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Zimbabwe’s cement crisis has deepened in spite of the Government’s decision to allow companies and individuals with free funds to import cement duty-free, reported <a href="https://businesstimes.co.zw/cement-crisis-deepens/">Business Times</a>.
Earlier this month, the Government gave companies and individuals the green light to import 100 bags of cement (5 tonnes) and 100 bags of fertiliser (5 tonnes) duty-free until 31 December 2023.
However, there are few individuals and businesses that have free funds to import cement due to the severe shortage of foreign currency in the country.
A construction executive who spoke to Business Times on condition of anonymity said that many projects have stalled due to the shortage of cement. Said the executive:
<blockquote>
The cement crisis has aggravated as the shortages have continued unabated in the formal sector with most projects stalling for months now.
In situations where the commodity is readily available, the prices are exorbitant ranging between US$15 and US$18 depending on the strength and are beyond the reach of many.
As we speak many projects have stalled and are certainly not going to meet set deadlines due to the devastating cement shortages.
We would have taken advantage of the little rains so far but with no money for imports and acute shortages, we can’t do anything at the moment.
</blockquote>
Builtlink Engineering managing director Perseverance Manyangadze said the acute shortages of cement have hurt the company’s operations. Said Manyangadze:
<blockquote>
We are faced with a situation whereby we are forced to double our costing due to the ongoing cement crisis.
As an example, we were billing a decent house at US$100 000 but with cement shortages and price escalations we are forced to double our costing as cement was sold at an average price of US$10.50 per 50 kilogrammes but now it’s now going for over US$18 per bag.
This means we have to increase our prices to meet the escalating costs. This cement crisis has caused some projects to stop as some of the project owners don’t have money outside their original budgets to continue operations and this has affected our viability.
We hope that the cement-producing companies will bulk up stock during the annual shutdown period from December 15, 2023 to January 15, 2024 to improve the situation.
In the long term, we anticipate that the cement producers get an increased power supply to ramp up production as with enough power supply, local cement is competitive.
</blockquote>
Cement remains unavailable on the formal markets but the product is available in various containers around town and shades where the prices are very high.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Pindula News

Cement Shortages Persist Despite Import Duty Waiver

In a notice on Friday, Gweru based Sino-Zimbabwe Cement Company (SZCC) said it will not be able to produce enough cement for the whole of October due to planned power cuts by Zesa.
SZCC said the planned interruption of supplies “in the whole month of October” will allow Zesa to carry out maintenance work on its 88kv Sherwood-Mvuma feeder, which supplies power to SZCC. Part of the notice by Sino-Zim reads:
<blockquote>Zesa will be cutting power supplies to SZCC for two days a week for the whole of October. These power supply interruptions will affect the production of cement at SZCC as well as all other processes that depend on power supply for their running. Without regular supply of electricity, SZCC is unable to produce and mill adequate cement for its customers.</blockquote>
The Chronicle could not get a comment from Zesa.
More: <a href="https://www.chronicle.co.zw/power-cuts-cripple-sino-zim-operations/">Chronicle</a>

Sino-Zim Unable To Produce Enough Cement Due To Power Cuts

Zimbabwe’s largest cement manufacturer PPC Zimbabwe Managing director, Mr Kelibone Masiyane has assured customers that the current cement shortage is temporary.
Masiyane added that the cement industry in Zimbabwe has the capacity to produce enough for the market. He also said they have not increased its prices and urged retailers not to increase prices to capitalise on the current shortage. Said Masiyane:
<blockquote>PPC wishes to inform customers and other stakeholders that the current cement shortage is temporary. The cement industry in the country has the capacity to produce over two million tonnes of cement per annum, adequate to satisfy the current market demand estimated at 1,3 million tonnes. With regards to escalated cement prices in the market, PPC Zimbabwe can assure customers and other stakeholders that our factory prices have not increased since April 2012 in support of the country’s developmental objectives.</blockquote>
More: <a href="https://www.herald.co.zw/just-in-cement-shortage-ppc-calms-the-market/">Herald</a>

Current Cement Shortage Is Temporary: PPC Assures Customers

In an interview with The Chronicle president of the Confederation of Zimbabwe Industries (CZI) Mr Sifelani Jabangwe said a technical fault at PPC Zimbabwe and Larfarge could be behind the recent shortage of the commodity.
CZI is an umbrella body for the manufacturing sector in the country. Said Jabangwe:
<blockquote>The shortage of cement could be due to the fact that coincidentally there has been a technical fault at both PPC Ltd and Lafarge.</blockquote>
When contacted for a comment, PPC Zimbabwe managing director Mr Kelibone Masiyane kept saying he was in a meeting and would comment later but The Chronicle could not reach him. Gweru-based Sino-Zimbabwe Cement sales and marketing manager, Mr Ibiam Sengwe, said they were producing at 100 percent capacity, which translates to 1 000 tonnes per day.
<hr/>
<h4>Also Read:</h4>
<ul>
<li>
<h3 class="entry-title"><a href="https://news.pindula.co.zw/2018/09/03/cement-shortage-hits-zimbabwe/" rel="bookmark">Cement Shortage Hits Zimbabwe</a></h3>
</li>
</ul>
<hr/>
More: <a href="https://www.chronicle.co.zw/technical-fault-behind-cement-shortage/">Chronicle</a>

Technical Fault Behind Cement Shortage In Zim

A snap survey by The Herald showed that PPC and Lafarge were out of stock in most retail outlets and building material warehouses in most towns and cities.
The two companies control more than 70 percent of the country’s cement market. When contacted for comment by The Herald, Sino-Zimbabwe Cement Company, which has about 25 percent market share, said its products are on the market and readily available although some retailers told the same publication that they do not have them in stock. Sino-Zimbabwe sales and marketing manager Mr Ibiam Sengwe said he was unaware of the shortages. When contacted for comment Concrete and Cement Institute of Zimbabwe member, Mr Monday Moyo, said cement was usually in high demand in summer. Said Sengwe:
<blockquote>I  am not aware that there is shortage of cement in the country. As a company, our distributors are well stocked. If there is a shortage maybe they are referring to other brands. As far as we are concerned, we are moving the product to the market and there is no shortage.</blockquote>
The Standard yesterday published a report that the majority of hardwares and other outlets that normally sell cement were out of stock while prices had been hiked to between $15 and $20 a bag compared to the recommended retail prices averaging $11.50 for PC and $10 for masonry.
More: <a href="https://www.herald.co.zw/cement-shortage-hits-country/">Herald</a>, <a href="https://www.thestandard.co.zw/2018/09/02/panic-cement-disappears-market/">Standard</a>

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