In a meeting held in Abuja on Monday, manufacturers reached an agreement with federal government officials to reduce the price of cement to N7000.
Initiated by the Minister of Works, David Umahi, and attended by the Ministry of Industry, Trade, and Investment represented by Doris Uzoka-Anite, the meeting aimed to address the sudden surge in cement prices nationwide.
Manufacturers assured their willingness to lower prices in the future once the government intervenes effectively. BUA Industries, represented at the meeting, disclosed plans to introduce six million tons of cement to stabilize prices.
The government expressed its intent to facilitate the entry of six new manufacturers into the industry. Notable attendees included BUA Plc, Lafarge, and Dangote Plc.
A statement by the Special Assistant to the Minister of Works highlighted the manufacturers’ commitment to implement a price monitoring mechanism and penalize any distributors or retailers found violating pricing agreements.
Challenges faced by manufacturers, including high gas costs, steep import duties on spare parts, inadequate road infrastructure, foreign exchange fluctuations, and cement smuggling to neighboring countries, were acknowledged.
The government pledged to address these challenges, with plans to seek remedies from the President regarding gas costs and import duties. The Ministry of Works will prioritize road repairs near manufacturing sites.
Efforts to combat cement smuggling will be intensified, with engagements planned between the Ministry of Industry, Trade, and Investment and the National Security Adviser.
It is anticipated that cement prices will decrease following government interventions, with a follow-up meeting scheduled in 30 days to assess progress.