More Competition for Dangote as Another Cement Company Opens in Burkina Faso

More Competition for Dangote as Another Cement Company Opens in Burkina Faso

  • A new cement plant in Laongo, Burkina Faso's cement market has joined Dangote to make the market more competitive
  • The facility was formally launched by the country's acting military president, Captain Ibrahim Traoré
  • The new facility is expected to strengthen the nation's infrastructure and boost the building sector

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

With the opening of Société Industrielle Sino Burkina de Ciments SA (CISINOB SA), a new cement plant in Laongo, Plateau-Central area, Burkina Faso's cement market is now more competitive.

Another cement company opens in Burkina Faso
Aliko Dangote has announced a $400 million proposal to quadruple the Mugher cement plant's yearly capacity. Photo Credit: Dangote Group
Source: UGC

The plant poses a direct threat to Dangote Cement Burkina Faso S.A., the local sales and distribution division of Dangote Cement Plc, the cement conglomerate owned by Nigerian billionaire Aliko Dangote.

The new plant, which can produce 2,000 tonnes a day, is anticipated to give young people in Burkina Faso hundreds of new jobs. Captain Ibrahim Traoré, the nation's acting military president, officially opened the facility and referred to it as a representation of Burkina Faso and China's solid and profitable collaboration.

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“It is with legitimate pride that I inaugurated today, March 20, 2025, in Laongo, the cement plant of CISINOB SA. With a production capacity of 2,000 tonnes per day, it will provide employment opportunities for hundreds of young people in our country,” Traoré said in a post on X.

He underlined that the initiative is an example of a collaboration that upholds Burkina Faso's sovereignty while promoting economic development. “To all friends of Burkina Faso, we remain open to sincere partnerships that respect our sovereignty.”

As a joint venture with Chinese investors, the factory contributes to Burkina Faso's larger effort to prosper economically without the influence of the West.

It is anticipated that the new facility will improve the nation's building industry and fortify its infrastructure. Its debut into the market also places it squarely against the region's leading company, Dangote Cement Plc.

Dangote Cement is still growing over the continent in the meantime. Aliko Dangote has announced a $400 million proposal to quadruple the Mugher cement plant's yearly capacity to 5 million tonnes by reviving a second manufacturing line.

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A 6-million-metric-ton-per-year cement plant in Itori, Ogun State, Nigeria, has begun construction and is currently scheduled to be completed in November 2026.

Another cement company opens in Burkina Faso
The new facility is expected to boost the Burkina Faso's construction sector. Photo Credit: Dangote Cement
Source: Getty Images

The Itori project, which covers 533 hectares, would increase Ogun State's annual cement production capacity to 18 million metric tons, solidifying its position as Africa's leading cement-producing region.

With 86% ownership, Dangote Cement has been a major player in regional trade, supplying cement and clinker to various African markets, helping to transform Nigeria from a cement importer to a major exporter.

In addition to Nigeria, the company operates in 10 other African countries, including South Africa, Senegal, Zambia, Ethiopia, Tanzania, Congo, Cameroon, Ghana, Sierra Leone, and Côte d'Ivoire. With an annual production capacity of 52 million tonnes, it continues to be Africa's largest cement producer.

Dangote speaks on increasing cement production

Legit.ng reported that Aliko Dangote, the president of the Dangote Group, revealed Monday that Dangote Cement will increase its yearly production in Africa by 61 million metric tons starting next year.

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This is expected to occur after current plant projects in Itori, Ogun state, and Abidjan, Cote d'Ivoire, are finished.

He said that Dangote Cement, which has a 52.0Mta capacity throughout the continent and about 70% of its output headquartered in Nigeria, is already Africa's top cement producer.

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Source: Legit.ng

Authors:
Zainab Iwayemi avatar

Zainab Iwayemi (Business Editor) Zainab Iwayemi is a business journalist with over 5 years experience reporting activities in the stock market, tech, insurance, banking, and oil and gas sectors. She holds a Bachelor of Science (B.sc) degree in Sociology from the University of Ilorin, Kwara State. Before Legit.ng, she worked as a financial analyst at Nairametrics where she was rewarded for outstanding performance. She can be reached via zainab.iwayemi@corp.legit.ng