Nigerian Government Threatens Action to Address Cement Price Surge

The Nigerian federal government has announced it is contemplating the possibility of opening the country's borders to allow the importation of cement. This move aims to break the current high price trend in the domestic market. The warning was issued by the Minister of Housing and Rural Development, Arc. Dangiwa, targeting cement manufacturing companies in Nigeria. Dangiwa emphasized that if these companies fail to reduce their cement prices, the government will permit the importation of cement from foreign countries to foster competition.

This decision comes in response to the continuous increase in cement prices, which has significantly impacted construction costs across Nigeria. The government's stance reflects its commitment to making housing more affordable and accessible to its citizens. Dangiwa pointed out that the raw materials for cement production, such as limestone, clay, silica sand, and gypsum, are abundantly available in Nigeria, dismissing the manufacturers' reasons for the price hike.

The potential opening of borders for cement imports could pose a challenge to local giants like Dangote and BUA, who dominate the Nigerian market. The government's move is seen as a last resort to ensure price stability and prevent monopolistic practices that could harm consumers.

Source: Legit.ng Hausa