The House of Representatives in Nigeria has taken a stand against the arbitrary increase in cement prices by summoning major cement manufacturers to explain themselves. This move comes after a motion was jointly moved by lawmakers Gaza Gbefwi and Ademorin Kuye during a recent plenary session.
Mr. Gbefwi highlighted that there is no valid reason for the price hike as most of the materials used in cement production are sourced locally and are not affected by exchange rate fluctuations. He accused cement producers of taking advantage of exchange rate volatility to increase prices, causing hardship for Nigerians.
Supporting the motion, Aliyu Madaki described the price increase as corruption and abuse of power, emphasizing the need to prevent a few individuals from controlling the economy. Sada Soli also chimed in, dismissing claims of monopoly in the cement sector and asserting that the industry is already liberal.
As a result, the House has tasked relevant committees to investigate the price increase and report back within four weeks. Speaker Abbas Tajudeen oversaw the adoption of the motion through a voice vote, showing overwhelming support from lawmakers.
In recent months, the price of cement in Nigeria has been on the rise, reaching as high as N13,000 in some regions. To address this issue, the federal government brokered a deal with major cement manufacturers to cap prices between N7,000 and N8,000 per bag. This agreement followed discussions involving government ministers and representatives from leading cement companies.
The House’s decision to hold manufacturers accountable for the price hike reflects a commitment to protecting consumers and ensuring fair pricing practices in the cement industry. Stay tuned for updates on this developing story.
