Rwanda’s largest cement manufacturer and supplier Cimerwa, is struggling to retain its market share especially for huge construction projects as more regional players enter the market.

The growing demand for cement to cater for the booming construction sector, especially in Kigali, is not matched with supply. Constructors with big projects are relying on supplies from the East African region and outside in order to bridge the deficit in local supply.

“Rwandan cement manufacturers have been overwhelmed by the demand from a booming construction sector, and they have disappointed their clients demand because of inconsistencies,” said Charles Haba, chairperson of the association of real estate dealers.  

The average grade of cement on the local market is at 32.5 while new importers like Kilimanjaro Cement from Tanzania is providing cement of 42.5 grades, which is considered to be of higher quality and preferred for huge projects.

Regional importers include Uganda’s Hima cement and the new entrants Kilimanjaro Cement from Tanzania.

For instance, Kilimanjaro has seen its imports to Rwanda increase from 1200 tonnes to 4000 tonnes within the past eight months.  Mr Haba said local manufacturers’ small production capacity is affecting its competitiveness of the industry.

“Regional manufacturers have high capacities thus producing a variety of products with high quality which is demanded by many construction projects,” added Mr Haba.

The low production capacity and quality by the local manufacturers has seen big construction projects like Marriott hotel opting to import the raw material.    

However, the Rwanda construction sector is set for good times with the anticipated increase in the production of local cement following plans to upgrade Cimerwa’s production capacity six times.

READ: Upgrade of Cimerwa to see a drop in cement prices

After the upgrade, Rwanda’s construction sector will not need any cement imports, industry players said. 

The current annual demand for cement in Rwanda is estimated at 350, 000 tonnes.