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P P C

Z I M B A B W E

Manufacturing the highest quality cement in Zimbabwe for over 100 years

W W W . P P C . C O . Z A

P P C

Z I M B A B W E

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PPC Zimbabwe has stood the test of time thanks to dedication from their staff and a consistently high quality product Writer Matt Bone Project Manager Ben Wigger

or over 100 years, Portland Holdings Limited T/A PPC Zimbabwe has been manufacturing and distributing the highest quality cement in sub-Saharan Africa. With a product used for home building to stadium construction, roads to mighty dam walls, PPC Zimbabwe has become the largest producer of cement products in the market, boasting a 57% market share and having seen steady growth over the last five years. For a company that has been a part of the changing face of manufacturing in Zimbabwe for a century to remain successful, even during periods of political and economic uncertainty, there must be a strong belief in the workforce and product. Gavin Stephens, Director of Business Development and Corporate Strategy, puts the success of the company down to 3 key areas: Passion, Product and Persistence. “From the start, we have been committed and passionate about building the company up while also building the country as well. Throughout the years our commitment to making the product as superior as possible has been a core focal point in our business model and we have spent many years perfecting our goods to ensure they are always going to be the first choice for all builders. Finally I think it is the persistence of the company’s managers who have steered the company through two World Wars and economic sanctions to ensure that the name PPC will always be around,” explains Stephens.

Building for the Future

PPC Zimbabwe has embarked on three significant projects, two of which were to do with the upgrading of the Bulawayo factory and the third will take the form of a new cement mill in Harare. The upgrades to the Bulawayo

From the start, we have been committed and passionate about building the company up while also building the country as well.”

site have included the installation of a new palletiser, commissioned in March 2014, which is the first of its kind in the country. The new palletiser has been installed with customer service and improved production in mind. The new system will increase production levels, enabling PPC to reduce turnaround times and ship out greater quantities of materials in a shorter space of time. The second installation in the factory is a state of the art bulk loading system, capable of filling 1.5 tonne bags and both rail and road tankers.

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The final project will see the breaking of ground on a new multi-million dollar cement mill in the Zimbabwean capital. Construction is due to start at the end of this year with the planned opening being touted for mid-2016. The new cement mill will offer an additional 100 tonne per hour cement capacity to PPC’s existing manufacturing capability. “The new equipment we have installed at our facility in Bulawayo will really enhance our production capabilities. By being able to produce more product, we can then ship our products to more customers each day. As we run 24/7, this will really make a difference to our operations across the board. When our new cement mill becomes operational, we will double our production levels and really begin to flex our manufacturing muscles,” highlights Stephens.

Growth During Slowdown

Zimbabwe’s markets have been heavily affected by the global recession and when coupled with a falling GDP, stagnation has begun to creep into the industries in the country. However, that said, PPC Zimbabwe has posted strong growth figures over the last five years, although this year has seen weaker growth than the same period in 2013. Despite this slower growth period, September 2014 was an all-time record sales month for PPC Zimbabwe. The months running

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Over the next three to five years, I am confident we will begin to see an upsurge in the cement manufacturing and construction markets”

Beitbridge Bulawayo Railway

eitbridge Bulawayo Railway (Pvt.) Ltd. (BBR) is a private, railway company incorporated and registered in Zimbabwe in 1997. It became operational in July 1999 and was commissioned by the President of Zimbabwe on 1st September 1999. Its main business is the operation of a 350 kilometres railroad link between Beitbridge (at the border of Zimbabwe and South Africa) and Bulawayo. The railway line, once a dream only, became a reality and was constructed in a record time of 16 months. Construction funds amounting to US$ 85 million were raised from shareholders as well as from South Africa’s Rand Merchant Bank.

project based on the B.O.T. (BuildOperate-Transfer) concept symbolised the commitment of the NLPI (Pvt) Ltd Group, to current and future investment, that relieve Governments from funding infrastructure projects thus making such funds available for other sectors such as health, education and the like, for the benefit of the regional citizens.

