Dzata Cement proves Ghanaians can build large-scale businesses – Ibrahim Mahama

Business tycoon Ibrahim Mahama has advocated for increased confidence in Ghanaian citizens and implored the government to offer targeted assistance to facilitate the expansion of local entrepreneurs. He emphasized that entrepreneurship is not merely about creating a thriving company, but also ensuring its longevity beyond the founder's tenure.

Mahama, who serves as the Founder, Sole Shareholder and Group Chief Executive Officer of DZATA Holdings, established Dzata Cement with the goal of proving that Ghanaians could create substantial businesses instead of constantly relying on foreign-owned entities. During the company's fifth-anniversary celebration of Dzata Cement, a Portland cement production factory in Tema, Mahama stated that his experiences and accomplishments in founding Dzata Cement served as proof that Ghanaian entrepreneurs possess the ability to conceive, finance, construct, and operate large-scale industrial businesses capable of competing in sectors vital to national development.

Dzata Cement, the sole Ethiopian-owned cement manufacturing company, commemorated its five-year milestone on Tuesday, demonstrating that domestic enterprises can prosper in various sectors. Mahama endured substantial financial, operational, and market obstacles while building the company into a flourishing and recognized brand within Ghana's construction industry.

Dzata Cement's journey, therefore, signifies more than the establishment of a manufacturing facility; it is a testament to the founder's entrepreneurial vision, challenging the entrenched belief that large-scale industrial ventures, particularly in the cement industry, must be owned and built by foreign entities. Five years later, the cement manufacturing operation, situated on a 10-acre plot near Tema Port, represents an investment of over $100 million.

The plant utilizes technology from German equipment developer Haver & Boecker to produce Portland Cement, with bagging lines capable of producing up to 120 bags per minute. The company's current operations can generate approximately 80,000 bags daily, equivalent to around two million tonnes annually. The company anticipates producing its 30 millionth bag of cement within days, marking a significant production milestone in its five-year operation.

Mahama also encouraged leaders to challenge young individuals with responsibility to foster a new generation of "doers" who can eventually assume leadership roles. He expressed his intention to step away from the day-to-day management of Dzata Cement to enable younger leaders to take risks, gain experience, and enhance their managerial skills.

"In life, some of us need to learn these lessons. We won't live forever. So sometimes, we should give the children the opportunity to take that risk of managing," Mahama stated. Mahama outlined his broader succession strategy: "We start running together, and then as our children grow, we employ them into the business, teach them, and eventually go into retirement."

This philosophy is already evident at Dzata, where his daughter, Nafisa Mahama, serves as Managing Director. Mahama recounted the origins of Dzata Cement, which trace back to his days as a cement transporter and mining contractor. His experience transporting cement allowed him to closely observe the industry, including the manufacturing and distribution processes.

Upon witnessing the Ghacem facility in Takoradi and studying how cement was produced, Mahama resolved that he could build a similar facility. He recalled that this determination transformed into an investment decision. Mahama traveled to Germany, collaborated with equipment manufacturers, and began assembling the financing necessary to establish the plant.

Despite facing significant financial and operational challenges during construction and installation, Mahama remained committed to his vision. He credited his younger brother and other individuals for providing support that enabled the completion of the equipment installation. Mahama praised distributors who stood by the company during its challenging early stages, helping the company overcome obstacles such as raising funds to clear imported clinker and ensuring that Dzata Cement could commence operations.

He also acknowledged the support of former Trade and Industry Minister Alan Kwadwo Kyerematen during the administration of former President Nana Addo Dankwa Akufo-Addo, expressing gratitude for the minister's backing. Mahama's entrepreneurial journey was also influenced by skepticism from some industry players. He remembered an encounter with an expatriate executive who doubted the feasibility of a Ghanaian constructing a cement plant.

This comment fueled Mahama's determination to outperform the skeptics. Nafisa Mahama, the Managing Director of Dzata Cement, expressed her gratitude to customers on the occasion of the company's fifth anniversary, acknowledging their confidence that had contributed to the company's achievement.