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FG’s Favourable Conditions Boost BUA Cement Production By 300% – Minister

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Joel Ajayi
The Minister of Information and Culture, Alhaji Lai Mohammed, has said BUA Cement’s massive increase in production, especially since 2015, was made possible by the conducive business environment provided by the Federal Government. 


The Minister, who stated this during a media tour of BUA Cement’s Sokoto Plant on Wednesday, listed the favorable conditions as including the granting of Pioneer Status which enables BUA Cement to enjoy tax holiday; the ban on importation of cement; backward integration policy and the divestment of government shares from cement companies.


”Thanks to these conditions, BUA Cement has recorded more than a 300 percent increase in production between 2015 and now. That’s from 3.5 million tonnes per annum in 2015 to 11 million tonnes per annum now,” he said


Alhaji Mohammed said the Sokoto Plant has created 10,000 direct and indirect jobs and is also earning foreign exchange for the country by exporting its products to Niger, which is just 100 kilometers from the location of the plant, as well as Burkina Faso, especially during the raining season when construction work is at its lowest point.


He commended the Chairman of BUA Cement, Alhaji Abdul Samad Rabiu (and his entire team), for his undying belief in Nigeria, saying: ”There is no better indication of BUA’s support for the government’s economic diversification and job creation agenda than the company’s massive investments in Nigeria.”


The Minister said that in the last five years, BUA has completed four new cement plants of similar capacity in different parts of the country and is set to complete two more plants soon. It is expected that total production for BUA Cement will amount to 17 million tonnes per annum by 2023.


Alhaji Mohammed, who was taken on a guided tour of the Sokoto Plant by the Managing Director of BUA Cement, Engineer Yusuf Binji, said the 3 million tonnes per annum line IV of the Sokoto Plant, which was commissioned by President Muhammadu Buhari in January this year, has taken the combined installed capacity of the factory’s Lines 2,3 and 4 to 5 million tonnes per annum.


The Minister described the Sokoto Plant as one of the most modern cement plants anywhere, with gas analyzers used in regulating carbo emissions released into the atmosphere; air purifying mechanisms set up to enhance the quality of air released from the cement manufacturing process, and filters that are capable of capturing 99.9% of dust in order to make the environment healthy and conducive for the workers and customers alike.


He said the Sokoto Plant is the first cement plant in Nigeria to use Liquefied Natural Gas (LNG) to generate power, thereby replacing coal in its kiln, adding that the plant generates 50MW of electricity to power its production machinery.


”This has made the plant environmentally friendly to also curb climate change. I am sure when the AKK gas pipeline project is completed, it will drastically reduce the time and cost of transporting gas, which is currently being trucked from Port Harcourt to the plant. At least 20 trucks of LNG are brought here daily from Port Harcourt. Imagine the costs and the logistic challenges involved in this,” Alhaji Mohammed said.


The Minister, who was accompanied by about 30 journalists, said the tour of the BUA Cement’s Sokoto Plant is his fifth media tour of public and private sector projects across the country in the past two months, with others being the Dangote Petroleum Refinery and Petrochemicals as well as the Dangote Fertilizer in Lagos; the Lekki Deep Sea Port in Lagos and the Duchess Hospital, also in Lagos.


In his presentation, the Managing Director of the company, Engineer Binji, said the Sokoto plant is operating at over 90 per cent of its installed capacity and loading between 250 and 270 trucks per day. The plant has a total of 700 trucks for cement distribution.


He said BUA Cement, which is listed on the Nigerian Stock Exchange with a market capitalization of N2.5 trillion, is the fourth largest company on the NSE; the second largest cement producer in Nigeria with 25 percent of the market, and the largest cement producer in the country’s North West, South South, and South East.


Engineer Binji said BUA Cement has also invested heavily in Corporate Social Responsibility, noting that the company is involved in the provision of health services, scholarship for students, provision of housing, roads, electricity, etc.

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Turning Africa’s Raw Materials Into Wealth: The ARMS 2026 Industrial Agenda

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By Joel Ajayi

For decades, Africa’s vast natural resources have powered industries and economies far beyond the continent, while many African countries have remained largely exporters of unprocessed commodities and importers of finished products.

That familiar pattern is now coming under renewed scrutiny as policymakers, researchers, investors and industrialists seek to change the direction of Africa’s resource economy.

At the centre of that conversation is the second edition of the Africa Raw Materials Summit (ARMS 2026), scheduled for October 19 and 20 at the Abuja Continental Hotel, Abuja, under the theme: “From African Feedstock to African Factories.”

Organised by the Raw Materials Research and Development Council (RMRDC), the summit is being positioned as more than another gathering of policymakers and industry stakeholders. It is intended to provide a platform for confronting the structural challenges that have kept African raw materials largely disconnected from local manufacturing.

Africa has for years operated largely within a “pit-to-port” economic model, exporting raw materials while importing expensive finished products.

Speaking at a press conference ahead of the summit on Tuesday in Abuja, the Director-General and Chief Executive Officer of RMRDC, Prof. Nnanyelugo Martin Ike-Muonso, said the event would bring together policymakers, investors, researchers, technology providers and industrialists to develop practical strategies for transforming Africa’s abundant natural resources into industrial wealth.

The challenge, therefore, is not simply the abundance of resources, but the continent’s ability to transform those resources into industrial value, employment, technology and wealth within Africa.

