Online Reporter
Sikhulekelani Moyo and Rutendo Nyeve
STAKEHOLDERS have called upon local cement companies to improve production efficiencies and capacity to meet growing domestic demand, emphasising the need to bring in new players to boost supplies.
This follows recent concerns over cement shortages in the market, which have pushed the product price up by nearly 40 per cent, while major projects are said to be slowing down due to local supply gaps.
This situation has prompted the Government to immediately scrap restrictions on the importation of cement to improve availability and curtail rapidly rising prices.
Despite Zimbabwe’s cement industry having an installed production capacity of about 2.6 million tonnes annually, output has been volatile as major producers grapple with operational setbacks, including ageing equipment.
Deputy Minister of Industry and Commerce, Raj Modi, has stated that the Government is aware of the issue and urgent measures are being taken to address it.
“I am aware of the problem that we are facing at the moment in the market. I also went to buy cement in Bulawayo, and they quoted USD$17.
“We discussed this issue with my chief director, and they told me that there is a backlog at the border. So, that is what is delaying them. Some people imported the cement, but it is still at the border; they have not yet been cleared,” said Dep Min Modi.
“At the moment, there is a shortage of clinker used for the manufacturing of cement, and there is also a breakdown in the machinery. So, at present, only PPC is working, and the demand is so high that PPC cannot supply enough to the market.” Deputy Minister Modi assured the nation that import permits had been issued to alleviate the shortage.
Zimbabwe Builders and Contractors Association president Dr Tinashe Manzungu said the product shortage and price increase could delay major projects, thereby hindering the country from meeting some of the National Development Strategy 1 targets.
“We appreciate the efforts by the African billionaire (Aliko Dangote), who was in Zimbabwe last week to get into cement production. It comes at the right time,” he said. “The production line proposal will see more players coming into the market to supply cement,” said Dr Manzungu.
“We urge other organisations or investors that are like-minded to enter this field, as the journey to 2030 is still quite significant, with high hopes and expectations from the nation that things can actually be very positive. For this to be realised, we need more players in the industry.
“The country has not gained much in terms of cement production but has gained significantly in terms of product usage, leaving a gap that needs to be filled by more cement-producing companies, whether through new entities or by existing companies upgrading or scaling up.”
Cement prices in Zimbabwe have surged by 42 per cent over the past two months, driven by a combination of factors, including robust demand from an “unprecedented” construction boom and constrained local and import supply.
Across the country, most hardware shops and cement retailers have run out of stock, citing limited supplies amid growing demand for both individual and corporate projects.
Prices have climbed to around US$17 from US$12 per 50 kg bag, according to a survey by this publication.
The sharp increase has been attributed to soaring demand, the exhaustion of import quotas by some traders, and production challenges among local manufacturers.
Dr Manzungu said this signals a red flag regarding production capacity due to the ongoing cement shortages.
“The effect is detrimental to the NDS1 plans and aspirations, as we are aware that we are just concluding the blueprint,” said Dr Manzungu.
“So, the success of NDS2, which begins in 2026, could be hampered if we do not take action now.
“The other implication is that budget allocations for such projects, whether private or public, are affected by the cement shortage, which prolongs project timelines. When that happens, associated costs from delays also increase.”
While Zimbabwe primarily imports cement from neighbouring Zambia, these inflows have dropped sharply as major importers exhausted their allotted quotas, effectively squeezing external supply just as domestic demand accelerated. Locally, the situation remains precarious.
Khayah Cement, in particular, has faced financial distress and production stoppages, further reducing local stock.
The market remains tight, putting pressure on large infrastructure projects and individual builders alike.
However, relief may be on the horizon as ongoing investments aim to boost capacity. The new Huaxin cement plant in Chegutu, expected to come online in the first quarter of next year, is projected to add 800,000 tonnes per year once fully operational.
Dr Manzungu noted that procuring entities might then suffer the burden of paying more than expected. In other circumstances, if not further approved due to budget overruns, this could lead to work stoppages, which would hamper both quality and outcomes against the budgeted timelines.
“This is the effect of cement shortages, and as a stopgap measure, we expect to have more of our supply chain organisations getting licences to import cement to the country,” added Dr Manzungu.
