By our staff reporter
Builders Up Construction Material Manufacturing Plc (BUCMM), a large-scale manufacturing facility for paver and high-grade blocks, has announced the commencement of its operations. The factory, located on a 10,000-square-meter plot of land in Dukem, Oromia region, approximately 30 kilometers east of Addis Ababa, has started production despite ongoing construction work.
The primary objective of the factory is to meet the increasing demand for construction inputs in the industry. Wondwossen Mengistu, the Project Manager and Shareholder of BUCMM, explained that while there are many block and paver block producers in the country, most operate on a small scale using traditional methods. BUCMM aims to address this gap in the market and contribute to the construction sector’s growth in Ethiopia.
The construction of the facility has been underway for the past 18 months, allowing the company to begin production and supply the market. Wondwossen emphasized that BUCMM’s business model sets it apart from others, as it focuses on producing high-quality products with minimal waste and lower production costs. The company aims to provide a sustainable and substantial supply of construction materials to meet the needs of government projects, large-scale developers, and real estate investors.
To establish a profitable venture in the industry, BUCMM has invested over 400 million birr. GLOBMAC Heavy Duty Machinery Manufacturer, a Turkish engineering company, has played a significant role in providing state-of-the-art machinery for the facility. After completing the necessary construction and installation work, GLOBMAC has also conducted training for local staff to ensure a smooth transition of operations.
The factory is capable of producing paver blocks in various thicknesses and sizes. In an eight-hour shift, the production plant can manufacture paver blocks measuring 2,500 square meters with a thickness of six or eight centimeters. Wondwossen noted that the company is flexible and can adjust production based on market demand, including the production of thicker pavers that can withstand heavy-duty machines.
With its strategic location near the Addis-Adama Expressway, the factory provides easy access for transportation to the eastern and southern regions of the country. Builders Up has taken the initiative to install two kilometers of electricity lines to facilitate prompt production. The company is also seeking additional financing to complete remaining tasks such as building a steaming room and shade area, which will expedite the drying process of the blocks.
Builders Up aims to create over 150 direct jobs and has established a partnership with a local association of youth who provide raw materials located approximately 10 kilometers from the plant. The company seeks government support to ensure a sustainable supply of cement and additional funding to fulfill the rising demand and maintain production levels.
The housing and construction sectors in Ethiopia are expected to experience significant growth in the coming years due to urbanization and other economic factors. The government has set a goal to increase the number of residential homes from the current four million to double that amount over the next decade. Mass production of construction materials will contribute to the realization of affordable housing and address the housing deficit in the country.
According to the Ministry of Urban Development and Infrastructure, approximately 30 percent of existing homes in Ethiopia are subpar, and 74 percent require extensive renovations. The government’s ambitious plan aims to address these challenges and improve the housing conditions for its citizens. As urbanization continues to increase, the construction industry will play a crucial role in meeting the growing demand for housing in Ethiopia.