Cement Prices Surge to N15,000 Amid Calls for Transparency

Cement prices in Nigeria have escalated sharply, with a 50kg bag now retailing between N12,000 and N15,000, compared to approximately N7,500 less than a year ago. Architect Ezekiel Nya-Etok, the executive director of Estate Services at the Federal Housing Authority, has called for manufacturers to provide a detailed breakdown of costs contributing to this price hike, emphasizing the need for transparency and affordability amidst a housing crisis.

Expert Clement Joseph analyzed production costs, estimating a fair factory-gate price at between N7,000, which would still allow for a profit margin of 20% to 25%. The Nigerian government has initiated a preliminary investigation into the cement industry for potential price manipulation.

Additionally, David Iweta, the National Chairman of CEPAN, attributed the price surge to limited supply and foreign exchange challenges affecting production. The concentration of production among a few major players has raised concerns about market competition and pricing.