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Burkina Faso opens new cement plant with Chinese support, challenging Dangote’s operations


Key Points

  • The CISINOB SA plant, producing 2,000 tonnes daily, adds competition to Dangote Cement, strengthening Burkina Faso-China economic ties.
  • Dangote unveils a $400 million Ethiopia expansion and revives a 6M-tonne plant in Nigeria, reinforcing its market dominance.
  • The company’s revenue hits N3.58 trillion ($2.4 billion) in 2024, despite rising costs and Pan-African losses.

A new cement plant, Société Industrielle Sino Burkina de Ciments SA (CISINOB SA), has been inaugurated in Laongo, Plateau-Central region, adding fresh competition to Burkina Faso’s cement market. The facility will rival the selling and distribution operations of Nigerian billionaire Aliko Dangote’s Dangote Cement Burkina Faso S.A, a subsidiary of his flagship company, Dangote Cement Plc.

New cement plant strengthens Burkina Faso-China ties

With a production capacity of 2,000 tonnes per day, the new plant is expected to create hundreds of jobs for Burkina Faso’s youth. The facility was inaugurated by the country’s interim military president, Captain Ibrahim Traoré, who described it as a symbol of a strong and mutually beneficial partnership between Burkina Faso and China.

“It is with legitimate pride that I inaugurated today, March 20, 2025, in Laongo, the cement plant of CISINOB SA. With a production capacity of 2,000 tonnes per day, it will provide employment opportunities for hundreds of young people in our country,” Traoré said in a post on X. He emphasized that the project reflects a partnership that respects Burkina Faso’s sovereignty while fostering economic growth. “To all friends of Burkina Faso, we remain open to sincere partnerships that respect our sovereignty.”

Burkina Faso’s new cement plant reshapes market

The plant, a joint venture with Chinese investors, is part of Burkina Faso’s broader push for economic growth, independent of Western influence. The new facility is expected to strengthen the country’s infrastructure and boost its construction sector. Its entry into the market also puts it in direct competition with Dangote Cement Plc, the dominant player in the region.

Meanwhile, Dangote Cement continues to expand across the continent. Aliko Dangote recently unveiled a $400 million plan to revive a second production line at the Mugher cement plant in Ethiopia, which will double its annual capacity to 5 million tonnes.

In Nigeria, work has restarted on a 6-million-metric-ton-per-year cement plant in Itori, Ogun State, now set for completion in November 2026. Spanning 533 hectares, the Itori facility will raise Ogun State’s total cement production capacity to 18 million metric tons per year, cementing its status as Africa’s top cement-producing region.

Dangote Cement revenue jumps 62% in 2024

Dangote Cement, which is 86 percent owned by Dangote, has played a key role in regional trade, supplying cement and clinker across multiple African markets. The company has been instrumental in shifting Nigeria from a cement importer to a major exporter. Beyond Nigeria, it operates in 10 other African countries, including South Africa, Senegal, Zambia, Ethiopia, Tanzania, Congo, Cameroon, Ghana, Sierra Leone, and Côte d’Ivoire. With an annual production capacity of 52 million tonnes, it remains Africa’s largest cement producer.

Financially, Dangote Cement continues to post strong results. In its latest report, revenue surged 62 percent from N2.21 trillion ($1.47 billion) in 2023 to N3.58 trillion ($2.4 billion) in 2024, driven by higher sales in both its Nigerian and Pan-African markets. Despite increased administrative, selling, and distribution costs—along with finance expenses totaling N700.3 billion ($467.2 million)—the company’s profit climbed from N455.58 billion ($303.9 million) in 2023 to N503.25 billion ($335.75 million) in 2024. However, while its Nigerian operations remained profitable, its Pan-African business reported a loss of N24.37 billion ($16.3 million).

Crédito: Link de origem

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