promoted by the government in meeting deliverables to the Zambian public. A
through high returns from the said business activity. It requires a capital
injection to kick start the economic activities and people’s lives.
The interest was driven by the fact
that, the very cement we were importing was a major factor in cost
ineffectiveness of building and maintaining a home. Maamba Bricks Ltd targets
to exploit a market opportunity that has arisen in the region markets in
Botswana, Namibia, Zimbabwe and Zambia. It is estimated that about
12,000,000 bricks will be sold annually to the above targeted countries broken
down into a minimum of about 3,000,000 bricks in each country.
As earlier stated, the idea to reintroduce the clay brick as a major component in
the construction of a home, instead of just a decorative addition. trading in clay
bricks commenced and we have been consistently doing that for 5 years. Why
import bricks? Why reduce market share of locally produced bricks? A living had
to be made and the decision to change from cement to clay bricks, was not only
a stroke of genius but also brought a realization of the past becoming the future.
A developing country such as Zambia requires to utilize all the necessary
resources adequately and prudently. This clay product is an adequate and
Zambia’s infrastructure revolution, coupled with Zambians exposure to regional
infrastructure designs, has increased the appetite for a diverse variety of
attractive building materials.
We tapped into the Zambian renewed desire for quality building products by
being a mirror for the clients desire for their preferred product.
The standard we aspire to start manufacturing is not just because their
attractiveness but they possess qualities that make their carbon credit rating as
being extremely favourable. Therefore, these products are vital in reducing the
carbon foot print on the environment.
The advantages of the bricks are as follows:
- Thermal properties of the bricks reduce the electricity consumption
- The bricks have life cycle of 500 years, therefore putting less strain on
- The bricks will add value to a building. The quality of the bricks used is visible
and not hidden behind plaster and paint.
- The cost comparison of these bricks and other products is incomparable.
There is no cost of plastering and repetitive painting or maintenance [re-
plastering and painting]. This reduces the cost of maintaining the building
- Clay bricks do not expand, shrink or crack like other products. This further
will reduce the cost of maintenance. Our desire to venture into establishing a
brick factory in Zambia, has been necessitated by the instability of fuel prices,
sudden changes in exchange rates and erratic changes in transport rates.
Government has agreed in principle to purchase a bulk of our future products,
due to the emergence of newly gazetted districts, that are to be constructed.
The detail activities of the business will include:
- Market Research and segmentation
- Production quantities according to the researched markets
- Installation of plant and equipment to meet the targeted quantities
- Recruitment of production labour force to meet the demands of the market
- Marketing to various stakeholders including the government of the Republic of
Zambia as a major stakeholder in national infrastructure development
5.0 BUSINESS LOCATION
The physical location of the business will be in Maamba in the Southern part of
Zambia which is conducive to this type of business owing to the abundant clay
soils and other natural resources required to effective conduct the business.
6.0 STAKEHOLDER ANALYSIS
As stated above, the government of the Republic of Zambia will be the major
stakeholder in terms of market share and also guidance to the kind of
infrastructure development agenda. This will lead to other government
departments and its labour force requiring the clay bricks.
7.0 FUNDING REQUIREMENT
To achieve the desired production quantities according to the market research,
the company will require a total investment of US$ 12,150,000 specifically for
Initial project reports US$ 200,000
Leasehold Land and clay US$ 800,000
Factory Buildings US$ 1,700,000
Machinery & Equipment US$ 8,250,000
Working Capital US$ 1,200,000
TOTAL CAPITALIZATION US$ 12,150,000