By VOS Ariogbo Writer
In September, 2022, the Government of Sierra Leone through the Ministry of Trade and Industry signed an agreement with Solco Limited, an affiliate of Wenpeng Group based in China for the production of cement locally at market penetration geared towards making the products available and affordable.
According to the agreement, the company committed itself to invest $40M to develop a cement manufacturing factory by bringing in grinding mill geared towards producing huge quantity of cement in the country. The agreement is divided into phases that should be adhered to by both parties, but investigation, has proved that the company has failed to honor each of the phases in the agreement. The company is yet to start any operation since the signing of the agreement.
To cajole the Government to believing them that they are genuine investor, the company showcased how they had built six cement manufacturing plants in Africa including a recent one in Guinea.
That display of investment Portfolio had actually convinced the Government to sign an agreement with them without doing any due diligence.
During the signing of the agreement, the Former Minister of Trade, Dr. Hinga Sandy, called on all SierraLeoneans to be hopeful for the cement company as it is intended to create jobs and stabilize the market prices of cement and as well opening up the valuable space.
The Former Minister of Trade Presented the Solco Limited agreement in Parliament together with other agreements signed with 3 Companies, bringing a total of 4 companies. Three of the companies are to engage in cement productions, while the one is to engage in Palm Oil Production.
Since the ratification of those agreements by Parliament, two of the cement companies have started operations, while Solco Limited is yet to do same.
This delay in tactics of Solco Limited has been created more questions than answers.
Speaking to a seasoned expert in agreement, Alhaji Musa Kamara, who is based in United States of America, he revealed that an agreement between two parties involved an equal obligation or consideration from the offeror and the offeree.
According to him, an agreement defines the obligations of each party and benefits they will get in return from the agreement, adding how such is enforceable by law as it creates a legal relationship of rights and duties on the parties.
He also shed light on how agreement has been breached relating to an agreed-upon terms and conditions of a binding contract.
Putting this into context, Kamara considered the failure or delay of Solco Limited to perform its obligation as agreed upon in the contract terms as a violation, resulting into termination of the contract, for which the company is obligated to compensate the Government.
