Hike in cement price: Rep summons Dangote, BUA

In response to the alarming surge in cement prices, the House of Representatives has summoned major cement manufacturers such as Dangote Cement and BUA Cement to address the issue.

The decision follows the adoption of a motion titled ‘Arbitrary Increase in the Price of Cement by Cement Manufacturers in Nigeria,’ during Wednesday’s plenary session,” they added.

Led by members Gaza Gbefwi and Ademorin Kuye, the motion highlighted the detrimental impact of the 50% price surge on construction costs and rental rates nationwide,” stated the spokesperson.

Gbefwi argued that cement manufacturers have exploited exchange rate fluctuations to raise prices arbitrarily, despite stable costs of locally sourced raw materials,” they continued.

Expressing concern over the burden on consumers, members proposed exploring cement importation to alleviate the situation,” suggested the spokesperson.

In response to the motion, the House has summoned the manufacturers to appear in the next sectoral debate and directed relevant committees to investigate the price hike,” they concluded.

Additionally, the Federal Government clarified that the price surge is due to rising production costs, not its concrete road strategy. The government assured that concrete roads would complement, not replace, asphalt roads.

Minister of Works Dave Umahi addressed concerns about the impact on cement prices, citing increased production costs.

He assured that measures are in place to mitigate price hikes and emphasised that concrete roads are an alternative, especially in areas prone to waterlogging.