26 June 2012

Nigeria: Dangote Seeks More Nigerian Cement Distributors

In order for its customers to benefit more from its recent production expansion, the management of Dangote Cement plc has liberalised its distribution channels and expanded its sales network.

The cement manufacturers had embarked on an expansion drive, which has seen it add more lines to its existing cement plants across the country with the attendant expectation that it would lead to reduction in the price of the commodity.

The management of Dangote Cement last week stressed that it was reviewing its distribution network to ensure the availability of the product by creating wider access for its customers.

This, it said, would also ensure not only the stability of price, but also guaranteeing availability at the most reasonable price.

Group Managing Director of the company, Devakumar Edwin, said in Lagos that the company at the height of skyrocketing price of cement had acquired 5000 trucks to boost its logistics and pave the way for even distribution of the product across the nation.

According to him, having solved the problem of logistics, the next phase is to ensure a wider distribution depot and register more dealers and bring the product closer to the customers.

He stated: "With Obajana's 10. 25mtpa, and its fourth line under construction, the company's production capacity will be far above the nation's demand."

It would be recalled that the company's Benue plant of 3.5mtpa is producing to capacity. When added to the 6 mtpa Ibese plant production, the company will have a total production capacity of 19.75mtpa.

"What we are doing now is to liberalise the distribution network by increasing our depots and registering more credible distributors. All we required is the certificate of company registration, two passport photographs and letter of intent.

"Henceforth, we are guaranteeing 48 hours registration with a minimum purchase of one trailer load that is 600 bags monthly. In fact no deposit is required. And customers can collect from any of our plants", Edwin stated.

According to him, individuals, corporate organisations and institutional buyers seeking to buy Dangote cement in bulk could just walk into any of the company's depots or offices nationwide.

He added that the company has begun a media campaign aimed at sensitizing the people to this development.

"On the long run we hope that this effort will not only make cement available in every nooks and cranny of Nigeria but will reduce the price and make the price stable.

Copyright © 2012 This Day. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.