CEMENT PRICE RELIEF? M7 Commissions Yaobai Plant to Cut Clinker Imports, Lower Cement Prices
President, in the company of former Ethiopian Prime Minister Hailemariam Desalegn Boshe, presided over the commissioning of Phase One of a 6,000-tonne cement clinker production line under Yaobai Cement. Local partner Ambrose Byoona (CIRCLED) revealed that the project was inspired by President Museveni’s long-standing vision to establish a clinker factory in Karamoja, adding that the realization of the plant marks a significant milestone in Uganda’s journey toward self-sufficiency in cement production.
By Our Reporter
Moroto – Ugandans could soon see a major shift in cement prices following the commissioning of a new clinker production facility by President Yoweri Kaguta Museveni, with local partner Ambrose Byoona playing a central role in the landmark investment.
In a high-level ceremony held in Nanduget, Moroto District, the President, in the company of former Ethiopian Prime Minister Hailemariam Desalegn Boshe, presided over the commissioning of Phase One of a 6,000-tonne cement clinker production line under Yaobai Cement.
President Museveni commended Hailemariam for his role in guiding West China Cement to invest in Uganda, noting that such partnerships are critical in driving industrial growth and economic transformation.
He also expressed gratitude to the Chairman of West China Cement, Zang Jiewen, for helping Uganda reduce its reliance on imported clinker.
“I am very glad that Mr. Zang, with the guidance of Hailemariam, has saved us from importing clinker,” President Museveni said, emphasizing that clinker constitutes about 85% of cement production and had previously been sourced from abroad at a significant cost to the country.
The President further thanked the Government of China for encouraging its citizens to invest in Africa, highlighting ongoing Chinese investments in infrastructure, manufacturing and industrial parks across Uganda.
He pledged government support to ensure a favorable tax regime for the factory, stressing the importance of aligning with national investment policies to maximize benefits for Ugandans.
Reflecting on regional development, Museveni noted that Karamoja, once among the least developed regions in the country, is now emerging as an industrial hub due to its abundant natural resources and improved security.
He reiterated the government’s commitment to improving infrastructure, including key roads connecting Moroto, Kotido and surrounding areas, to support industrial growth and ease transportation of goods.
H.E Hailemariam Desalegn Boshe, who now serves as Africa Regional Ambassador of West China Cement, guided on the mutual benefits of China–Africa investment, noting that such partnerships are capable of aiding development and real economic transformation across the continent.
Vice President Jessica Alupo commended President Museveni for creating a stable and attractive investment climate that continues to draw investors into Uganda, while Minister of Energy and Mineral Development Ruth Nankabirwa applauded the transformation of Karamoja from a conflict-prone region into a center of industrial growth.
She noted that with ongoing infrastructure development and increased industrial capacity, Uganda is on course to achieve its economic targets, particularly in the manufacturing sector.
Local partner Ambrose Byoona revealed that the project was inspired by President Museveni’s long-standing vision to establish a clinker factory in Karamoja, adding that the realization of the plant marks a significant milestone in Uganda’s journey toward self-sufficiency in cement production.
The Moroto District LCV Chairman, Anjello Pulkol, noted that the factory has already created employment opportunities and improved livelihoods within the community. He credited President Museveni for restoring peace in Karamoja, which has made such large-scale investments possible.
Chairman Zang Jiewen expressed appreciation to President Museveni, the Chinese Embassy and all stakeholders for their support throughout the construction of the project, describing the plant as a major milestone in strengthening Uganda’s industrial base.
He revealed that the project, with an estimated investment of over $300 million, is expected to produce up to 2 million tonnes of clinker annually and 3 million tonnes of cement, generating approximately $300 million in annual output value.
According to Zang, the factory will create more than 3,500 jobs upon full operation and significantly reduce Uganda’s clinker import bill, saving an estimated $200 million annually in foreign exchange.
Beyond Uganda, the plant is expected to serve regional markets including South Sudan, western Kenya and the Democratic Republic of Congo, thereby strengthening the East African supply chain and contributing to regional integration goals.
On behalf of West China Cement, Zang reaffirmed the company’s commitment to high-quality investment, technological advancement and environmentally sustainable production, with plans to establish a modern, low-emission industrial ecosystem in the region.
The Chargé d’Affaires of China in Uganda, Fan Xuecheng, praised President Museveni’s leadership and commitment to strengthening Uganda–China relations, noting that such partnerships continue to yield tangible development outcomes.
He added that the first phase of the plant is designed to produce 6,000 tonnes of high-quality clinker per day, a key component in cement production, and that the facility will not only reduce foreign exchange expenditure on clinker imports but also generate foreign exchange revenue through exports.
Fan emphasized that the plant has adopted world-class, environmentally friendly technologies, reflecting the commitment of both Uganda and China to sustainable development and green cooperation.
He further noted that bilateral ties between the two countries continue to strengthen, with both sides supporting each other on the international stage and working together as partners on the path to modernization.
Minister Ruth Nankabirwa also highlighted that Uganda now has five cement factories with a combined annual production capacity of about nine million tonnes, up from just two factories producing 600,000 tonnes in 1986.
She added that as the construction industry expands in both domestic and regional markets, demand for cement is expected to continue rising, making the new plant a timely and strategic investment.
With clinker now being produced locally at scale, Uganda is poised to significantly reduce its dependence on imports, stabilize cement supply and potentially lower prices in the construction sector.
For many Ugandans, especially those in the building industry, the commissioning of the plant signals not just industrial progress—but the possibility of more affordable construction in the near future.
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