Nigerian producers agree to lower prices

Nigerian producers agree to lower prices
22 February 2024

Nigeria-based Dangote, BUA Cement and Lafarge have agreed to lower cement prices in the country, despite rising production costs. According to This Day Live, the three manufacturers have stated that a 50kg bag of cement should have a maximum retail price of NGN8000 (US$4.98). Following a meeting with Nigeria’s Minister of Works and the Minister of Industry, Trade and Investments, the producers said a monitoring team would be set up to ensure compliance with the new pricing agreement. 

The meeting also noted the current challenges facing cement producers, including cement smuggling, poor road conditions around factories, and the cost of gas and import duties. In response, the Ministry of Works said it would give more attention to fixing the roads, while the Ministry of Industry, Trade and Investment said it would work closely with the National Security Advisor to address the issue of smuggling. 

“Government expects the agreed price to drop after securing interventions on the challenges of the manufacturers on gas, import duty, smuggling, and better road network. The meeting agreed to reconvene in 30 days to review progress made,” said a statement from the Nigerian government. 

Published under Cement News