Hosted by JSE-listed cement major PPC, industry stakeholders and members of the media came together last month to recognise Africa Day 2013 and to discuss infrastructure development on the continent.

This year’s Africa Day, an annual celebration commemorating the founding of the Organisation of African Unity on May 25, 1963, marked the fiftieth anniversary of the organisation, now known as the African Union.

In his keynote address at the event, Rwanda high commissioner to South Africa Vincent Karega highlighted several his- toric events commemorated through Africa Day, especially in terms of political independence in most African countries.

He mentioned the abolition of apartheid and the subsequent unity and reconciliation in South Africa, as well as the successful peace missions in parts of Africa, “where disorder once prevailed”.

“The occasion also reminds us of lost decades of economic growth and transformation, poor and corrupt governance, disease, hunger and war,” said Karega.

He further described Africa as a rising continent of hope, pinpointing infrastructure as a cornerstone for its development.

“Several reforms have taken place in Africa, in terms of governance, fiscal management, education and a redefinition of new terms of trade. In addition, Africa has plans at regional and continental level for growth and integration.”

Highlighting the opportunities that infrastructure had to offer, Karega pointed out that, as infrastructure was labour-intensive, it increased the rate of employment and stimulated financing and the upskilling of labour.

“There are efforts under way in Africa and defining projects in energy and transport, which give hope that growth on the continent will be fast-tracked through infrastructure development,” he said.

PPC business development executive Victor Kgomoeswana added that infrastructure development would provide a foundation for growth across Africa as it came with the ability to trade.

“The free trade area in East Africa will give companies access to 300-million people [in the region],” he said, adding that growth in the economy is matched or slightly exceeding growth of expenditure on items like cement and other materials necessary to establish infrastructure in a country.

“Africa has a population exceeding one-billion people and it is well placed as an emerging market, keen for investment and growth. “It has also successfully maintained an average growth rate of 4% for the past few years as a continent. Further, World Bank reports show that Africa’s inter-regional trade is only around 10% of its total trade in comparison to about 40% in the US and 60% in Western Europe,” added Kgomoeswana.

PPC’s Africa Day celebrations further gave prominence to Rwanda’s achievements as a country, highlighting its significant journey in less than 20 years, from a civil-war-ravaged nation in 1994 to one of the most stable nations on the continent, according to the World Bank.

Kgomoeswana compared Rwanda’s long-term development with the vision of the African Union, which involves integration and economic prosperity. He further described Rwanda as “a shining example of how Africa can overcome any obstacle”.

Karega highlighted Rwanda’s steady 8% growth rate in the last decade. “As a country, Rwanda has learnt its lesson. We’ve changed and we are ready for development,” he said.

PPC made significant progress in Africa last year, having acquired a 27% stake in Ethiopia-based cement firm Habesha Cement Share Company for $12-million in July, followed by a 51% stake in Rwanda-based cement manufacturer Cimerwa for $70-million in December.

“PPC has also received its Zimbabwean indigenisation certificate, which has opened the way for expanding operations there. Already, 22% of PPC’s revenue comes from outside South Africa, but the target is to increase this to 40% by our 2016 financial year,” says PPC CEO Ketso Gordhan.

To achieve PPC’s revenue goal, Gordhan recently announced that PPC plans to establish a presence in the Democratic Republic of Congo (DRC) with a $200-million factory.

“By the last quarter of 2015, we should begin cement production almost simultaneously in Ethiopia, Rwanda and the DRC. Zimbabwe will probably follow between six and nine months later,” says Gordhan.