Abuja – February 20, 2024 – Viewpoint Housing News.
Cement manufacturers have reached a consensus that the national cement price should not rise over N7,000–N8,000.
The decision was made after a meeting with the producers of BUA Cement, Dangote Cement, Lafarge, and Cement Manufacturers Association, as well as the Minister of Works, Sen. David Umahi, and the Minister of Industry, Trade, and Investment, Dr. Doris Uzoka-Anite.
The government said that although the present high cost of cement is unusual in some parts of the country, a 50 kg bag of cement should ideally not sell for more than N7,000.00 to N8,000.00.
As a result, depending on the area, the three cement manufacturers—Dangote Cement Plc, BUA Cement Plc, and Lafarge Africa Plc—have agreed that the cost of cement would not exceed N7,000–8,000.00/50 kg bag.
A statement by the Special Assistant to the Minister of Works on Media, Orji Uchenna Orji, advised cement manufacturers to set up a price monitoring mechanism to ensure compliance.
“The manufacturers have willingly accepted to do so and to sanction any of their distributors or retailers found wanting,” he said.
The statement added that the meeting noted the challenges of the manufacturers include cost of gas, high import duty on spare parts, bad road network, high foreign exchange and smuggling of cement to neighbouring nations.
“The government noted the challenges and reacted that the Federal Ministry of Industry, Trade and Investment will seek some remedies from Mr. President on the cost of gas and import duties. The Federal Ministry of Works will give more attention to fixing of the roads, especially around the locations of the manufacturers,” it said.
The statement added that on the issue of smuggling cement, the Ministry of Industry, Trade and Investment will deepen the already started engagement with the National Security Adviser on how to stop the smuggling.
“Government expects the agreed price to drop after securing government’s interventions on the challenges of the manufacturers on gas, import duty, smuggling, and better road network,” it said.
It added that the meeting would reconvene in 30 days to review the progress made.
