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Dangote plans major expansion to boost Ogun cement production to 18 Million metric tons annually

by IbidunAjayi Areppo
March 23, 2025
in Business, Top Stories
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Dangote plans major expansion to boost Ogun cement production to 18 Million metric tons annually
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Africa’s leading industrialist, Aliko Dangote, has announced ambitious plans to ramp up cement production in Ogun State to 18 million metric tons per annum. This expansion, part of Dangote Cement’s broader strategy to strengthen Nigeria’s manufacturing sector, is expected to boost employment, enhance supply, and stabilize cement prices in the country.

Speaking at an industry event in Lagos, Dangote emphasized the company’s commitment to scaling production capacity to meet Nigeria’s growing demand for cement, driven by rapid urbanization and increasing construction projects.

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“We recognize the crucial role cement plays in infrastructure development. By expanding our production capacity in Ogun State, we aim to meet domestic demand, create jobs, and position Nigeria as a key player in cement exports,” Dangote stated.

The expansion will see the construction of additional production lines, upgraded facilities, and investments in more energy-efficient technology to optimize production output.

The project is projected to create thousands of direct and indirect jobs, ranging from engineers and factory workers to logistics and retail roles. Ogun State Governor Dapo Abiodun lauded the initiative, noting that it aligns with the state’s industrialization drive.

“This investment will not only bolster Ogun State’s economy but also solidify our position as Nigeria’s industrial hub. We are committed to supporting businesses that drive growth and innovation,” Abiodun said.

Dangote Cement’s expansion could also have a stabilizing effect on cement prices, which have fluctuated due to supply chain disruptions and increased demand. Analysts believe the additional production capacity will reduce dependence on imports and enhance Nigeria’s export potential within West Africa.

“With increased production, we expect a more competitive market, which could lead to better pricing for consumers,” said economic analyst Dr. Tunde Adeyemi. “Nigeria could also strengthen its position as a cement exporter, benefiting from regional trade agreements.”

As part of the expansion, Dangote Cement has pledged to integrate sustainable practices, including reducing carbon emissions and adopting alternative energy sources like natural gas and solar power.

“We are investing in cleaner technology to ensure that our operations align with global environmental standards,” Dangote added.

With regulatory approvals already in place, construction on the new facilities is expected to commence later this year, with full-scale production targeted for completion by 2027. Industry stakeholders and market watchers will be closely monitoring the rollout of this expansion, which could reshape Nigeria’s cement landscape.

 

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