Nigeria alone, according to the RMRDC, has more than $582.4 billion in documented non-renewable natural resources, while the wider continent possesses substantial deposits of critical minerals, agricultural raw materials and industrial feedstock.

Yet, the benefits of this resource endowment have often been constrained by inadequate processing capacity, weak infrastructure, limited technology, financing gaps and fragmented regional value chains.

From Dialogue to Industrial Action

ARMS 2026 builds on the maiden edition held in May 2025, which attracted more than 1,000 delegates from across the world.

The inaugural summit also witnessed the unveiling of the Ten-Year Raw Materials Transformation Roadmap (2025–2034) by the Minister of State for Industry, Senator John Owen Enoh.

The roadmap was designed around areas including technological capability, climate-resilient processing and backward integration, establishing a policy framework for greater domestic utilisation of Africa’s raw materials.

The second edition is expected to move the conversation further by bringing policy, capital, technology and industrial stakeholders around practical mechanisms for turning raw materials into locally manufactured products.

One of the major proposals highlighted by the RMRDC is the 30 per cent Mandatory Value Addition Bill, which seeks to establish a statutory minimum level of value addition to Nigerian raw materials before export.

The Council says the proposed framework could support job creation, import substitution, foreign-exchange conservation and increased manufacturing contribution to the economy.

Building the Infrastructure for Value Addition

The industrial transformation envisaged by ARMS 2026 goes beyond legislation.

A major concern is the “missing middle” between where raw materials are produced and where factories are located.

Poor transportation networks, inadequate cold-chain facilities, weak rural roads, limited testing and certification infrastructure and border-related delays can make locally sourced materials more expensive and less competitive.

Consequently, logistics and infrastructure constitute one of the five principal pillars of the summit.

The objective is to develop more reliable corridors connecting farms and mines with processing centres and manufacturing facilities, thereby reducing losses and improving the movement of industrial inputs.

The Digital Dimension

Technology is also becoming an important part of the Council’s strategy.

The RMRDC says it has developed the Nigeria Integrated Information Statistical System for Raw Materials and Products (NISSRAMP), described as a digital repository containing information on feedstock deposits, specifications, production outputs and industrial absorption rates.

The Council has also highlighted its transition towards paperless operations and its certification as a Data Controller/Processor of Major Importance by the Nigeria Data Protection Commission.

Such digital infrastructure could provide investors and manufacturers with better information about the availability and characteristics of raw materials while supporting more informed industrial planning.

Turning Waste Into Industrial Inputs

Another major component of ARMS 2026 is the proposed expansion of the circular economy.

The summit will examine how agricultural by-products, mine tailings, scrap metals and biomass can be recovered and reused as inputs for new production processes rather than being treated simply as waste.

The RMRDC argues that such an approach could lower raw-material costs while supporting more sustainable and climate-resilient manufacturing systems.

For Africa, where industrial expansion must increasingly balance economic development with environmental considerations, waste industrialisation could become an important part of the continent’s manufacturing conversation.

From National Production to African Value Chains

The African Continental Free Trade Area is another important element of the summit’s agenda.

The RMRDC sees AfCFTA as an opportunity to create regional value chains in which raw materials sourced in one African country can be processed and supplied to manufacturers in another.

Under such a model, Africa would move beyond simply exporting commodities to external markets and develop stronger internal networks for supplying chemicals, refined minerals, agricultural inputs and other industrial materials across national borders.

This approach places regional integration at the heart of Africa’s industrialisation strategy.

Bridging Research and Capital

A recurring weakness in many developing economies is the gap between research and commercialisation.

Innovations may emerge from universities, research institutions and laboratories without receiving the financing, equipment or market connections required to become commercially viable.

ARMS 2026 intends to address that gap through technology commercialisation and capital linkages, connecting research outputs with investors, development finance institutions and industrial off-takers.

The RMRDC has also cited partnerships with the Bank of Industry for commercial-scale post-harvest processing and a South-South technology-transfer partnership with the National Innovation Centre par Excellence in Shanghai, China.

A Larger Industrial Conversation

The scale of ARMS 2026 is expected to be significantly larger than the maiden edition.

The organisers project more than 1,800 delegates from all 54 African countries and global industrial partners.

The programme will feature high-level policy dialogues, technical panels, an advanced raw materials and technology exhibition, industrial site visits and the African Raw Materials Industry Awards.

The exhibition, in particular, is expected to showcase locally fabricated processing machinery, advanced domestic materials, green chemicals and engineered commercial inputs.

Beyond the speeches and exhibitions, however, the real significance of ARMS 2026 will ultimately depend on what happens after the summit.

Africa’s challenge has never been a shortage of raw materials. The more difficult question has been how to transform those resources into factories, products, skilled employment, technology and sustainable economic opportunities.

For Nigeria and the rest of the continent, the proposed shift from “pit-to-port” to “feedstock-to-factory” therefore represents a broader debate about the future structure of African economies.

ARMS 2026 seeks to place that debate firmly on the industrial agenda — with value addition, technology, finance, infrastructure, circular production and regional trade at the centre.

If the commitments and partnerships generated by the summit translate into measurable industrial activity, the event could provide another platform for Africa to examine how its enormous resource base can support stronger domestic manufacturing.

The message from the organisers is clear: the continent’s raw materials should not only leave African soil as commodities; they should increasingly become the foundation for African industrial production

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