The management of Ghana Cement (GHACEM), has expressed its displeasure at the 5% tax slapped on the importation of clinker - the main raw material for producing cement, which is a disincentive to local cement production.

Parliament enacted Act 615 on 18 July 2002, which closed the 10% differential duty gap between cement importers and importers of raw materials to 5%, making it more attractive to the importers.

This came to light during a press tour of the Tema site of the factory yesterday.

US $8 million has been earmarked for the expansion and modernization of Ghacem's operations at Tema and Takoradi.

The Tema Plant expansion works which have commenced is valued at US$6m and involves the construction of 3000 tonne capacity silos and the installation of new packing machines and two separators for the mills.

Ghacem gave the assurance that the capital injections would improve cement quality, reduce energy consumption, which costs them 1.3 billion monthly, and ensure efficient production as well as reduce environmental impact.

Mr. Castro Telli Dodoh, the Human Resource Manager said the 5% differential has increased competition at the market causing low production with a subsequent scaling down of workers. "There is no need to employ lots of workers when operations are scaled down which does not promote the objectives of Golden Age of Business."

The Human Resource Manager said management has initiated health strategies to see to the safety and welfare of workers. These include hospitals at all their sites, HIV/AIDS sensitization of workers among others.

Mr. Bjarne Schmidt, the new Managing Director of Ghacem Limited urged the government to protect the interests of local cement producers, as was the case before the new law was enacted.

He said if the nation becomes overdependent on imported cement, there is a probability that local manufacturing companies would collapse. He said with his leadership the company would co-operate with government to create condusive conditions for the mutual benefit of both cement and clinker importers.

Mr. Isaac Kwasi Attah, Production Manager, disclosed that the Tema site is currently producing 1.2 million tonnes of cement per a day with 200 permanent employees.

He said the fresh injection of capital clearly demonstrates the long-term commitment of Ghacem to continue to supply the Ghanaian market with high quality cement.

The Ghacem plant was commissioned in 1965 to supply cement to Tema Harbour, the Kwame Nkrumah Motorway, dry docks and steel works. A German Cement Producer Heidelberg currently the owner of Ghacem has 95% shares whiles the workers of Ghacem own the remaining 5% shares.