PPC is investing more in Africa despite challenges such as slow demand and oversupply of cement products, CEO Darryll Castle said on Thursday as the group opened a $300-million (about R3.8-billion) plant in the Democratic Republic of Congo. The Congo plant started production this month, while its Ethiopian operation is behind schedule by about two weeks. And PPC's Zimbabwe operation this week commissioned a new $82-million cement plant in Harare, with capital expenditure being about $3-million below the initial targeted budget of $85-million. "We are seeing slower demand in Africa and there is overcapacity. "A lot of cement factories have been built in Africa, but demand has been somewhat slow," Castle said. Jumai Mohammed, an equities analyst at Exotix Partners, said PPC would compete directly with Dangote Cement in Ethiopia, "where we have seen close to 40% declines in prices" after the entry of Dangote to the market. PPC will also compete with international players such as Lucky ...
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