New Cement Factory, October

Ade Coker, Chairman, Gokay Group Ghana Limited

By Esther Awuah
Preparations are underway to open a new cement factory in Takoradi by October.
Gokay Group Ghana Limited, the company initiating the project, said the cement will be imported in its raw state, processed and bagged in the country.

Kobina Ade Coker, Chairman of Gokay, a Ghana-Turkey Consortium told BUSINESS GUIDE that the pace of infrastructural development in the country had compelled them to augment cement production for the sector.

He said the company would invest over $100 million in other sectors of the economy and the cement industry was expected to benefit from it.

He also said the company had acquired a land at Takoradi in the Western region and was hoping to start production by the end of October.

“Cement is an essential commodity, which should be affordable to ordinary Ghanaians. We want to assure that we would help to make the product available for all.”

Concerns have been raised in recent times about the continuous shortage and hike in the price of cement.

In May, distributors and retailers of cement took advantage of the acute shortage of the commodity on the local market to sell the product at exorbitant prices.

This caused panic in the construction sector where some attributed the shortage to the shutting down of Diamond Cement Ghana Limited at Aflao after its production plant broke down.

Even though the company has since re-opened the plant, BUSINESS GUIDE’s checks indicate that ex-factory price of a bag of cement is now GH¢15 while the retail price is between GH¢18 and GH¢20 depending on one’s location.

The leading cement factory, GHACEM holds about a 55 percent share of the cement market while Diamond Cement controls 35 per cent of the market.

However, Mr. Coker said individuals and companies must venture into the production of cement in order to reduce cement prices.

He said he was hopeful the company would stand the test of time because of the direct investment it had made.

In July, Gokay Group Ghana officially commissioned a $24 million quarry company located at Shai Hills in the Greater Accra region to undertake granite tile mining.

The quarry, which operates via modern technology using a computerized system for the production of various kinds and shapes of precious stones for the construction industry, started operations in April.