Cimentos de Moçambique has shut down its 0.25Mta grinding plant in Matola, reportedly due to the fact that the company is operating significantly below capacity.

"We closed the factory because there's no market. Right now the unit serves as a back-up for the main factory, in the event that it needs to stop for maintenance," said general manager, Edney Vieira, in O Pais. "The financial results are very negative. We're in crisis."

According to Mr Vieira, the current level of demand means that the company could only guarantee operation at 50 per cent the level of installed capacity. "With the current scenario, it's practically impossible to make new investments in this sector, because there's a very high risk."