Despite a surplus in local cement production, the retail price of cement in Nigeria has climbed to between ₦12,500 and ₦15,000 per 50kg bag, nearly double the average price in many African countries.
Industry reports indicate that Nigeria has an installed cement production capacity of over 60 million metric tonnes annually, far exceeding the country’s estimated demand of 25 to 30 million metric tonnes.
Manufacturers attribute the high prices to rising energy costs, exchange rate volatility, expensive transportation and poor road infrastructure, all of which have increased production and distribution expenses.
The continued rise in cement prices has raised concerns among builders and consumers, with stakeholders warning that it is driving up construction costs and worsening the country’s housing deficit.
The Federal Government has expressed concern over the development and is expected to engage cement manufacturers in efforts to address the soaring prices.
