Cement Giant LafargeHolcim Reinforces Its Position on the Georgian Market

During the 6000-year history of the existence of civilization, construction and architecture have always been distinguished. The scale and quality of the construction, along with the political and economic development of the country, largely came down to the correctly chosen construction material.

Construction is now happening faster than ever before. Every year, more and higher skyscrapers are built, and longer bridges and tunnels are constructed. One thing unites the numerous different structures,no matter their design, size or purpose: cement, which is a necessary component for all construction: from a residential building to a huge dam And choosing the right cement is therefore a necessary precondition.

At the end of 2017, the ‘Georgian Cement Company’ (GCC) appeared in the Georgian cement industry, representing the French giant Lafarge in Georgia. The company combines the direction of cement and concrete production. In 2015, Lafarge and the second-largest Swiss company in this sector, Holcim, merged, resulting in the establishment of mega company LafargeHolcim. Some statistical data will help readers to better understand the scale of the company. LafargeHolcim owns over 2500 factories in 90 countries worldwide, employs over 115,000 people and produces 387 million tons of cement and concrete annually. Its annual turnover exceeds $26 billion and market capitalization of $28.5 billion.

After the successful start of Lafarge / GCC in Georgia, within two years, the company had occupied second place with throughput and sales on the cement market, largely due to the high quality and stable service of the products they implemented.

According to Merab Chikhradze, one of the founders of the company, sales, which amounted to 209,000 tons in 2018, have not yet hit the peak of their goal. Accordingly, existing volumes will be expanded further in the current year. “We are steadfastly pursuing our development plan, which we successfully carry out with our partners, and in the near future, we will reinforce our position on the Georgian cement market,” Chikhradze says.

The company has already acquired consumer trust in the Georgian market, proven by the number of completed and ongoing projects: Panorama Tbilisi, shopping center ‘City Mall’ on Kavtaradze Street, the 54-floor Alliance Group skyscraper in Batumi (on the first 12th floor of which hotel MARRIOT will be opened), M2 on Chavchavadze, Twin Tower, a 45-floor pair of skyscrapers with more than 7000 apartments, Lisi Green District, the Hotel Hilton Project in Tbilisi, Macro Construction district in Dighomi, Poti-Senaki central highway bridges, Anaklia Port, the Batumi bypass road, roads to Kutaisi, the Mestia-Ushguli road in Svaneti…and this is an incomplete list of projects that are implemented by Lafarge / GCC cement and concrete.

While the number of foreign tourists in the country increases by a two-digit percentage annually; while more than one hundred bridges and tunnel constructions are envisaged, from the Red Bridge to Sarpi, as well as the North-South Highway in spatial arrangement; while there are several large water reservoir HPPs in the design phase; and while the demand for new flats is growing naturally with the growth of the economy, the need for a European-standard cement and concrete manufacturing company is evident. Lafarge / GCC is a company that will make a great contribution to the country's economy and take care of its ecological environment.

By Mariam Merabishvili

18 February 2019 19:48