Dar Tycoon Invests $200M in Cement Modernization

East African Portland Cement PLC (EAPC) is embarking on a major US$200 million modernisation and expansion programme aimed at restoring its competitiveness in a market increasingly dominated by larger and better-capitalised regional players. The investment, led by Kalahari Cement, a subsidiary of Tanzania’s Amsonsgroup, will raise EAPC’s annual production capacity from about 1.3 million tonnes to nearly 4 million tonnes over the next three years, signalling a renewed push to reclaim market relevance in Kenya’s fast-growing construction sector.

Amsons Group now holds a 69% majority stake in EAPC after acquiring a 27% share previously owned by the National Social Security Fund, strengthening its control over the company’s strategic direction. The group also owns Bamburi Cement PLC, following its acquisition from Holcim in 2024, positioning Amsons as a powerful force in East Africa’s cement landscape. The new capital will fund clinkerisation and grinding plants, improve energy efficiency, upgrade manufacturing systems, and enhance staff welfare facilities, aligning production with rising regional demand driven by urbanisation and government-backed infrastructure projects such as affordable housing.

The expansion comes as Kenya’s cement consumption continues to rise, with production reaching about 9.5 million tonnes in the first 11 months of 2025 and consumption at roughly 9.3 million tonnes, underscoring a strong demand backdrop. EAPC, one of the country’s oldest manufacturers, has struggled with inefficiencies and capacity constraints, allowing competitors such as Bamburi, Mombasa Cement, Savannah Cement, and Devki Group to gain ground. The modernisation drive is therefore a strategic effort to reverse years of decline by scaling output and improving operational performance.

Beyond Kenya, the move reflects a broader continental race where billionaires are consolidating and expanding cement capacity to secure long-term profits and industrial influence. From Dangote’s multi-country footprint to BUA Cement’s expansion plans and CIMAF’s rapid growth across West and Central Africa, cement remains a cornerstone of Africa’s development economy. With high capital barriers and strong links to public infrastructure spending, control of cement production offers both stable cash flows and significant market power, making EAPC’s revival part of a much larger story of industrial competition shaping Africa’s future.