The Construction Industries Federation of Namibia (CIF) has formally called for the withdrawal of the proposed merger between Ohorongo Cement and Cheetah Cement, warning that the deal threatens competition and could harm local contractors. The call follows concerns raised by industries, mines and energy minister Modestus Amutse, who has not yet made a final decision on the merger.
According to a statement from the CIF, the merger would create a dominant player in Namibia's cement market, potentially leading to higher prices and reduced choices for construction firms. The federation argues that this would particularly impact small and medium-sized contractors who rely on competitive pricing.
Ohorongo Cement, based in Otavi, is Namibia's only integrated cement producer, while Cheetah Cement imports and distributes cement. The merger was first announced in early 2026, but has faced opposition from industry stakeholders. The Namibian Competition Commission is reviewing the case and is expected to issue a ruling later this year.
Minister Amutse has stated that his ministry is carefully evaluating the merger's implications for the local construction sector. He emphasized the need to balance economic efficiency with fair competition. The CIF has urged the government to prioritize the interests of local businesses and ensure a level playing field.
