EAPC Bets on Scale and Efficiency as It Seeks a Comeback in Kenya’s Cement Market

East African Portland Cement (EAPC) is making a strong comeback push with a planned $200 million (about Sh25.8 billion) expansion that aims to sharply raise output and lower production costs. Instead of just growing for size, the investment signals a strategy to rebuild competitiveness in a tough cement market where efficiency and scale matter more than ever.

The expansion, backed by the Amsons Group through its subsidiary Kalahari Cement, is designed to lift EAPC’s annual cement production from about 1.3 million tonnes to nearly 4 million tonnes within three years. For the business, this means better use of fixed assets, lower unit costs, and stronger ability to compete with both local and regional rivals.

Most of the money will be spent at EAPC’s Kajiado plant, where the company plans to install new clinker and grinding facilities, upgrade energy systems, and modernise its core production lines. A new clinker plant will be delivered on a turnkey basis by an international engineering contractor, helping EAPC cut reliance on outsourced clinker and manage costs more tightly.

From a business perspective, energy efficiency is a key part of the plan. Cement production is power-intensive, and reducing energy costs can have a big impact on margins. The upgrades are also expected to improve reliability and reduce downtime, which has been a long-standing challenge for the firm.

Amsons Group says the first phase of funding is already in place, giving the project momentum after years of uncertainty around EAPC’s future. Beyond machines and buildings, the plan also includes staff welfare and operational improvements, pointing to a broader turnaround rather than a short-term capacity boost

If executed as planned, the expansion could reposition EAPC as a serious player again, with enough scale to serve large construction demand while spreading costs more efficiently. In a sector driven by volumes, pricing pressure, and energy costs, EAPC’s bet is clear: bigger, leaner operations are the path back to relevance and profitability.