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China-Africa Trade Information Service
info.afrindex.com
China-Africa Trade Information Service
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The government has appealed to cement manufacturers to reduce the price of the commodity in order to improve local consumption for various infrastructural projects.
Nigeria’s Vice President, Prof. Yemi Osinbajo, argued that cement price could be cheaper if per capita consumption increases through adoption of concrete roads and collaboration among local producers.
Osinbajo, during the inauguration of BUA Cement plant in Sokoto, yesterday said: “Currently, Nigeria produces over 40 million tonnes of cement annually. Nigeria produces more cement than any other country in Africa. Indeed, when put together, several other countries still cannot produce as much cement.
Nigeria’s huge market size of high urbanisation rate of 3.5 per cent, and even now, a low per capita cement consumption of about 125kg, and an estimated housing deficit of 17 million are key drivers for the growth of the Nigerian cement industry in the medium term.
We have plenty of capacity to consume cement locally. As mentioned earlier, two issues require urgent attention. The first is the price of cement, it surely can be cheaper.
Now for cement manufacturers, there are many challenges,such as, power, transportation etc. But it is still a lucrative business, and the reduction of price is possible.
