Cement manufacturers to secure licences or shut down-Trade Minister

The Minister of Trade and Industry, K.T. Hammond, has mandated that cement manufacturers obtain the necessary licenses or cease production immediately.

This directive, issued last Tuesday to the Cement Manufacturing Development Committee (CMDC), follows the implementation of the Ghana Standards Authority’s (GSA) Manufacture of Cement Regulation, 2023 (L.I. 2480). The regulation requires all current companies to re-register and obtain a license while barring new factories from operating without one.

Professor Alex Dodoo, Director-General of the GSA and chair of the CMDC, explained that any cement company operating without a license violates the law under this regulation. 

According to Section 17 of L.I. 2480, anyone manufacturing cement without a license commits an offense and faces imprisonment of between 12 months and two years if convicted.

Prof. Dodoo further stated that the cement industry in Ghana has long operated without sufficient oversight. 

However, since the new law came into effect, manufacturers have been urged to comply, as highlighted in two public notices published in the Daily Graphic.

The regulation aims to address multiple concerns, including rising cement prices, which currently average GH¢105 per bag, and to ensure high-quality cement production in approved locations. This shift is also intended to protect both the environment and consumers.

Prof. Dodoo also emphasized that while the CMDC is responsible for recommending licensing procedures, the Minister of Trade and Industry has the authority to oversee compliance.

The new licensing system will require all existing manufacturers to meet quality standards, with time granted to those who need to make adjustments. As per Section 18 of the law, those wishing to produce cement must submit a formal application to the minister, including a prescribed fee.