Dangote Cement's Michel Puchercos on the drivers behind solid H1 numbers

Dangote Cement, one of the leading cement makers in Africa, has been making strategic moves to expand its operations and strengthen its market position despite the challenges posed by the COVID-19 pandemic. In a recent interview with CNBC Africa, Michel Puchercos, the Group Managing Director and CEO of Dangote Cement, highlighted the company's record high volume of 4.7 metric tons in its pan-African operations in the first half of the year. Puchercos discussed the company's decision to start exporting clinker to other parts of the region, emphasizing the opportunities it presents in terms of revenue generation, job creation, and risk mitigation. Dangote Cement has already exported clinker to Senegal and Cameroon, with plans to commission a new terminal soon. Puchercos explained that by exporting clinker, the company aims to replace imports from Asia and Europe, capitalize on the demand in countries lacking limestone, and reduce foreign exchange risks by operating in US dollars. He highlighted the potential for further growth under the African Continental Free Trade Area agreement, which is expected to create even more opportunities for the company. The CEO pointed out three key factors that contributed to the company's resilience and success amid the pandemic. Firstly, the real estate sector's stability and the essential nature of cement as a building material supported demand. Secondly, Dangote Cement's strong brand, product quality, and customer-centric approach set it apart from competitors, earning the trust and loyalty of customers. Thirdly, the company's ability to adapt quickly to the changing market conditions and maintain close relationships with customers helped it secure market share. When asked about the competition in the cement market, Puchercos emphasized that market share should be earned through superior products and customer service rather than simply gained. He highlighted Dangote Cement's customer-focused strategy, which involves delivering high-quality products consistently and being reliable even in challenging times like the COVID-19 lockdowns. By staying close to customers, addressing their needs, and providing exceptional products, Dangote Cement has been able to strengthen its market position and attract more customers. Overall, Dangote Cement's expansion strategy, which includes leveraging export opportunities, maintaining market superiority, and focusing on customer satisfaction, has proven successful in navigating the uncertainties brought about by the pandemic. The company's commitment to quality, innovation, and resilience positions it well for future growth and success in the African cement market.