Dangote Cement Plc, Africa’s biggest cement producer, is expanding into Botswana with a new plant that could lift its operations on the continent to 12 countries.
The plan was disclosed by Emmanuel Ikazoboh, newly appointed chairman of Dangote Cement, at a combined Closing Gong Ceremony and Facts Behind the Figures presentation at the Nigerian Exchange Group on Wednesday.
Earlier this year, founder Aliko Dangote announced a $400 million plan to revive a second production line at the Mugher cement plant in Ethiopia.
With a market capitalisation of ₦8.91 trillion ($5.93 billion) and production capacity of 52.0 million tonnes per annum (Mta), the company already operates in Nigeria, Cameroon, Congo, Ghana, Ethiopia, Senegal, Sierra Leone, South Africa, Tanzania, and Zambia.
“We are fully aware of the challenges in South Africa, which is why we’re opening a plant in Botswana, geographically close to the market,” Ikazoboh said. “South Africa currently imports cement, and while we have urged the government to curb imports, progress has been slow.”
He added that the Botswana blending plant will boost production, improve profitability, and reduce reliance on South African operations.
South Africa, Africa’s most industrialised economy, remains a net importer of cement despite a ban on imported cement for state projects. Imports — mainly from Vietnam, Pakistan, Saudi Arabia, the United Arab Emirates, and Mozambique — rose by 18% in 2023 to 979,000 tonnes, according to Chronux Research.
Local producers have warned that cheap imports threaten jobs and could force plant closures.
Why Botswana?
This southern African nation of over 2.4 million people is transforming its cement industry from a net importer into a potential regional exporter after the government moves to limit imports. PPC Botswana and new entrants such as Cheetah Cement are expanding capacity to meet demand and support job creation.
Last year, the government announced that it would restrict cement imports to bulk shipments of at least 1,000 kg. According to reports, current cement demand is approximately 620,000 tonnes per year, a figure that has seen some decline in recent years.
Capacity growth, profit surge
Dangote Cement plans to raise installed capacity to 66.4 Mta by 2030 through greenfield and brownfield projects. It has already commissioned the first phase (1.5 Mta) of its 3 Mta Côte d’Ivoire plant, while construction of a 6 Mta integrated plant in Itori, Nigeria, is progressing steadily.
Over the past 15 years, the company has invested about $10 billion across Africa. In the first half of 2025, group revenue rose by 17.7% to ₦2.07 trillion ($1.33 billion), with after-tax profit up 174% to ₦520.5 billion ($335.5 million) — surpassing its full-year 2024 profit.
Note: Figures originally reported in naira were converted using average official exchange rates of ₦1,478.9/$1 for 2024 and ₦1,551.2/$1 for H1 2025.
