Nigeria’s Cement Independence is Possible in 2012

07 Feb 2012

The newly appointed Chairman of Ashaka Cement Plc, a subsidiary of Lafarge, Umaru Kwairanga, has declared that it is possible for Nigeria to attain self-sufficiency status in cement production in 2012.

Kwairanga said, with concerted efforts being made by cement manufacturing companies towards capacity improvement, both Government and the industry’s target of attaining self-sufficiency in cement production this year is elusive, but “it is possible
Minister of  Trade and Investment, Olusegun Aganga

By Crusoe Osagie

 and achievable”.

On the part of AshakaCem, the Chairman said that presently the company contributes about five per cent of the cement needed in Nigeria.

He also revealed expansion plans by the company to increase its present production capacity from 1 million tonnes to 1.3 million tonnes per year. He added that the company is also targeting an increase in its market share beyond the current 5 per cent.

The new board chairman commended the efforts being made by the government and stressed that AshakaCem was committed to complementing government’s contribution to the growth of local cement production towards achieving self-sufficiency and increasing our foreign reserve.

He stated that the company, being the only producer of cement in the North, is unique in many ways, that apart from effectively covering the market over there, the company is connected to the railroads and also produces coal which it uses as a source of energy for production; a ‘novelty’ in the sector.

Kwairanga also stressed that the company would not relent in promoting competitiveness in the cement sector in order to establish a win-win situation for both producers and consumers.

Also speaking at the media briefing, Lafarge’s Country Chief Executive Officer for Nigeria and Benin Republic Mr. Jean-Christophe Barbant, said that self-sufficiency by Nigeria would be achieved this year because cement importation neither guarantees regular quality nor provides jobs, noting that local production however has succeeded in addressing these two challenges.

He said AshakaCem can be described as a star of the North, but he noted that the company is not concentrating its presence only in the North of the country but all over the South as well as Abuja.

Another notable feature of AshakaCem, Christophe added, is the operation of its own coal mine and utilisation of coal in the production of cement, which speaks of the spirit of innovation in the company and an improvement in the traditional reliance on the oil and gas sector for energy.

The new Chairman said he would tap from the experience of Lafarge and try to move the organisation from the point it is today. He also said the company would work towards increasing its market share by growing with the market, which he noted was making a steady climb.

He gave assurance that AshakaCem would not disappoint Lafarge as its major shareholder and other shareholders, noting that no investment made in the company will be a loss. “I want to assure the investing public that at the end of the day everyone is going to be very happy,” he said.

He also assured the company’s host communities that the presence of AshakaCem will bring development to them, by creating jobs, awarding scholarships, building classrooms, sponsoring sports competition and provision of healthcare. He also said that the company recently launched a paediatric ward in one of the hospitals in the community.

The media briefing was called to present Kwairanga to the public as the new chairman of the Board of Directors of AshakaCem Plc.

His appointment followed his election at a recent meeting of the Board in Gombe state. Before his appointment as the new Chairman, Kwairanga, a professional with several years of experience in the capital market, banking and the real sectors, had served as a member of the Board for five years.

He is also the Group Managing Director and Chief Executive Officer of Finmal Finance Services Limited and a member of the Board of several companies including, Central Securities Clearing Systems Ltd, and Gombe State Investments Co Ltd, amongst others.

Kwairanga holds first and post-graduate degrees in Business Administration, Corporate Governance and Finance respectively. He holds the traditional title of Sarkin Fulani of Gombe.

Commenting on his appointment, Kwarainga expressed appreciation to the Board of Directors and pledged his commitment to work tirelessly in promoting the vision of AshakaCem and all stakeholders saying that his experience in the Money and Real Market will be relevant in his new position as Chairman.

Also commenting, Christophe said that Kwairanga, as a native, is the best man for the position adding that he is most qualified especially at this time in the history of the company. He stressed that his over five years’ experience working on the board, puts him in the best position to realise the possibilities of the company.

Chief Executive Director of AshakaCem Plc, Mr. Neeraj Akhoury, also said the company is proud to have a professional in the person of Kwairanga as the Chairman of the Board, adding, “We promise to support him and the Board to reach our objectives”.