The Nigerian government has taken steps to address the surging retail prices of cement in the country by summoning major cement manufacturers to a meeting with the Minister of Works, David Umahi. The meeting aims to discuss the reasons behind the escalating prices and explore potential solutions to alleviate the burden on consumers.
Edward Uchenna Orji, the Special Adviser to the Minister, announced the government’s decision to convene the meeting in a statement issued on Saturday. The move comes in response to reports of significant price hikes in cement and related products, with prices soaring by as much as 30% in recent times.
Despite Nigeria being one of the largest cement producers in Africa, the prices of cement have continued to rise, particularly due to high inflation affecting the building materials market this year. In areas like Kubwa, Bwari, a 50-kilogram bag of Dangote cement now fetches between N8,600 and N9,600, while BUA sells for between N8,500 and N9,500.
The minister expressed concern over the widening gap between the ex-factory price and the retail price of cement, especially considering the significant demand from road and housing contractors. Notably, the meeting will include key players in the cement industry such as Dangote Plc, BUA Plc, Larfarge, and other manufacturers. It is scheduled to take place at the Federal Ministry of Works in Mabushi, Abuja.
Umahi emphasized the need for a collaborative effort to address the situation and resolve any underlying issues faced by cement manufacturers. He highlighted the importance of finding a common ground to ensure fair pricing practices and stability in the market.