Amid concerns over the steep increase in cement prices, the Nigerian Senate has announced plans to investigate the matter. The Deputy Senate Leader, Lola Ashiru, brought attention to the soaring costs of cement and other building materials during the plenary session on Wednesday.
Ashiru emphasized the need for the Senate Committee on Industries to scrutinize the practices of cement manufacturers in order to identify the reasons behind the price surge. He urged the companies to adhere to fair market practices and avoid engaging in anti-competitive behavior.
The price of key building materials, particularly cement and iron rods, has skyrocketed, with the price of a bag of cement jumping from N5,500 in January 2024 to approximately N14,000. Similarly, the price of iron rods rose from N8,500 to N17,000. Ashiru highlighted the indispensability of affordable cement and other building materials for national development, emphasizing that timely resolution of the issue would benefit the construction industry, support constituency projects, bolster national security by creating job opportunities, and enhance the livelihoods of Nigerians.
Recent reports from Media Talk Africa revealed that cement prices surged to over N10,000 per 50kg in Abuja. Subsequently, a meeting between the government and cement manufacturers resulted in an agreement to cap the price of cement at N8,000 per 50kg.
In response to the situation, the Minister of Housing and Urban Development, Ahmed Dangiwa, threatened to allow the importation of cement by opening the borders if Nigerian cement manufacturers failed to reduce the commodity’s price within the country.
The National Bureau of Statistics reported a surge in Nigeria’s inflation rate to 29.90% in January, underscoring the urgency of addressing the escalating cement prices.
