Cement manufacturers in Nigeria have committed to reducing the price of cement to between N7,000 and N8,000 per 50kg bag across the country, depending on location, following a meeting with the Federal Government.
The agreement was reached at a meeting convened by the Minister of Works, Senator David Umahi, in Abuja on Monday.
According to a statement from the Ministry of Works, the manufacturers, including Dangote Cement Plc, BUA Cement Plc, and Lafarge Africa Plc, acknowledged that the current high price of cement is abnormal in some areas of the country. They agreed that ideally, cement retail prices should not exceed ₦7,000.00 to ₦8,000.00 per 50kg bag.
As part of the agreement, the manufacturers will establish a price monitoring mechanism to ensure compliance, with sanctions imposed on any distributors or retailers found flouting the agreed-upon prices.
The government expects further price reductions in the future, contingent upon addressing challenges faced by the manufacturers, including issues related to gas supply, import duty, smuggling, and improvements in the road network.
The meeting, which was also attended by the Minister of Industry, Trade, and Investment, Doris Uzoka-Anite, emphasized ongoing efforts to address the underlying factors contributing to the recent increase in commodity prices.
The government and cement manufacturers have agreed to reconvene in 30 days to review progress and ensure continued compliance with the agreed-upon pricing framework.
