Distributors of cement said they are in full support of importation of bagged cement into the country instead of local production.
Cement dealers, who spoke with Financial Vanguard, weekend, at various building materials market in Lagos, said that cement importation will save manufacturers in the country production costs, such as power supply, diesel, advanced technology, raw materials amongst others.
They also maintained that importation of the product will help the industry with quality and quantity needed in the market.
One of the major dealers of Burham cement, who does not want his name in print, disclosed that the price of the commodity per bag is not affected by importation, rather the price is being controlled by the transportation cost and point of sale.
FV, gathered that purchasing of Dangote or Burham cement per bag from the manufacturers cost N1335 and 1330, respectively, while the distributors sell at the price range of N1500 and above.
“The law of demand also comes into play in cement price determination, brands with the higher demand attracts higher pay. The soil texture also affects the demand for some brand of cement. Competition is another factor that is influencing cement price across the country. To this end, a new cement brand ‘BUA’ is in the Lagos market and sells at N1280 per bag,” findings revealed.