Probe Hike In Cement Prices, Developers Beg FCCPC

Real estate developers under the auspices of the Real Estate Developers Association of Nigeria (REDAN) have urged the federal and state governments to treat cement affordability as a national housing emergency.

Also, they called on the Federal Competition and Consumer Protection Commission (FCCPC) to investigate pricing dynamics within the cement oligopoly, with particular focus on pricing differentials between domestic and export markets.

The Lagos State REDAN Chairman, Dr Tony Aspire Kolawole, in a position sighted by THE WHISTLER, titled: “Cement Pricing, Record Industry Profits & Implications for Housing Delivery in Lagos, also recommended sanctions for anticompetitive pricing of cement in some areas.

“REDAN Lagos Chapter calls on federal and state authorities to treat cement affordability as a national housing emergency. We propose a coordinated framework for action across five pillars:

“Nigeria’s cement market concentration demands rigorous oversight. The Federal Competition and Consumer Protection Commission (FCCPC) should investigate pricing dynamics within the cement oligopoly, with particular focus on pricing differentials between domestic and export markets.

“Where pricing conduct is found to be anticompetitive, meaningful sanctions must follow. The Philippines model – where the Department of Trade and Industry publishes and enforces suggested retail prices – offers an applicable precedent.

“The government’s policy concessions to the cement industry – tax holidays, FX access, import protection, limestone exclusivity – were premised on affordable prices. These concessions should now be subject to formal review and conditioned on demonstrated progress toward housing affordability benchmarks.

“Investing in rail connectivity, port efficiency, and inland dry ports would meaningfully reduce the logistics costs that inflate cement retail prices, particularly in remote and high-demand urban markets like Lagos.

“Government should actively incentivise the adoption of precast concrete systems, compressed stabilised earth blocks, interlocking brick systems, and modular housing construction.

“These technologies can significantly reduce per-unit cement consumption while maintaining structural integrity. REDAN Lagos Chapter is prepared to lead pilot programmes in collaboration with state authorities’’, he said.