HURRAY! Price of cement ‘will crash soon’

Major manufacturers of cement in the country say they are working “very hard” to reduce the price of cement.

lsamad Rabiu, chairman of BUA Cement, made this known to state house correspondents after meeting with Acting President Yemi Osinbajo in Abuja on Thursday.

He said the foreign exchange situation in the country and the high cost of low pour fuel oil (LPFO) used by some cement companies were the major reasons for the high cost of cement in the country.

He, however, said the cost of LPFO may have come down especially for his company in Sokoto, and that some of the factors leading to such high cost are being addressed.

“Cement production requires quite a lot of energy. That is quite a significant part of the cost of cement production,” he said.

“That has been addressed to mainly the price of oil, maybe the price of LPFO that we use has come down. I’m talking about Sokoto now.

“Of course, the other cement plants scattered all over the country like in the southern part of the country are using gas, which is actually much cheaper. But for Sokoto, for example, we are using LPFO and LPFO is quite expensive.

“We have to transport it either from Lagos or from Kaduna refinery if there is availability. That, you know, from time to time, impacts on the cost.

“We are trying very hard to make sure the price comes down. Of course, the foreign exchange aspect also improved dramatically. That, as we all know, was a big issue. Now, that has improved considerably. So, I think we will see quite a reduction in the very near future.”