Nigeria: cement price rise will impact house building

Nigeria: cement price rise will impact house building
05 September 2016

Cement dealers in Umuahia have spoken out against the rise in the retail price of cement, which have been raised by almost 50 per cent recently. The hike was caused by the high foreign exchange rate with NGN420 (US$1.33) exchanging for one dollar. It is argued by the deladers that the government should give concession to cement manufacturers, reports the News Agency of Nigeria (NAN).

The dealers claim that such a concession would help them to import materials for cement production.
They also called for the construction of more cement factories and the revitalisation of plants that have delivered a below-par performance in recent times.

Iheanyi Omeokwe, a major dealer at the Umuahia industrial market, said that the hike would negatively affect the building industry. He said the rise had caused a lull in sector activity with a drop in daily sales and income.

Nigeria has a housing deficit and the rising cement price has caused concern in terms of the resultant rising cost of housebuilding affecting the construction volumes. Mr Omeokwe, who is also chairman of the Building Materials Association, said that the new price would make it difficult for many Nigerians to build their own houses.

Published under Cement News

Tagged Under: Nigeria Prices