The Ministry of Trade and Industry has suspended the granting of permits for the construction of new factories for the manufacturing and bagging of Portland cement.
The directive, which took effect on September 13, 2023, was announced in a statement signed by the Minister of Trade and Industry, KT Hammond emphasising that all processes leading to the granting of such permits are suspended until further notice.
In the statement, the ministry further instructed regulatory institutions to ensure compliance.
The statement however fell short of giving details on why the decision was taken.
“The Ministry of Trade and Industry hereby directs that effective 13th September 2023, No permits shall be granted or issued for the construction of new factories for the manufacture and bagging of cement.
“All processes leading to the granting of such permits are hereby suspended until further notice. Regulatory institutions are to take note for immediate release and compliance,” the Ministry said in its statement.
About Ghana’s cement industry
Cement-bound concrete materials are used in all civil engineering works with cement serving as an important basic ingredient.
Cement is graded into classes such as 32.5R, 42.5R, 52.5R among others, indicating the strength of the cement.
Some of the cement brands in the Ghanaian market are Ghana Cement (GHACEM), Western DIAMOND Cement (DIAMOND), CIMAF Cement, DANGOTE Cement and SUPACEM Cement and Dzata cement, Savanna Cement, CBI Ghana Ltd, Xin An Safe Cement, and Wan Heng Ghana Ltd.
Rapid infrastructural development in Ghana has placed a high demand on cement usage in the country thus experiencing the influx of new cement products in the market. Some of them import cement products and bag them in Ghana.
The Ghana government reportedly spends about $350 million every year importing some 85 percent of the raw materials for cement production. The main ingredients in cement production are clinker and gypsum – all imported.
Research has shown that Portland cement is the most commonly used cement worldwide.
