'No more N12k/per bag' - Survey shows Dangote, BUA, others reduce cement prices

A survey conducted by journalists indicated that cement prices have significantly reduced from the cost of N15,000 in January 2024.

Retailers of the product have opined that the drop in prices can be attributed to the reduction of ex-depot prices, which have also been slashed after a meeting the producers had with the Nigerian government.

According to them, the demand for cement has gone down since February 2024 as Nigerians have stopped buying the product due to its high cost.

A dealer in the Iju-Ishaga area of Lagos, known as Olayinka Olaniyi, said that people are buying cement again because of the price reduction.

Olayinka said: “At a point, Nigerians stopped buying due to the high price of N15,000. I am sure most dealers ran at a loss then because we had mainly old stocks which we wanted to offload quickly."

He added that the product now sells for between N7,500 and N8,000, depending on the brand and the demand for the brand.

Another seller, Justice Ike, in the Ogba area of Ikeja, corroborated Olaniyi’s assertions, continuing that the prices are crashing as manufacturers adjust their depot prices. He also stated that the naira’s appreciation against the dollar may be responsible.

Ike said, “We know that the naira is doing well against the dollar now, and it would be absurd if manufacturers continued to sell the product at the old prices.

“I also believe that the Federal Government’s intervention and the threat to license more importers may have worked, leading to the reduction in price.”

A major distributor in Owerri, John Ikechukwu, also opined that low demand is also driving the price crash.

“People are backing off now due to the high price, but it is beginning to come down now.”

He confirmed that the product is currently sold at N9,000 in the South East despite the brand.

Ikechukwu also attributed the fall in price to the gains of the naira against the US dollar.

BEB