The Rise of Aliko Dangote Part 11

Cement: The Game-Changer**

The pivotal moment in Aliko Dangote’s illustrious business career came with his strategic entry into the cement industry—a move that would not only revolutionize his business empire but also significantly impact the economic landscape of Nigeria and the entire African continent. The late 1990s presented a unique challenge and opportunity: Nigeria, despite its rapidly growing construction industry, was grappling with a severe shortage of cement. This shortage was stifling the country’s infrastructure development, driving up costs, and creating a reliance on expensive imports. Sensing a significant opportunity to both address a critical national issue and further cement his status as a business leader, Dangote decided to shift his focus from importing cement to producing it locally.

Until then, Dangote had made his mark by importing and distributing essential commodities, including cement. However, the limitations and unpredictability of the import market, coupled with the rising demand for cement, led him to consider a more sustainable and profitable approach: local manufacturing. In 2000, this vision took a concrete form when the Dangote Group entered into a joint venture with the Nigerian government to take over the management of the Benue Cement Company, a state-owned enterprise that had been struggling for years. This partnership marked Dangote’s formal entry into the cement manufacturing sector and laid the groundwork for what would become the largest cement production network in Africa.