Constructing an integrated continent

necessary in any large infrastructure project. PPC’s choice of countries to invest in was deliberate. Not only do these have a high potential domestic demand for cement and related products, but they are strategically positioned to serve neighbouring countries in regions where they are situated.

Importantly, we don’t see ourselves as just cement producers; we see ourselves as playing a bigger role in contributing to the growth and development of all our chosen markets and the continent at large; igniting meaningful collaboration both within and outside our organisation. We call this ethos “Strength beyond”, which is entrenched throughout our business.

Many of Africa’s 55 countries are small, with populations of fewer than 20 million and economies of less than $10bn. Their infrastructure systems, like their borders, are reflections of the continent’s colonial past, with roads, ports and railroads built for resource extraction and political control, rather than to bind territories together economically or socially. Most would battle to build the critical infrastructure on their own and require partners that are driven by the same objectives.

A proactive approach involving delivery-focused partnerships will be a gamechanger as it will bring together small and big economies to deliver mega regional infrastructure projects. The essential benefit of regional infrastructure is the formation of large, competitive markets instead of the current collection of small, isolated and inefficient ones. Undoubtedly, the industry will benefit during the construction phase as large competitive markets form as a result of integrated economic development.

Perhaps the most obvious example are logistics ports that will facilitate easy movement of goods across the continent with a consequent reduction in logistics costs. Initiatives such as the North-South Corridor and the Southern Africa Development Community (SADC) Infrastructure Master Plan present massive opportunities for public-private partnerships (PPPs).

There is recognition that PPP arrangements assist governments to close material financial, managerial and technical gaps, while supporting regional integration. For example, there is a $100bn funding gap for the SADC infrastructure plan. The NorthSouth Corridor project, conceived as the area between Durban and Dar es Salaam, is equally ambitious and costly. It comprises 157 projects in the North-South Corridor and includes 59 road projects; 38 rail projects and six bridge projects (Pida).

The AfCFTA provides a single rule book for doing business and investing in Africa, a rules-based framework for investing and doing business on the continent. It is precisely what the continent needs.