Dzata Cement Limited is positioning for a major scale-up of its manufacturing operations, targeting annual cement production of about three million tonnes as the wholly Ghanaian-owned company moves into its next phase of growth.
The expansion will see the company invest in new receiving, storage, packing and logistics infrastructure, including four additional cement silos, an automated packing facility and a 300-tonne-per-hour Multi Big Bag Receiver.
The planned investments come as Dzata Cement marks five years of commercial operations and approaches production of its 30 millionth bag, signalling a shift from establishing its manufacturing base to building industrial scale.
Plant Director, Abderrahim Ouahab, said the new capital expenditure programme had been approved by Chief Executive Officer Ibrahim Mahama and would provide the foundation for the company’s next stage of expansion.
A major component is the installation of the Multi Big Bag Receiver, which will improve the handling and processing of jumbo bags while strengthening cement transfer, screening, dust collection and recycling.
The system is expected to reduce truck waiting times and dependence on forklifts and manual handling, while improving safety and efficiency around the plant.
Dzata Cement will also construct four additional silos, each with a capacity of 10,000 tonnes, taking total cement storage capacity to 40,000 tonnes.
The company said the additional storage would give it greater flexibility in managing production, distribution and bulk-loading operations as output increases.
Another major investment is the development of an automated packing facility capable of handling about 6,000 tonnes of cement daily.
The company plans to deploy automation and robotics to improve productivity and consistency while reducing reliance on manual processes.
The expansion is also being accompanied by plans to introduce additional cement grades and potentially offer 25-kilogramme bags alongside its existing 50-kilogramme packaging to respond to changing customer requirements.
Mr Ouahab said the company was strengthening its laboratory facilities to improve physical and chemical testing as production volumes increased.
He said Dzata Cement would also intensify health, safety and environmental training as it works towards ISO 9001, ISO 14001 and ISO 45001 standards covering quality, environmental management and occupational health and safety.
The company is further integrating digital technologies into its operations, including the use of artificial intelligence in selected repetitive processes and an Enterprise Resource Planning system to improve spare-parts availability and stock management.
Mr Ouahab said the immediate investments would form the basis for the company’s longer-term ambition of producing approximately three million tonnes of cement annually.
Achieving that target, he said, would require further expansion in storage, packing, bulk-loading and truck-loading infrastructure.
The expansion comes against the backdrop of the cost pressures associated with running a cement manufacturing operation, particularly the company’s exposure to imported raw materials, machinery and spare parts.
Dzata Cement Director of Finance, Godfred Barnes, said the company’s first five years had been shaped by supply-chain disruptions, high freight costs, inflation, exchange-rate volatility and operational challenges.
He said cedi depreciation had increased the cost of imported raw materials and spare parts, at times forcing the company to redirect resources from long-term investments towards immediate operational requirements.
“Resilience is not the absence of difficulty. It is the determination to keep building despite the difficulty,” he said.
Mr Barnes said the experience had demonstrated that financial management was central to the sustainability of an industrial operation, with production, engineering, procurement, logistics and commercial teams all having a role in protecting the company’s financial position.
He acknowledged the support of GCB Bank, auditors Baker Tilly & Andah, suppliers, distributors, customers, transporters and other business partners in sustaining the company through its early years.
He also credited founder and sole shareholder Ibrahim Mahama with maintaining a long-term focus on reinvestment, plant protection and employee welfare.
According to Mr Barnes, the company’s original ambition, announced when it began operations in 2021, remains to become Ghana’s number-one cement manufacturing company by 2030.
He said the first five years had established the foundation, while the next five would focus on building the company’s legacy.
Dzata Cement’s plant is located on 10 acres near the Tema Port and represents an investment of more than US$100 million.
The facility uses technology supplied by German equipment developer Haver & Boecker and produces Ordinary Portland Cement.
Its production lines can bag an average of 120 bags per minute, with stated capacity of about 80,000 bags a day, equivalent to approximately two million tonnes annually.
The planned investments will therefore seek to expand the company’s ability to receive, store, pack and distribute cement as it moves towards the three-million-tonne production ambition.
The expansion also signals a broader attempt by the Ghanaian-owned manufacturer to deepen its industrial footprint and increase the scale at which locally owned capital participates in the cement value chain.
As Dzata Cement approaches its 30 millionth bag, the company says its next phase will focus on combining higher production capacity with technology, safety, quality control and financial discipline.
