The major Cement Manufacturers in Nigeria,Dangote, BUA and Larfarge have vowed to reduce the prices of cement in Nigeria.
The manufacturers reached at the agreement after a meeting with the Minister of Works, David Umahi and the Minister of Industry, Trade and Investment, Doris Uzoka-Anite, in Abuja,
According to the trio, though cost of production of cement is very high but 50kg bag of Cement should not be sold beyond 7000 and 8000 they said adding that to achieve this, they would set up a monitoring team to monitor their dealers and any one found wanting would be made to face the music.
In a release by Umahi’s Special Adviser, Uchenna Orji, reads,it is expected that price will drop after securing government’s interventions on the challenges of the manufacturers on gas, import duty, smuggling, and better road network.
“The meeting noted the challenges of the manufacturers like: 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 as follows: Federal Ministry of Industry, Trade and Investment to seek some remedies from Mr. President on cost of gas and import duties.
“The Federal Ministry of Works is to give more attention to fixing of the roads, especially around the locations of the manufacturers,” it stated.
On the issue of smuggling cement, the Federal Ministry of Industry, Trade and Investment said it will deepen the already commenced engagement with the National Security Adviser (NSA) on how to stop smuggling.
“ The cement manufacturers and the government noted that the current high price of cement is abnormal in some locations nationwide. Ideally, cement retail prices should not cost more than N7,000.00 to N8,000.00/ 50kg bag of cement.
“Therefore, the three cement manufacturers: Dangote Cement Plc, BUA Cement Plc and Lafarge Africa Plc have agreed that cement cost will not be more than between N7,000.00 and N8,000.00/50kg bag depending on the location,” the statement added.
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