Chilanga Cement says it has stopped exporting the commodity, in order to meet the increasing local demand.The company says demand for cement in the country is increasing rapidly by the day.
A company Sales Officer told ZNBC news, that the cement company has halted exports, to the Democratic Republic of Congo and Rwanda.
Mr. Banda said last year Chilanga sold 550,000 metric tonnes of which only 130,000 was for export.
it is painfull to note that though we have such high production in our own country the price is too high for us.
The recent increased demand for cement is a healthy sign in the economics of Zambia. It clearly spells out that massive investment in infrastructure is underway. I applaud Chilanga Cement for taking heed to the people’s outcry. That is the way to go!!
Halting of exports is logical enough in the face of increased home demand. You only export after satisfying local demand otherwise your market orientation is twisted. Yet it still begs the question: why should Zambians pay through the nose for a pocket of Chilang Cement whose production imported inputs have been zero-rated (import duty free) by the government? Isn’t this tantamount to subsidizing the French governemnt’s company LaFarge which now owns Chilanga Cment, at the expense of Zambians? If the problem is not with Chilanga Cement Factory(LaFarge), but with the Asians & Lebanese Cement Retailers along Cha Cha Cha and Lumumba Roads, why then doesn’t the government move in to stop the rot on the basis of the established wholesale price provided by Chilanga Cement Factory to all its registered retail distribution agents? Similarly, shouldn’t Chilanga Cement Factory ensure registered retail distribution agents sale the commodity to the general public within the margins of the recommended retail price or else withdraw the distributorship licence? Why should Zambians pay more for Chilanga Cement than Rwandese, Burundese, Congolese, South Africans and Zimbabweans where the commodity is being exported? This is more than just a commercial business interest cliche of supply and demand, rather it’s at the core national resource management and public interest! This matter directly affects our development poverty alleviation agenda and it’s a national security issue otherwise we don’t know our destiny as Zambians.
I agree with Chilufya. Let us see some immediate action taken by both gorvernment and the company concerned to ensure cement prices are brought back to normal for the sake of the overall government objective of poverty reduction. This issue should not just be looked at from the construction point of view, it goes beyond and touches on the livelihood of Zambians. imagine what effect for example an increase in house construction would have on the rentals which are currently artificially so high in the country and have forced the middle class to live in shanty compounds.
I urge government to take this matter seriously and bring sanity to the cement industry. As for Chilanga cement company you can go a step aheard and only allow distributors who will not price the commodity selfishly. Business houses (distributors) should also have a conscience and do things that are right. Please lets work together.
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Hi Bwembya I don’t know if you are the person I am loking for – but are you the son of Alex Chikwanda, Minister of Finance. If so we are Keith and Anne Harding long time friends of your father and now living in France. We woule lie to get in touch with him and would be grateful if you could supply us with a telephone number/address/e-mail where we can contact Alex. Thank you for listening to us. Anne Harding