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Cemtech eyes 5,500 clinker plant as Narendra Raval tightens grip on Kenyan market

Under Raval’s leadership, Cemtech has submitted an environmental impact assessment (EIA) report to the National Environment Management Authority (NEMA) for review.

Narendra Raval
Narendra Raval

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Cemtech Limited, a subsidiary of Simba Cement Company owned by the Devki Group of Companies, is pressing forward with expansion plans. Cemtech controlled by Kenyan billionaire businessman Narendra Raval has set its sights on a 5,500-tonne-per-day clinker factory in Kitui, a town located 185 kilometers east of Nairobi, Kenya’s capital.

Cemtech seeks environmental approval for clinker plant

Clinker, a key component in cement production, has faced recent supply chain disruptions amid rising demand, reshaping the dynamics of the construction sector.

Under Raval’s leadership, Cemtech has submitted an environmental impact assessment (EIA) report to the National Environment Management Authority (NEMA) for review.

Raval eyes Kitui clinker plant after West Pokot success

The proposed clinker production line and associated facilities are slated for Mwatsuma, plot number Mwingi/Mwatsuma/36, in Mwingi Central, Kitui County. The multimillion-dollar Kitui clinker factory, if approved, would solidify Raval’s dominance in local clinker production.

Last month, the leading businessman inaugurated a multimillion-dollar clinker plant in West Pokot boasting a nameplate capacity of 6,000 metric tonnes of clinker daily. This move echoes Raval’s prior statement: “We want to invest in all the counties.” Earlier in 2024, his Devki Group acquired Rwanda’s Cimerwa Plc for Ksh13.6 billion ($84.3 million).

The acquisition involved the purchase of a 99.94-percent stake in Cimerwa, with Devki Group’s subsidiary, National Cement Company, acquiring 702.7 million shares at Ksh19.4 ($0.12) per share. The transaction’s completion marks the beginning of the integration process, leading to Cimerwa’s imminent delisting from the Rwanda Stock Exchange.

Africa’s clinker kings Vie for market share

With recent supply chain hurdles significantly impacting clinker availability, Aliko Dangote, Africa’s richest man, has also made significant strides in bolstering clinker supplies across the continent.

Dangote Cement Plc, Africa’s leading cement producer led by Dangote, reported an increase in clinker exports from Nigeria to key West African markets in its recently published Q1 2024 earnings release.

The leading cement manufacturer dispatched seven clinker-laden ships to support the construction industries in Ghana and Cameroon, highlighting its crucial role in addressing regional cement demands.

By exporting clinker to nations facing limestone scarcity, Dangote Cement facilitates local cement production, thereby underpinning cross-border infrastructural development.

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