It is the first operation of its kind in the SADC region and reflects the progressive execution of the SADC countries transport policy that is well defined in the SADC protocol on transport, communication and meteorology aimed at “increasing private sector involvement in railways investment with a view to improving railway net-work and service standards.”

The railway line connects South Africa to the industrial hub of Zimbabwe, contributing to increased trade between the two countries. By being a part of the shortest and most efficient transport corridor in the region, connecting South Africa and Zimbabwe through to Zambia and Democratic Republic of Congo, the new link is in great demand for transit traffic throughout the region.

SHAREHOLDERS

Beitbridge Bulawayo Railway’s shareholding comprises leading foreign, private investors and financial institutions namely, Nedbank Ltd, Old Mutual, Sanlam and Grindrod under the umbrella of New Limpopo Bridge Projects Limited (NLPI) with an 85% interest. Locally the National Railways of Zimbabwe holds a 15% stake in the company. The self-financed

The NLPI Group has contracted Grindrod Rail Consultancy Services to provide technical services.

CONNECTING THE CONTINENT

The BBR line has not only shortened the geographical distances between countries, turnaround time and efficiency, but it has primarily reduced the gap between the people of the region and access to modern infrastructure as:

Traffic moves through borders with minimum hassles. Shortened transit and wagon turn around times.

Same gauge railway implies that no transshipments of cargo from loading point to destination. Guaranteed availability of shared resources for international traffic. TheNorth-South corridor [Beitbridge Rail Corridor] is a 3,500 km continuous railway line run by 4 national railways and BBRwhichare all members of the Southern Africa Railways Association (SARA), running through South Africa, Zimbabwe, Zambia and DRC with anoption todivert traffic via Swaziland.

NEW LOCOMOTIVES

BBR has deployed 6 new 3,000 HP locomotives which have replaced the old smaller class 35 GE locomotives thereby improving the trailing load capacity and transit time. The locos are being used to move local traffic i.e. PPC traffic and transit traffic from Beitbridge to Victoria Falls using a block train operational concept which entails moving a load all the way from Beitbridge to Victoria Falls without breaking the load. This concept is more efficient and provides ourcustomers with a transit time of 30 hours over a distance of 814 km.

www.nlpi.net

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BUY ‘N’ BUILD

aving the right brands and the best quality products don’t define a great hardware store.

At Buy ‘n’ Build, that’s just the beginning. Supplying high quality, brand name products at affordable prices is important, but what really matters to Buy and Build Hardware is that we create a compelling alternative for customers seeking convenient and knowledgeable home repair solutions. Buy and Build Hardware strives to create a quick, in-and-out shopping experience with knowledge and personalised customer service and convenient ordering capabilities. With locations throughout Zimbabwe, Buy and Build offer exceptional service from our trained staff and are always available to help and ready to assist you with selecting the right hardware, electrical, plumbing, automotive, housewares, home improvement, paint, or lawn & garden supplies. In addition to specialising in commercial

Njombo Lekula, Managing Director

and homeowner hardware, we have an industrial sales division that caters to

up to September were the busiest period for the company and are often widely regarded as the peak period in Zimbabwe construction. “With the improved delivery thanks to our new palletiser at the factory, we were able to get more of our products out into the market, meaning a stronger brand presence for the consumer. We also had key marketing campaigns across various mediums which further drove our message across to the customer that PPC is the brand you can always rely on,” remarks Stephens.

PPC Zimbabwe has faced a series of further challenges in their sector over the last 18 months. The rising cost of manufacturing in Zimbabwe has hit an all time high, forcing many companies in the country to close their doors permanently. When you couple this with the ongoing currency depreciation in neighbouring countries South Africa, Botswana, Zambia and Mozambique against the US Dollar, the buying power of the bordering companies, who account for 15% of PPC’s turnover, is greatly reduced. PPC Zimbabwe is acutely aware that these short term

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our corporate customers, and a rental department which offers competitive rates on almost everything we sell. “What makes us different is how we respond to what we hear from our customers every day: It’s about this product, - the one I need right now.” Welcome Mabuza - Managing Director Tel +263 60051 Email sales@buynbuild.com

www.buynbuild.com

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impacts are a problem; the medium to long term outlook is much better for the business. “Having seen many companies, both in Zimbabwe and in neighbouring countries downsizing or closing their doors due to the economic situation in Southern Africa, I feel that although it is currently a problem, it will not be this way forever. Over the next three to five years, I am confident we will begin to see an upsurge in the cement manufacturing and construction markets, provided that we can get over the current economic impasse,” cites Stephens.

