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Dangote Cement To Pay N40.39bn In Corporate Tax

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Nigeria’s Dangote Cement Plc is expected to pay a total of N40.39 billion in taxation to the nation’s treasury from its operational result in the first quarter of 2021.

According to the financial result published by the country’s largest cement manufacturer on Friday, April 30, 2021, the amount is due from corporate tax for the period ended March 31, 2021.

The amount of corporate tax due from Dangote Cement in the first three month of this year is higher by 47.1 per cent compared with the N27.47 billion paid in the corresponding period of 2020 financial year.

In addition, the company currently pays over N240 million Value Added Tax (VAT) daily to the government, making DCP one of the biggest private sector tax payers in the country.

As part of the company’s corporate social responsibility, in line with the government’s quest to boost infrastructural development in the country, Dangote Cement opted to provide funding for the constructions of major roads in Lagos and Kogi States. The roads are the critical Lagos Apapa Port road leading to the old toll gate and the Lokoja-Obajana-Kabba road straddling Kogi and Kwara states.

Further analysis of the financial report showed that the company ramped up production capacity in the Obajana Line 5 and resumed production at the Gboko plant to meet increased demand for its products.

Dangote Cement also increased total volume of cement sold in the first three months of the year from its Nigerian operations to 4.9Mt compared to the 4.0Mt sold in the first quarter of 2020.

Pan-African operations sold 2.6Mt of cement in the period under review compared to 2.3Mt sold in the corresponding period in 2020.

The cement maker said it’s making efforts to start the Okpella Plant before the end of June in order to meet the increasing demand for cement in the country and help to moderate prices in the market.

Commenting on the financial result, Dangote Cement GMD/Chief Executive Officer, Michel Puchercos, said that the company started the first quarter of 2021 on a positive note and recorded increases in revenue and profitability.

He stated that the cement company posted a profit after tax N89.7 billion.

“We took the strategic decision to pause our clinker exports to ensure we meet the rapid volume growth in the Nigerian domestic market. We are improving the output of our existing and new assets and aim to recommence clinker exports in the second quarter.

“Our Pan-Africa operations have reached new heights, with an EBITDA margin of 25.5 percent and volume growth of 12.8 percent reported during the quarter.

“One of our priorities in 2021 is to strengthen our alternative fuel initiative. It focuses on leveraging the circular economy business model, optimising costs and reducing exposure of our cost base to foreign currency fluctuations.
As ever, we are committed to keeping our staff and communities safe by being fully compliant with health and safety measures in all our territories of operation.”

Dangote Cement Plc is sub-Saharan Africa’s largest cement producer with an installed capacity of 48.6Mta across 10 African countries and operates a fully integrated “quarry-to-customer” business with activities covering manufacturing, sales and distribution of cement.

Dangote Cement has a long-term credit rating of AAA+ by GCR and Aa2.ng by Moody’s due to its market-leading position, significant operational scale and strong financial profile evidenced by the company’s robust operating and net profit margins relative to regional and global peers, adequate working capital, satisfactory cash flow and low leverage.

Dangote Cement is a subsidiary of Dangote Industries Limited, a diversified and fully integrated conglomerate as well as a leading brand across Africa in businesses such as cement, sugar, salt, beverages, and real estate, with new multi-billion dollar projects underway in the oil and gas, petrochemical, fertiliser and agricultural sectors.

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JUST IN: Nigeria’s Inflation Rate Drops To 18.12%

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Nigeria’s rate of inflation dropped to 18.12 per cent in April 2021, the National Bureau of Statistics (NBS) said on Monday

It was 18.17 per cent in March, shedding 0.05 per cent to close at 18.12 in April.

The NBS said: “The Consumer Price Index, which measures inflation increased by 18.12 per cent (year-on-year) in April 2021.

“This is 0.05 per cent points lower than the rate recorded in March 2021 (18.17 per cent).”

The 0.05 per cent drop in April 2021 was the first time Nigeria’s inflation rate would fall in about 20 months as the last time it fell was in 2019 when the CPI shed 0.06 per cent, falling from 11.08 per cent in July to 11.02 in August.

