OSHANA Region Governor, Clemens Kashuupulwa, recently officially opened the Ohorongo Cement Ondangwa Depot, which will cater for the distribution of cement to the four northern regions, and if feasible, export markets to Southern Angola.
The governor commended Ohorongo Cement for its bold decision to make this N$4 million investment, despite the current economic trying times.
“It is very pleasing to see Ohorongo Cement being optimistic to continue commiting to capital projects, as it will position them well for future endeavours. As for their presence in Ondangwa, I believe it will support entrepreneurial drives in the four northern regions,” the governor said.
The new depot is a result of private-public partnership agreement with TransNamib to lease land at the Ondangwa railway station, and is part of the Northern Railway Extension project, which extends from Tsumeb to Oshikango.
Kashuupulwa said that the partnership between Ohorongo Cement and TransNamib is a lesson for all, “as these two entities have proven to us that the Northern Railway is a good investment by our government that could bring positive changes to this part of the country. Thus, both the public and the private sectors need take advantage of its strategic location and close proximity to regional and international markets.”
Ohorongo Cement invested N$4 million into the infrastructure for the distribution of various cement types, including the CEM II 42.5 N, CEM I 42.5 R, CEM II 32.5 N B-LL. These are for the local market, while CEM II 42.5 N, which is Portuguese labelled, will also be available for the export markets in neighbouring Angola.
“We are taking this opportunity to expand whilst building local value chains and solid business relationships. We believe that the spin-offs for… local entrepreneurs, especially the transporters, will be great,” said Hans-Wilhelm Schütte, Managing Director of Ohorongo Cement.
Schütte encouraged Namibian public and private business to work together, in order to contribute meaningfully to the country’s national goals of becoming a prosperous nation, through securing livelihoods, protecting jobs, creating new ones and reducing poverty.
“This spirit of cooperation and unity of purpose will take our country many steps forward on the path of socio-economic development and the realisation of our national goals, such as NDP5, the Harambee Prosperity Plan and Vision 2030,” added the TransNamib’s Acting Marketing and Commercial Executive, Zebby Mukungu.
Building material retailers and cement transporters, as well as officials from the Ondangwa Town Council, were amongst those who attended the event.
The depot opened on 17 August this year at Ondangwa, situated on leased land for a nine-year period from TransNamib, directly next to the rail.
Approximately 44 percent of Ohorongo Cement’s sales come from the North, which is set to increase as a result of the Ondangwa depot. There has been an increase in building supply sales in the North, due to the movement from traditional huts to modern housing and other facilities. For Ohorongo Cement, rail transportation is cheaper and also reduces the truck traffic on the country’s roads.
Direct sales are done at the depot and entrepreneurs can buy by the truck load. The depot has created at least six permanent and other outsourced jobs.
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