Medcem Cameroun owned by Eren Holdings, a Turkish company, is officially commissioning its cement factory in Douala, the economic capital of Cameroon, on 16 December 2016. The annual capacity of the said factory is 600,000 tons according to a source from the company.
This cement company’s first production was in October 2015 before it slowly disappears on the Cameroonian market. For a couple of months now, the cement from this company is only available at Quiffeurou, a hardware store chain which is the principal distributor of building supplies in Central Africa. Medcem Cameroun has an agreement with Quiffeurou for the distribution of the latter’s cement.
The 2013 Act on the promotion of private investments in the country of Cameroon, is an advantage for Medcem Cameroun with their investment of about FCfa 13 billion as they are benefiting for being exempted from 5 to 10 years during their installation and operational stages.
Medcem Cameroun alongside with Cemencam of Lafarge Holcim group, Moroccan Cimaf and Dangote Cement; is the 3rd cement company to open its operations in Cameroon within 3 years and is the 4th cement factory of Cameroon.
The annual cement production of this Turkish cement company in Cameroon is estimated to about 4.3 million tons. If this will materialize and even if the cement production in Cameroon doubled since 2013 with the entrance of Cyma which ended the 48-year old Lafarge monopoly; prices of cement still do not decrease despite the introduction of competition.
Currently, the price for a bag of cement costs between FCfa 4,550 and 4,600 compared to FCfa 5,000 in the past. The price is seen not to change even with the entry of new producers in the market as Medcem has matched its prices to the ongoing rates and sells a bag of their cement at FCfa 4,550 at Quiffeurou’s outlets.
In a meeting with the business owners related to building material production in October 2015, Luc Magloire Mbarga Atangana, Minister of Commerce, expressed his suspicion that cement producers are involve in a price conspiracy and ordered for an investigation regarding the matter. The result of the investigation should have been released after 10 days after the meeting, but until now the result has not been revealed yet.