Cementing Growth: Portland Cement’s Balaka Plant Set to Fuel Malawi’s Economic Future

Key Business Points

• Portland Cement Malawi Limited is nearing completion of its K200 billion cement integrated manufacturing plant in Balaka District, set to double its current annual production capacity and meet national demand for cement.
• The plant is expected to create 500 direct and 3,000 indirect jobs, generate $50 million in import substitution, and earn $15 million in foreign exchange through exports, contributing to Malawi’s economic resilience.
• The project aligns with the government’s Agriculture, Tourism, Mining, and Manufacturing (ATMM) strategy, promoting industrial expansion, employment, and economic growth, with mining royalties projected to reach K5.5 billion.

The construction of Portland Cement Malawi Limited’s integrated manufacturing plant in Balaka District is a significant development for Malawi’s business community. As a subsidiary of Huaxin Cement, China’s largest cement manufacturer, Portland Cement is poised to become a leader in the country’s construction industry. The plant, located at Ng’onga Hill Mine, will double the company’s current annual production capacity from 300,000 metric tonnes to meet the national demand for cement. This expansion reflects the company’s confidence in Malawi’s construction industry and its commitment to sustainable industrial growth.

According to Portland Cement chief executive officer Jianguo Liu, the company’s expansion into Balaka is a strategic move to support the country’s broader ATMM strategy. The plant is expected to create jobs, generate foreign exchange, and advance technology in cement production. As Violet Vilili, head of marketing, corporate affairs, and administration, noted, the company remains committed to complying with governing requirements and regulations, demonstrating its responsibility as a corporate citizen.

The project has received support from the highest level, with President Lazarus Chakwera launching the Balaka Portland Cement Integrated Plant in July 2024. The president emphasized that the project is in line with the government’s priority under the ATMM strategy to stimulate economic growth and create jobs. As the plant nears completion, Malawi’s business community can expect increased economic activity, job creation, and foreign exchange earnings. This development is a significant opportunity for local entrepreneurs and businesses to tap into the growing construction industry, with the potential for partnerships and collaborations with Portland Cement Malawi Limited. As the company says, "Tikwanitre kuwongolera dziko" – let us work together to develop our country.

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