Following a high-level meeting between government officials and major cement manufacturers, consumers across Nigeria can anticipate a significant drop in cement prices with bags expected to retail between N7,000 and N8,000.
The agreement, brokered after discussions chaired by Minister of Works, Dave Umahi, seeks to alleviate the financial burden on citizens amidst escalating cement costs.
The decision comes amid soaring retail prices, which had surged to approximately N13,000 per bag in areas like the Federal Capital Territory and Enugu.
Umahi expressed deep concern over the exorbitant rates, attributing them to wholesalers reselling to retailers at inflated prices.
During the three-hour deliberation directed by President Bola Tinubu, various challenges confronting the cement industry were addressed.
These encompassed gas shortages, high import duties, smuggling activities, and poor road networks, all of which had contributed to the price hike.
Manufacturers emphasized the need for government intervention to mitigate these impediments and foster an environment conducive to affordable pricing.
Despite initial resistance, cement producers, including Dangote Plc, BUA Plc, and Lafarge Plc, pledged to adhere to the agreed-upon price range nationwide.
The meeting concluded with a commitment to reconvene in 30 days to evaluate the progress achieved.
The Minister of Industry, Trade, and Investment, Doris Uzoka-Anite, assured continued collaboration with industries to streamline operations and eliminate bottlenecks hindering the backward integration program.
BUA Group’s Executive Director, Kabiru Rabiu, disclosed plans to supply an additional six million tonnes of cement to alleviate supply shortages and reduce price pressures.
The resolution represents a concerted effort by the government and stakeholders to ensure accessibility to essential construction materials, underscoring the commitment to economic stability and affordability for Nigerian citizens.
