Cement Prices Plummet Across Nigerian Cities, Bringing Relief to Builders.
Builders and construction industry stakeholders are celebrating as the price of cement experiences a significant drop in various Nigerian cities, now selling for between N7,000 and N8,000 per 50kg bag compared to previous prices of N10,000 to N15,000.
The recent decrease in cement prices has brought relief to the construction sector, which faced disruptions earlier this year due to soaring material costs. Markets in Lagos, Abuja, Enugu, and other cities have witnessed a notable reduction in cement prices, with bags now being sold at more affordable rates.
According to reports, the decline in prices is attributed to factors such as decreased demand and government interventions. Despite an initial agreement between the federal government and cement producers to sell bags within the range of N7,000 to N8,000, many producers did not immediately comply, leading to a decrease in demand and subsequent price drops.
In various regions across Nigeria, including the Federal Capital Territory (FCT), Lagos, Enugu, and Owerri, the price of cement has seen a significant decline, prompting increased sales and renewed activity in construction projects. Retailers and wholesalers alike are experiencing a surge in demand as prices become more accessible to consumers.
However, industry watchers remain cautious, noting that while the current price reductions are welcome, the influence of manufacturers, distributors, and retailers on end-user pricing remains significant. Moreover, concerns persist about the sustainability of these lower prices and the overall impact of inflation on building material costs.
Despite these challenges, stakeholders in the construction industry are hopeful that sustained government intervention and adherence to quality standards will help stabilize prices and facilitate continued growth in the sector.