Concerned by the skyrocketing cost of cement and the attendant consequences on the nation, the Federal Government through the Minister of Works, Engr David Umahi, has summoned prominent cement manufacturers to a meeting.
In a statement signed by the Minister’s Special Adviser (Media), Orji Uchenna Orji, in Abuja on Saturday, the meeting is scheduled for Monday, 19th February, 2024, at the Ministry’s Conference Hall, Mabushi, Abuja.
Like every other sector, the building and construction industry may be witnessing one of its worst moments, as exchange rate, building materials, and labour prices have triggered an increase in construction costs by 200 per cent in the last two years.
According to Mr Orji, the Minister is worried that, “despite huge patronage by road and housing contractors to cement manufacturers, the cost of the product was rising at an astronomical rate”.
The statement read in part, “The Honourable Minister of Works, His Excellency, David Umahi CON, has summoned an urgent meeting of all cement manufacturers in Nigeria.
“Those invited are Dangote Plc, BUA Plc, Larfarge, and others.”
Admitting the likely challenges of the manufacturers, the Minister said, “It is common knowledge that the manufacturers have their challenges, which we shall look into, but from our findings, the disparity between ex-factory price and the market price is wide. We therefore need to look into the situation and other issues with a view to finding a common front.”
Prices of essential building materials such as cement, blocks, doors, reinforcements, sand, timber, paints, roofing sheets, glass and tiles have risen by over 120% in the last 12 months and this has become a source of concern to the built environment professionals because of the direct impact on supply, affordability and accessibility to housing, especially for low and middle-income earners. According to architects, materials and labour prices have risen between 100 – 200% in the last two years