Despite N1.6trn Revenue, Dangote Cement Cuts Spending On Corporate Social Responsibility By Over 46%

Ukpe Philip

Jun 11, 2023



… As BUA, Lafarge Increase CSR Spending

Dangote Cement Plc which is Africa’s biggest cement manufacturer owned by billionaire businessman, Aliko Dangote, has cut its spending on Corporate Social Responsibility (CSR) by 46.3 per cent despite declaring mega revenue and profit from its operations in Nigerian communities.

The company’s spending on CSR was reduced from N3.53bn spent in 2021 to N1.89bn by the end of 2022.

Huge social responsibility initiatives are expected from cement companies considering the health hazards their activities could cost the communities where they reside.

According to the United States Environmental Protection Agency, the emissions of Sulfur dioxide (SO2) from cement plant into the environment in high concentrations could affect breathing and may aggravate existing respiratory and cardiovascular diseases.

This has aggravated the debates on why cement manufacturers should give more to the communities where they operate.

Although the company’s accounts did not provide reasons for the surprise cut, it is unrelated to its revenue or profit positions.

In 2022 full year, Dangote Cement posted record revenue of N1.61trn up from the N1.38trn recorded in 2021.

The cement maker also posted an impressive profit after tax which amounted to N382.3bn, higher than the N364.4bn posted in 2021.

Dangote’s market capitalisation on the Nigerian Exchange Limited is N4.8trn.

Dangote’s competitors in cement manufacturing like Lafarge WAPCO and BUA Cement Plc are raising their spending on CSR in the communities where they operate.

For instance, despite earning just N360.9bn revenue, less than a quarter of Dangote Cement’s revenue, BUA Nigeria’s second biggest cement maker spent N1.07bn on CRS compared.

The company spent N1.02bn that the company spends in 2021 when its revenue was N257.32bn.

BUA’s most notable CRS spendings were the construction of Afokpella – Camp concrete road – Okpella; Annual development levy- Okpella town and 10 units of pick-up double cabin van for Okpella vigilante security among 27 other projects.

BUA’s Market capitalisation is N3.1trn.

Lafarge, another cement manufacturer in 2022 spent N761m on diverse social investment programs and initiatives in Nigerian communities from its 2022 revenue of N373.2bn.

Lafarge increased its spending from N604.1m in 2021. In 2021 its revenue was N293.1bn.

Source: https://thewhistler.ng/despite-n1-6trn-revenue-dangote-cement-cuts-spending-on-corporate-social-responsibility-by-over-46/

Look at how Dangote has overtake and dust Lafarge aside

Baba God ooo, me too I want to buy Benz ooo, Dangote no get two head ooo, nah beg I dey beg ooo.

So much pressure on a male figure
I say in dollar I still want that ten figure
I need the kind money wey go make Dangote say
Who be this black skin man wey dey worry am o!

Parachoko:
Look at how Dangote has overtake and dust Lafarge aside

When did lafarge enter Nigeria .it bought the former west African Portland cement.
Th former west African Portland never had any plans of expansion despite it's advantage back then.it did not even want to produce a grade 42 cement if not that it found itself by bua and dangote that was producing grade 42.
The management of wapco was problematic compared to dangote cement that was seeking major share in the market.
Not the biggest plant by dangote is in kogi state and Ogun then you ask yourself why the excuse is on wapco side.
Lafarge came and saw the mess of wapco and has tried to its best of ability to manage what is on ground

Though he will make billions of dollars from his refinery, it is my opinion that taking the risk to build a refinery of that magnitude is enough Corporate Social Responsibility to Nigerians.

YinkaOlusesi16:
Baba God ooo, me too I want to buy Benz ooo, Dangote no get two head ooo, nah beg I dey beg ooo.

Dangote is a shadow of it's name when it comes to CSR and staff welfare. He's answering richest man in Africa, but his staff are being underpaid with zero retirement benefits. I used to envy dangote workers until a friend of mine breaks down everything to even showed me his payslip.
Lafarge on the other hand is operating on European standard, staff are paid well and retirement benefits is commendable. Even Bua is far above dangote in terms of staff welfare, salaries and CSR.
The major factor is dangote capitalized on "there's no jobs in Nigeria" and "the richest man in Africa" and well as weak government policies and institution to short change Nigerians.
Dangote cement produced in Nigeria is sold cheaper in Ghana compared to Nigeria. This is a Nigerian problem.

telleyway:


Dangote is a shadow of it's name when it comes to CSR and staff welfare. He's answering richest man in Africa, but his staff are being underpaid with zero retirement benefits. I used to envy dangote workers until a friend of mine breaks down everything to even showed me his payslip.
Lafarge on the other hand is operating on European standard, staff are paid well and retirement benefits is commendable. Even Bua is far above dangote in terms of staff welfare, salaries and CSR.
The major factor is dangote capitalized on "there's no jobs in Nigeria" and "the richest man in Africa" and well as weak government policies and institution to short change Nigerians.
Dangote cement produced in Nigeria is sold cheaper in Ghana compared to Nigeria. This is a Nigerian problem.

Dangote Cement is cheaper than Bua and Lafarge in Nigeria.

Parachoko:
Dangote Cement is cheaper than Bua and Lafarge in Nigeria.

That's a fat lie