Uchendu Alexis
The Cement Producers Association of Nigeria has issued a warning regarding the potential increase in the price of cement, which may soar from N5000 to N9000. This price surge is attributed to the Federal Government’s plan to introduce concrete roads across the country.
The association expressed its appreciation for the Minister of Works, David Umahi, who has advocated for the construction of roads using cement technology. However, it also raised concerns about the supply side of the equation and cautioned that failing to address this issue adequately could dash the hopes of Nigerians who were anticipating a reduction in cement prices.
To tackle the impending price hike, cement producers have proposed a solution. They urge the government to prioritize road designs that incorporate both cement technology and asphalt pavement concurrently. This approach would help balance the demand for cement and ensure a stable supply, averting a potential crisis in the construction industry.
The association’s statement revealed, “Our findings from various parts of the country show that cement sells for as high as N6000 per bag in the rainy season. Our prediction is that it will sell for over N9,000 per bag in the dry season, especially with the pronouncement of the Honourable Minister of Works on cement technology and the marching order on housing by Mr. President if the government does not take proactive steps.”
While acknowledging the Minister’s stance on cement-made roads, the association emphasized the urgency of addressing supply-related issues to prevent dire consequences. They stressed that failing to intervene promptly could lead to rising cement costs, exacerbating the housing crisis, and creating turmoil in the demand and supply dynamics.
The Cement Producers Association of Nigeria called on the government to take proactive measures to ensure a stable supply of cement, thereby safeguarding the interests of Nigerians and averting an unprecedented price hike in this essential construction material.
