President of Mozambique Filipe Nyusi has inaugurated the first cement factory in the province of Niassa, in northern Mozambique.
The factory, a project located in the district of Chimbunila, about 24 kilometres from Lichinga, is budgeted at around US$20 million, and was built from scratch with Mozambican and Chinese capital.
The factory has the capacity to produce around 200,000 tonnes of Portland cement annually, currently with 100 workers.
Speaking during the event, Nyusi said that the factory would serve not only Niassa, but also districts in neighbouring provinces such as Cabo Delgado and Nampula, and even Tete.
In addition to cutting market costs, the installation of the factory will also reduce transport costs, especially for districts far distant from Nacala, in Nampula, which already has a cement factory, also owned by Chinese capital.
The head of state highlighted the fact that this is the first plant in the north of the country which produces clinker, the raw material for cement production, which will catapult the distribution of that raw material to other manufacturing units in the region.
The factory will therefore stimulate supply and competitiveness in the northern market, freeing it from external factors such as exchange rates, a major consideration when importing raw materials.
Nyusi believes that the factory’s products will be sold primarily in the province, creating jobs, especially for local youth. “It already has 100 workers, which means that 500 people will benefit directly from this factory in terms of income, and many more will benefit indirectly,” said Nyusi.
The president stressed the importance of safeguarding the factory so that it can produce smoothly to its full installed capacity.
The first stone for the construction of the Niassa cement factory was laid in October 2018 by the former governor of the province, Arlindo Chilundo.