In its April 2021 inflation report, the NBS stated increases were recorded in all Classification of Individual Consumption by Purpose divisions that yielded the headline index.

On a month-on-month basis, the headline index increased by 0.97 per cent in April 2021, this was a 0.59 per cent rate lower than the rate recorded in March 2021 (1.56 per cent).

The percentage change in the average composite CPI for the 12 months period ending April 2021 over the average of the CPI for the previous 12 months period was 15.04 per cent, showing 0.48 per cent point from 14.55 per cent recorded in March 2021.

The urban inflation rate increased by 18.68 per cent year-on-year in April 2021 from 18.76 per cent recorded in March 2021, while the rural inflation rate increased by 17.57 per cent in April 2021 from 17.60 per cent in March 2021.

On a month-on-month basis, the urban index rose by 0.99 per cent in April 2021, down by 0.61 the rate recorded in March 2021 (1.60 per cent).

The rural index also rose by 0.95 per cent in April 2021, down by 0.57 the rate that was recorded in March 2021(1.52 per cent).

The corresponding 12-month year-on-year average percentage change for the urban index was 15.63 per cent in April 2021.

This was higher than 15.15 per cent reported in March 2021, while the corresponding rural inflation rate in April 2021 was 14.48 per cent compared to 13.99 per cent recorded in March 2021.

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SMEs Has Key Role In Economy Post-COVID –Institute

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The National Institute of Marketing of Nigeria says Small and Medium Enterprises will play a significant role in the post-COVID-19 world.

In a statement, the institute said conversations on this would be held at its two-day Annual Marketing Conference scheduled to hold later in May.

Speaking ahead of the AMC, the President of NIMN, Tony Agenmonmen, said the conference’s theme was informed by the “very significant roles” that SMEs played in the economic and social lives of the nation, in terms of employment generation, poverty reduction, and contribution to the Gross Domestic Product.

Agenmonmen said the AMC would be an avenue to present the account of stewardship of the institute’s leadership for the year ended December 31, 2020.

He said, “This will be my last AMC as the president and chairman of the council of our great institute.

Therefore, I will also use the occasion to present my stewardship for the over four years that I have had the privilege of leading my colleagues in the council, to lay a solid foundation and an irreversible growth for the institute.”

Meanwhile, the institute said it had inaugurated an eight-man disciplinary panel to look into the activities of quacks in the profession.

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Edo Government To Commence Building Of Int’l Market For Electrical, Electronic Materials

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As part of efforts towards making Edo State a preferred investment destination, the state government has facilitated a memorandum of understanding (MoU) with investors for the building of the Monee International Market in the state.

To facilitate the process, the government had earlier granted a waiver to the investor in the payment of planning fees, besides other government efforts.

The MoU was signed by members of the Board of Trustees (BOT) of Monee International Market, the developer, Alicesons Property Market Limited, and lawyers for both parties at the ESIPO office in Benin City.

The international market located on Agbor Road, Benin City is for the sales of electrical and electronic materials as well as building materials.

On completion, it will create 20,00 direct and indirect jobs for the populace and also be seen as a significant economic impetus for the development of the state.

The investor stated that it will alter the original plan of the market to increase the number of building so as to accommodate up to 2,860 stores from the original 1,290.

Speaking at the MoU signing ceremony, the Managing Director of Edo State Investment Promotion Office (ESIPO), Mr Kelvin Uwaibi assured the investor of government support towards completing the project soon.

According to him, “As a government, you have our support to move to site two weeks from today.

“Let me say that God’s hand is in this project. We are doing this and prosperity will hold us accountable.

”We all want to change Nigeria for the better and this is one thing we are doing to bring that change; working with all sincerity to make good things happen in our state which will legitimately put money into the pockets of our people through trading will help the Nigeria economy,” he added.

Chief Sam Awiaka who spoke on behalf of the BoT of Monee International Market said that the project has lingered for years.

He commended the courage and efforts of ESIPO in facilitating the project, urging stakeholders not to relent until the project completion.

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