The Federal Government has called on cement producers to reduce their pricing to N7,000, pointing to better economic times.
According to a statement on the ministry’s website, Sen. Engr. Nweze David Umahi, the Minister of Works, requested this during a meeting held on February 26, 2025, at the Ministry’s headquarters in Abuja.
Umahi pointed out that reduced cement costs result from the naira stabilizing at roughly N1,400 to the dollar and falling petrol prices.
He criticized the current N9,500 pricing, pointing out that despite the naira’s recovery, manufacturers had not changed their prices since raising them when the dollar was about N2,000.
A dollar is worth roughly N1,400 now. I want to take this opportunity to voice my displeasure with the price of cement.
“We are using this means to inform the cement makers that they raised cement from N7,500 at a period when the dollar was nearly N2,000. Why is cement selling for N9,500 today since the President has stabilised the dollar at around N1400 and it is still declining? We are asking cement producers to reduce cement prices to N7,000,” Umahi said.
The Works Minister emphasized that building Continuously Reinforced Concrete Pavements and finishing important infrastructure projects require reasonably priced cement.
He disclosed that some contractors are considering returning to asphalt because cement is so expensive. Umahi threatened to push the issue to President Bola Tinubu if costs were not lowered within a week.
What To Note
Umahi’s demand for a decrease in cement pricing is not the first time a current administration minister has voiced disapproval of the commodity’s exorbitant price.
The Minister of Housing and Urban Development, Musa Dangiwa, voiced worries in February 2024 that cement producers were using volatile foreign exchange rates to excuse large price increases, exacerbating Nigeria’s economic problems.
- Dangiwa blamed cement producers for not controlling costs, pointing out that prices had risen by more than 100% in recent months, from N5,500 to over N10,000. Especially during modest macroeconomic crises, he urged manufacturers to innovate and find solutions rather than passing costs on to Nigerians.
- He also cautioned that the Ministry’s attempts to deliver housing, a top administration priority, are in danger due to the high cost of cement.
Dangiwa emphasized that growing cement costs threaten the Ministry’s efforts to provide social and affordable homes for low- and middle-income workers and vulnerable groups.
