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Blessings Chidakwa Herald Reporter
Two Chinese firms are eyeing a US$1 billion investment in the construction of a cement plant in Magunje near Karoi with an annual output of 2,7 million tonnes and a cement grinding station with an annual output of 900 000 tonnes in Bulawayo.
The projects including a 100 megawatts power plant are earmarked to be completed within two years.
About 5 000 jobs are set to be created as the extra capacity will help ensure that Zimbabwe can continue to meet the rising demand as construction increases.
Labenmon Investments and West International Holdings Limited, a subsidiary of China West Cement Limited, a Hong Kong listed company, yesterday signed a deal to commence the projects.
Speaking during the signing in ceremony, West International Holdings president Mr Wang Fayin said the firm had invested in many countries, including Ethiopia, Uganda, Rwanda, Mozambique, Angola, the Democratic Republic of the Congo, and the Central Asian region.
“The project is divided into two parts, which will be constructed at the same time. The first part of the project will build a new building materials industrial park in Karoi, Zimbabwe, which includes a new dry-process clinker cement production line with an annual output of 1,8 million tons and a supporting 100MW generating unit.
“The second part of the project will build a grinding plant with an annual output of 900 000 tonnes in Bulawayo. The total construction period will last for 24 months, with an estimated investment of US$1 billion,” he said.
Mr Fayin said their firm had built a great number of production lines of cement, glass, gypsum board and other building materials with global advanced level, which is recognised as one of the fastest growing and most influential cement and building materials groups in the African region.
He said West International Holding reached a cooperation agreement with Labenmon Investments Pvt Limited, planning to build a new building materials industrial park in Zimbabwe.
“The industrial park is planned to have a new dry-process clinker cement production line with an annual capacity of 2.7 million tons, equipped with a 100 MW power generation unit and a cement grinding station with an annual capacity of 900,000 tonnes.
“Upon full completion of the project, the cement production capacity will exceed 2 million tons, effectively solving the local demand gap for cement and filling the gap in the market for high-quality cement and high-calcium white ash,” he said.
Mr Fayin said at the same time, it would reduce the foreign exchange expenditure caused by the import of clinker and white ash while meeting the demand for infrastructure construction, industrial smelting and agricultural development.
“In addition, the project will create more than 5,000 jobs for the local community and contribute to the national economic development of Zimbabwe,” he said.
“The overall construction of the project closely follows the four themes of intelligence, environmental protection, green and technology, and with the group’s technical strength and business philosophy of industry-leading, casting high-quality products, the group will endeavour to create advanced, intelligent and green high-quality projects.”
Labenmon Investments local representative Mr Thomas Chidzomba said the deal will change the landscape of Mashonaland West province through building of a cement plant in Magunje, aligning efforts with President Mnangagwa’s Vision 2030 for Zimbabwe’s economic transformation.
“Labenmon Investments is committed to complementing the President’s vision by promoting sustainable investments, exploration, mining, value addition, and efficient management of mineral resources.
“Our choice to establish a plant in Magunje is strategic, aiming to foster rural industrialization, thereby contributing to the overall development of the region and the realization of Vision 2030,” he said.
Mr Chidzomba said the project holds the promise of transforming rural communities from mere economic spectators to active participants.
“By creating employment opportunities for over 5 000 individuals and producing 2 million tonnes of cement annually, we are poised to be the largest cement producers in Zimbabwe and beyond.
“We will not only lower construction costs but also contribute significantly to infrastructural development, rural industrialisation and ultimately enhancing Zimbabwe’s gross domestic product,” he said.
Mr Chidzomba who has roots in Hurungwe and a deep connection to the rural lifestyle, he recognizes the imperative to uplift Magunje community.
“I extend my gratitude to Labenmon Investments for their partnership with West International Holdings, fostering a noble initiative that aligns with our collective commitment to national development,” he said.
“Special appreciation goes to President Mnangagwa and the Government of Zimbabwe for fostering an environment conducive to investment. The doors of opportunity are wide open, and together we can realize the vision of making Zimbabwe an upper-middle-income economy.”
Online Reporter