Cemza cement is the new kid on the block in the South African cement market and has big plans to play a leading role in this sector.
Cemza cement, is a division of Oza Holdings alongside Ikwezi Resources (bulk materials) and Zarbon Coal. Cemza have also partnered with one the of world’s largest building materials companies, Heidelberg Cement, who own a significant minority shareholding in the company.
Cemza only started manufacturing in South Africa in 2019, although work on its plant started much earlier. A big question though is, is there space in an already saturated market for another newcomer? Tushar Angawal, CEO , Cemza believes the answer is yes. “We saw significant gaps in the cement industry, predominantly, but not exclusively in the coastal areas. It was this observation that prompted us to start the plant in Port Elizabeth in the Eastern Cape.” Tushar and the team also recognised that the historical protection, the cement industry benefitted from, resulted in a level of complacency and under-investment in the sector. This is particularly evident in the Eastern Cape area where plants are old and inefficient.
Cemza have invested over R600m to date and its state of the art facility in Port Elizabeth is testimony to this investment. The plant boasts:
- Pfeiffer vertical cement mill (one at present and a second planned)
- A ventomatic packing line
- Fully covered dome shaped material storage measuring 24 000m2
- Four cement silos to store different products
- Energy efficient technology
- Capacity to produce 700 000 800 000 tons per annum depending on product types.
Cemza is heavily focussed on technologically advanced products that are environmentally friendly whilst remaining at a competitive price point. It boasts the lowest carbon footprint throughout South Africa plus it is one of the lowest consumers of electricity in their segment. This without any compromise on quality.
The comprehensive product range includes 32,5N; 42,5N; 52,5N; 42,5R and ground slag.
Cemza also firmly believe that cement should be locally produced and not imported for a number of reasons:
- Imported cement is not fresh once it gets to the contractor/retailer – the time between production and landing at the customer is prohibitive
- The packaging gets damaged and dusty
- Most importantly – South Africa loses both Forex and jobs. To date Cemza, have 220 full time payroll employees plus an additional 150 full time contractors in addition to the indirect employment opportunities that follow.
Asked how they Cemza managed to infiltrate the cement industry so successfully in such a short space of time, Tushar mentioned that through its sister companies, Ikwezi Resources and Zarbon Coal, the company had already been exposed to both the cement and bulk materials industry sectors, giving them an advantage.
Where to from here
Cemza is fairly regional, but have huge national aspirations for both the construction and retail sectors of the cement market. Once the construction of its second mill is complete, the company aims to become a major exporter of cement from South Africa to our neighbours. They also plan to continuously innovate and expand into value add products for specialised applications, like its existing RoadPro slag based product, which boasts greener technology, yet is highly competitive. Long term investments is its reality, and establishing strong partnerships wherever they operate is extremely important. This will create opportunities in the market space and ultimately allow it to become the supplier of choice in both retail and construction.
Cemza also promises to keep on supporting local communities – its first initiative involved local explorer Riaan Manser in the ‘Cemza Man Challenge’. Manser hitch hiked from PE to Cape Town carrying a 50kg bag of Cemza cement, stopping on route to bungee jump and shark dive amongst other activities with the Cemza bag in tow. Cemza donated to the community an amount based on the effort of the challenge and the donation amounted to R150 000.
Cemza plans to continue creating work opportunities and become one of the largest cement suppliers in the country, of which it believes, despite being so young, it is probably already the largest cement supplier in the Eastern Cape by volume.
For more information call 010-446-8451