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Ongoing Infrastructural Projects Bolstering East Africa Cement Market

IMARC Group’s recent report, titled “East Africa Cement Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2018-2023”, estimated that the East Africa cement market reached a volume of US$ 14.4 Million Tons in 2017. The cement market possesses vast opportunities in East African countries on account of soaring population and inflating income levels in the region. This is also stimulating infrastructural activities in both the residential as well as commercial sector. As a result, various foreign investors are diving in the construction sector and supporting the local cement industries by organizing various training programmes. Besides this, the region is also witnessing several technological advancements which is leading to a higher production of cement in the region.

East Africa Cement Market Drivers:

The consumption of cement in Ethiopia has been primarily driven by the federal government’s five-year Growth and Transformation Plan (GTP) which helped the country in achieving around 11-15% annual economic growth between 2010-2015. In line with this, the government invested heavily in infrastructure and transport sectors. Construction of the Grand Ethiopian Renaissance Dam, six rail networks, and hydroelectric projects like Gilgel-Gibe III Dam and Genale Dawa III Dam have majorly boosted the consumption of cement in the region. Moreover, the ongoing construction of Bukasa Inland Port and the development of Entebbe International Airport in Uganda are creating a positive outlook for the cement industry. Thus, East Africa cement industry is envisaged to experience a positive growth owing to the aforementioned factors as well as some of the other forces like improvement in fleet management and rising penetration in remote areas. Looking forward, the market volume is projected to reach US$ 22.2 Million Tons by 2023, expanding at a CAGR of 7.5% during 2018-2023.

East Africa Cement Market Summary:

  • Based on type, Portland cement is the most popular product type, accounting for the majority of the total market share. This is due to its vast range of applications in grout fillings, concrete projects, etc. Portland cement is followed by blended cement and others.
  • On the basis of application, the market has been divided into the residential, commercial and infrastructure sector. Currently, the residential sector holds the largest market share owing to a rise in the demand for better housing facilities from the middle-class population.
  • Region-wise, Ethiopia represents the leading market for cement in East Africa. Ascending infrastructure and construction activities in the region has largely contributed to the growth of the market in the region. Apart from Ethiopia, other major markets include Tanzania, Uganda, Rwanda, Burundi and Kenya.
  • The competitive landscape of the market has also been examined in the report. It has been found that the East Africa cement market is highly fragmented with the presence of several players. Some of the key players operative in the market include Bamburi Cement Limited, ARM Cement Plc, EAPCC, Dangote Cement Plc and Mombasa Cement Limited.


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