East African Portland Cement Company (EAPCC) has announced plans to invest KES 30.5 billion (USD 200 million) in a cutting-edge clinker manufacturing facility in Kajiado County. The move is designed to enhance cement production capacity and optimize operational costs.
EAPCC, renowned for its high-quality products marketed under the brand name Blue Triangle, intends to establish the facility on a sprawling 300-acre parcel of land.
The proposed factory, expected to release detailed construction timelines by 2024, is projected to have production capacity of approximately 5,000 tonnes of clinker daily. The excess clinker generated will be targeted for sale in adjacent markets, expanding EAPCC’s market reach.
The strategic location of the plant in Kajiado County aims to facilitate swift transportation of the cement to the market upon production, enhancing market responsiveness. This move aligns with the company’s vision to address challenges in clinker production at its Athi River factory, which have affected its competitive edge in the market.
After a significant investment of KES 500 million to refurbish its Athi River plant, EAPCC successfully resumed full clinker production in September 2022. Disruptions from frequent breakdowns had previously hindered the firm’s ability to meet market demands effectively. Other major players like Bamburi Cement, National Cement, and Mombasa Cement have also established their clinker production facilities.
Despite a promising 37 percent surge in revenue, the fiscal year ending June 2023 witnessed EAPCC transitioning from a KES 541.5 million profit to a KES 1.3 billion loss. This setback is attributed to escalated costs.
