Cement Now Sells For N2, 300 Per Bag
As the price of every commodity in Nigeria is skyrocketing due to the dwindling economy, Cement Manufacturers Association of Nigeria (CMAN) on Wednesday made a 44% increase of the product.
Investigations revealed that operators under CMAN have raised prices of brands in order to meet up with the cost of production.
They confirmed that N600 have been added to each bag in factories, including additional N100 cost for delivery. This has increased retail prices from N1, 600 to N2, 300.
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It was also learnt that the increase depends on location, in some areas, prices have shot up to N21, 350 or higher.
Members of the CMAN include Dangote Cement Plc, which is emerging as a market leader and has factories in Gboko, Benue State; Obajana, Kogi State; and Ibeshe, Ogun State.
Other are: Lafarge Cement WAPCO Plc; Cement Company of Northern Nigeria Plc; Ashakacem Plc and Cross-River based United Cement Company.
Kunle Awobodu, the Vice President of Nigerian Institute of Building, said “This is going to create crisis in the construction sector and bad blood between clients and contractors, as developers will make claims for fluctuations.
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“Invariably, it will lead to upward reviews of contract sums. New and on-going projects will be delayed until there is agreement on the contract variations. It can also expedite construction activities because of the anticipation of further increase,” he said.
