly 10 years.

Importing cement into Kenya is seen as Dangote’s short-term market entry plan as it prepares to establish a local plant in 2019.
“In addition, we have begun exporting cement to neighbouring Kenya,” the company, which is owned by Africa’s richest man, Aliko Dangote, said in its latest trading update.

Dangote said the cement exported to Kenya is priced at about $74 (Sh7,400) per tonne, making it up to 40 per cent cheaper than locally manufactured brands.

The price is expected to incorporate the cost of transporting the cement to Kenya as well as taxes where applicable, while still leaving the company with a profit.

Dangote, which plans to topple LafargeHolcim as the largest producer of cement in Africa, rides on economies of scale to set lower prices that in turn grows its market share. Its plant in Ethiopia has an annual production capacity of 2.5 million tonnes.

However, cement industry sources said the exports mainly covered supplies to road construction projects in northern Kenya.

Dangote also started selling cement in Tanzania early this year after completing its factory in Mtwara about 400 kilometres from Dar es Salaam.

The company cut prices in Tanzania to rapidly gain market share at the expense of rivals, including Kenyan multinationals with a presence in that market.

ARM Cement said in a commentary accompanying its latest results that cement prices in Tanzania fell by a third in the half year ended June as a result of Dangote’s entry.

Dangote said in the trading update that it took market share from its competitors in Tanzania despite incurring higher transport costs since its factory is located relatively farther away from Dar es Salaam.

“We estimate that in June we achieved 23 per cent market share across Tanzania and were the leading supplier of cement in the key market of Dar es Salaam,” Dangote said.

The Nigerian firm’s price in Tanzania stood at about $80 (Sh8,000) per tonne in June, undercutting its competitors by more than 20 per cent.

The company is expected to replicate its lower-pricing strategy in Kenya when it starts to produce cement locally in 2019.

Dangote, which already has a licence to prospect for limestone in Kitui, says it has revised the upcoming factory’s annual production capacity to three million tonnes from the previous 1.5 million.

It has incorporated two majority-owned subsidiaries to house its local limestone mining and cement production operations. It has a 90 per cent stake in Dangote Cement Kenya Limited and a similar stake in Dangote Quarries Kenya Limited. The minority interests in the subsidiaries are not disclosed.

“We are still in the process of finalising agreements for the construction of a factory in Kenya, which we expect to be in operation in 2019,” Dangote said in an earlier trading update.

“Key factors will be good availability of limestone close to Kenya’s centres of demand.” The cost of the plant is yet to be confirmed, Dangote said.

The multinational’s entry comes at a time when cement prices in Kenya have dropped significantly on the effect of increased imports and expansion by established and new players.

The excess capacity, contributed to by the setting up of new firms such as National Cement and Savannah Cement, has seen the average retail price of a 50kg bag of cement drop to Sh670 from the peak of Sh740 in 2008.

The resultant price wars have cut margins, leaving cost cutting and volume sales as the major profit drivers.

Despite the excess capacity, cement firms are planning more expansion in what will further heighten competition. ARM Cement, for instance, intends to build a new clinker and cement factory in Kitui in the medium term, backed by its new single-largest shareholder, CDC Group.

https://www.google.com/url?sa=t&sou...19rAFFjvWz5pXABZA&sig2=o8eCB1F6vDSLfu2xFnQxiQ
Click to expand...
. Nowonder nilisikia ki_earthquake leo jioni kama ile ya Bukoba
 
nyangau mkenya, is that stiff competition ama umburula? That same Dangote ameamua ku-double production capacity to 6mln tonnes in Tanzania n he will supply his cement to Kenya from Tanzania
 
Hahaha wakenya me wananiacha hoi eti walitenga dollars million ngapi kuhamisha kiwanda cha Dangote Kenya?

Yaani hamna kitu kinaibisha kama Kenya walichofanya Dangote is straight forward that in Tanzania is here to stay 600 trucks cleared up to enter the country and firm capacity is doubled kazi kwenu wavimba macho.

Wenye wivu wajinyonge mtuache na Dangote wetu.
 
