Somaliland: Cement Factory Controversy Solved


By: Yusuf M Hasan

HARGEISA (Somalilandsun) – The cost of construction in the country is set to be lowered after the Berbera cement becomes operational.

According to Dawan media group reports, this outcome is as a result of an accord reached by a number of interested investors during a two days meeting held in Hargeisa where the division of shares in the Berbera factory were agreed upon.

Shares in the cement factory that has been moribund for over two decades have in the past elicited a lot of heated debates and animosity between diverse investors and Sahil region residents who claim ownership of the factory.

During the Hargeisa meeting, participating business concerns, government officials and Sahil region representatives were unanimous on the imperative need for rehabilitating the cement factory thus the acquiescence in shares apportioning i.e.

• Sahil region residents 40%

• Dahabshil company 20%

• Kuwaiti Tycoon 20%

• MSG 40% &

• Government 10%

Returns from the 10% government owned shares will be utilized to develop local communities in Sahil region where the factory is situated.

If this arrangement kicks-off it will bring an end to a long running conflict as to who has the right to the factory, a conflict that has impacted negatively in the economy as the price of imported cement has thrown construction prices to the peak thus deterring low income earners the opportunity to live in owner-occupier houses.