In light of the rising cost of cement recently, the Federal Government has demanded an immediate meeting with manufacturers.
The conference was called by Minister of Works Dave Umahi, who stated that the government would investigate the difficulties these cement producers are facing as well as the significant pricing gap between ex-factory and market prices.
A statement from the Minister’s Media Advisor, Orji Uchenna Orji, claimed that despite the government’s concerns, cement prices are growing despite the fact that these cement makers receive significant business from road and housing contractors.
The Federal Government has invited many cement makers to the conference, including Dangote, BUA, and Lafarge.
According to the Minister, ““Worried by the escalating cost of cement despite huge patronage by road and housing contractors to cement manufacturers, the Honourable Minister of Works, His Excellency Sen Engr Nweze David Umahi CON, has summoned an urgent meeting of all cement manufacturers in Nigeria.
“It is well known that manufacturers face difficulties, which we will investigate, but based on our research, there is a significant difference between the ex-factory price and the market price. In order to develop a common front, we must investigate the circumstance as well as other challenges,” he said.
According to sources, a bag of cement used to cost between N4,000 and N5,000, but as of a few weeks ago, it was close to N10,000.
Further reports claimed that, in light of the nation’s current economic situation, the price of this commodity in Abuja had increased to between N10,000 and N15,000 per bag.
The Minister of Housing and Urban Development, Arc. Musa Dangiwa, had lamented the sharp increase in cement and other building material prices nationwide a few days prior.
He declared that the price increase was intolerable and maintained that the current state of affairs in that industry could not be attributed to changes in the value of the dollar.
