Nigeria: Benue prices increase as Gboko stops production

Nigeria: Benue prices increase as Gboko stops production
Published: 30 December 2014

Tagged Under: Dangote Cement Gboko Nigeria Pricing 

Operations at Dangote Cement's Gboko plant have been temporarily grounded leading to an increase in cement prices in the Nigerian state of Benue, according to local press.

The Daily Times (Nigeria) reported on Saturday that commercial operations at the cement plant have been suspended over the last fortnight. The stoppage has led to prices in Benue state almost doubling from NGN1400 (US$7.67) to NGN2500 due to US$13.7, the report added.

The shutdown is being attributed to two main factors, according to Dr Bem Malladu, assistant general manager of community relations at the Gboko cement works. Firstly, the emergence of a cement glut has led to “over flooding of the market with various products,”  he told the newspaper.  Secondly, a shortage of power supplies has also contributed to operations being halted. During his interview with the daily, Mr Malladu highlighted that management is considering setting up a coal plant to stabilise power supplies to the factory.