A Housing Backlog

Low income housing in Zimbabwe has become a matter of national importance. There have been a growing number of low income housing projects being created in the country, but not fast enough to keep up with the ever increasing number of families looking for a new home. With urban drift being cited as one of the main reasons, as well as a rise in the average cost of living, PPC Zimbabwe has jumped into the fray and begun looking at ways to help ease the backlog and create a system in order to find a solution. Although there is no magic wand that can fix this problem overnight, Stephens explains how PPC Zimbabwe will work on easing the house shortage: “Low income housing has become a sore point in the country. There are many

FREIGHT CONSULTANTS

reight Consultants Bulawayo Zimbabwe was established in 2005 by Mike and Lily Milne, who have over 40 years of experience in the freight industry. With immense knowledge of customs clearing and freight procedures by land, sea and air, Freight Consultants are able to offer our clients a professional service and believe in keeping our clients informed whilst we are handling their shipments. 127A Main Street Bulawayo Zimbabwe Tel +263 9 72920 |+263 9 72921 | +263 9 72923|+263 9 72926 Email cargoair@mweb.co.zw | freightcons@yoafrica.com

Bulawayo Cement Factory

Collen Bawn Plant

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M A N U F A C T U R I N G

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families who have moved out of the urban areas and into the surrounding areas as they can no longer afford to live in the city. The problem is that there are more people than there are houses available to put them in. We are looking at ways to become a big part of easing the backlog, but it will not be an overnight fix, it will take time, but we are prepared to give the necessary time for the projects.”

Training the New Generation

With a smaller talent pool than their neighbours in South Africa, PPC Zimbabwe has placed emphasis on in-house training for all new staff. In conjunction with parent company PPC Ltd, PPC Zimbabwe has brought in university students on placements to give them a feel for what the industry is really like. As well as university students, the company has an apprenticeship

PPC Zimbabwe has placed emphasis on in-house training for all new staff” scheme that hires more applicants than spaces available in order to educate pupils on the manufacturing sector. Now while this may seem a little odd, Stephens says that it is the perfect way to train up workers for the future of industry: “By bringing in more apprentices than necessary, we are actually giving people relevant training, who upon leaving our scheme will have the necessary skill set and qualifications to enter into the industry as opposed to having to find another way into a job. For every person we train up, it is another chance for them to help shape Zimbabwe’s manufacturing industry down the line, because you never know when you might just give a chance to someone who could help revolutionise the sector in a few years.”

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Launch of PPC Zimbabwe 42,5 Surebuild Cement “Promotion bag” handed to the Mayor, City of Bulawayo, His Worship, Clr M Moyo, August 2014

Colleen Bawn Plant

M A N U F A C T U R I N G

Bulawayo Factory

Moving the Company Forward With the success seen over the last five years and a record sales month in September, PPC Zimbabwe is looking at transferring this success from year to year. With the new plant coming online in mid-2016, continued investment in the current facilities and a dedicated employee base at the heart of PPC Zimbabwe, the company has all the right tools to ensure it remains a market leading specialist for the next 100 years.

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ENQUIRIES Tel (UK): +44 (0) 1603 559 151 Tel (SA): +27 (0) 21 527 0053 ben.weaver@outlookpublishing.com

SUBSCRIPTIONS Tel (UK): +44 (0) 1603 559 152 matthew.bone@outlookpublishing.com

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PPC Zimbabwe P.O. Box 1493 Bulawayo Zimbabwe Tel & Fax: 00263 9 74205 00263 9 74455 00263 9 74761 Email: sales@ppc.co.zw|admin@ppc.co.zw

http://www.ppc.co.za/