Ni vigumu sana kushindana na Wakenya, yaani uje ututawale wakati sisi ndio tunatawala Afrika Mashariki na Kati. Ukienda Bongo unakuta uwekezaji wetu umezagaa, tumetanua hadi Rwanda yote, Burundi yote, Sudan zote mbili, Uganda ndio usiseme, tumeingia hadi DRC kwa Bakongo halafu Mnigeria ujifanye mjasiri wa kuja kutuchokonoa nyumbani kwetu. Waulize Fastjet wameondoka wenyewe.

Yeye aishie huko Bongo maana hao ndio wa kuliwa ovyo, halafu walikua wameanza kumzingua, mara mkaa wa mawe, mara mitambo, mara sijui kaagiza nini Afrika kusini, mara wapiga dili, mara kikampuni uchwara AQUA, mara Wakenya wamehujumu, mara sijui....yaani hawa jamaa ukiwekeza kwao unafaa kuwa na moyo wa simba. Wataibuka na vituko vya kila aina wakati wenyewe hata wakiwachiwa hawawezi maana ni wavivu na wazembe balaa. Mnijeria katinga ikulu kwa Magu, watamtambua, tena yule ni mjanja sana, atawatafuna kimya kimya wakati anawaachia wakenue meno.
 
MK254 said:
Ni vigumu sana kushindana na Wakenya, yaani uje ututawale wakati sisi ndio tunatawala Afrika Mashariki na Kati. Ukienda Bongo unakuta uwekezaji wetu umezagaa, tumetanua hadi Rwanda yote, Burundi yote, Sudan zote mbili, Uganda ndio usiseme, tumeingia hadi DRC kwa Bakongo halafu Mnigeria ujifanye mjasiri wa kuja kutuchokonoa nyumbani kwetu. Waulize Fastjet wameondoka wenyewe.

Yeye aishie huko Bongo maana hao ndio wa kuliwa ovyo, halafu walikua wameanza kumzingua, mara mkaa wa mawe, mara mitambo, mara sijui kaagiza nini Afrika kusini, mara wapiga dili, mara kikampuni uchwara AQUA, mara Wakenya wamehujumu, mara sijui....yaani hawa jamaa ukiwekeza kwao unafaa kuwa na moyo wa simba. Wataibuka na vituko vya kila aina wakati wenyewe hata wakiwachiwa hawawezi maana ni wavivu na wazembe balaa. Mnijeria katinga ikulu kwa Magu, watamtambua, tena yule ni mjanja sana, atawatafuna kimya kimya wakati anawaachia wakenue meno.
Click to expand...
Mnamtawala nani?
Embu kale unanjaa naona
 
Magonjwa Mtambuka said:
Viumbe duni wanapatikana Turkana.
Click to expand...

Walewaturkana mababu zao walitengeneza vyombo vya kazi(tools) miaka zaidi ya milioni 4 zizlizopita ,wakati huo mababu zako hapo tanganyika,sijui wahadzabe na WABANTU wenzako wakiwa bado katika hali duni kabisaa...ya unyama(NYANI)...YAANI WAKIWA MASOKWE MAHAYAWANI VILE...kabla ya evolution....read about the oldest archaeological discoveries(Turkana boy), by Richard Leakey.
Nina mashaka leo hii na uwezo wenyu wa kufikiri ,nadhani mtakuwa bado hamjawa wanadamu kamili..yaani you havent fully evolved yet.
 
Tim Choice said:
Walewaturkana mababu zao walitengeneza vyombo vya kazi(tools) miaka zaidi ya milioni 4 zizlizopita ,wakati huo mababu zako hapo tanganyika,sijui wahadzabe na WABANTU wenzako wakiwa bado katika hali duni kabisaa...ya unyama(NYANI)...YAANI WAKIWA MASOKWE MAHAYAWANI VILE...kabla ya evolution....read about the oldest archaeological discoveries(Turkana boy), by Richard Leakey.
Nina mashaka leo hii na uwezo wenyu wa kufikiri ,nadhani mtakuwa bado hamjawa wanadamu kamili..yaani you havent fully evolved yet.
Click to expand...
Ha ha ha, mbona unaandika upuuzi mrefu namna hii?
 
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