The Federal Government, in collaboration with major cement manufacturers, has established the price of a 50kg bag of cement to range between N7,000 and N8,000, varying by location across the nation.
Senator David Umahi disclosed this development to reporters following an extensive meeting with key cement producers in the country held on Monday in Abuja. During the meeting, the cement manufacturers reached a consensus to offer the 50kg bag of cement at retail prices ranging from N7,000 to N8,000, contingent on the specific location.
However, the manufacturers emphasized that the reduction from the current market rates would hinge on the fulfillment of specific government interventions aimed at addressing critical challenges encountered in the industry.
The meeting convened against the backdrop of the exorbitant surge in cement prices, reaching approximately N13,000 in various retail outlets across the Federal Capital Territory, Enugu, and other regions of Nigeria.
President Bola Tinubu called for the gathering to devise a lasting solution to the unreasonable price hikes. Umahi expressed dismay over the abnormal pricing, underscoring its adverse impact on the economic prosperity pursued by the current administration.
In his remarks, the minister attributed the high prices to various factors, including smuggling, poor road infrastructure, soaring energy expenses, and the foreign exchange crisis. However, he highlighted the willingness of manufacturers to voluntarily reduce the prices.
“Ideally,” Umahi noted, “cement should not exceed between N7,000 and N8,000 per 50 kg bag for the end consumer.” Consequently, the government and major cement manufacturers, namely Dangote Plc, BUA Plc, and Lafarge Plc, have reached an agreement to cap the price of cement nationwide within the N7,000 to N8,000 range per 50 kg bag, subject to location disparities.
He further urged manufacturers to establish a price monitoring mechanism to ensure adherence to the stipulated prices moving forward.
Credit: Daily Nigerian
Why not the Federsl government remove the stupid restrictions put on Ibeto cement, and let’s see if cement price will not return to it’s original price of N1,500. Tinubu must take every step necessary to ensure Ibeto cement resumes their cement operations. N7,000 – N8,000 is still very high price to pay. Has the Federal government forgotten Ibeto Cement and the fact that the company was a major player in the field until Buharis stupid action