July 14, 2024

Pathfinder News

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Nigeria:Outrage As Cement Price Hit N4,600 Per Bag

A recent market survey has revealed that the prices of cement continue to rise in the building materials markets across the country. According to the survey, the development has triggered a surge in housing prices and the overall cost of construction projects. From December 2020 to November 2021, cement prices rose by 44 per cent impacting prices of other products like blocks, rings, and others.

Within the past six months, the price of cement rose from N3, 200 to N4, 600 as a 50kg bag hovers around N3, 800, and N4, 600 respectively.A dealer of the products, Mr. Sunday Ilesanmi, who confirmed the development said the latest increase is from the factory. He said: “The price of cement has been fluctuating lately but since the price went up, it has remained high. It is also a known fact that whenever the festive period approaches, prices of cement usually go up. Despite the increase, people are still buying because they don’t have an alternative.”

Speaking on the development, the chairman, Faculty of Estate Agency and Marketing, Mr. Kayode Ogunji, observed that a major problem facing the manufacturing sector is that when a particular product is on higher demand, people play with the price. He said the ever-fluctuating foreign exchange rate is a factor threatening the cement sector.

He added:“As a result of that there is no alternative to cement, yet the quantity is less than the market demands and so there is bound to be an increase in prices. I won’t be surprised by January 2022; there may be another price regime.” A past chairman, Nigerian Institute of Building, Lagos chapter, Mr. Adelaja Adekanmbi, called for improved capacity and production to reduce price increases. He noted that it is becoming difficult to have low-income housing with the increasing price of cement and iron rods in the market.