Cement: Reps pledge to activate measures against product price hike

Jonas Ezieke, Abuja

The House of Representatives Joint Committee on the Arbitrary Increase on Price of Cement has pledged to activate measures capable of bringing down the price of the building materials for the benefit of all Nigerians.

The Chairman of the House Committee, Hon Jonathan Gaza stated this in a welcome remark with stakeholders mostly manufacturers of cement at National Assembly complex Abuja yesterday.

The lawmaker lamented that cement price which is the major material for building and construction in the country has gone up beyond the reach of ordinary men and women who are citizens of the country.

He equally observed that increase in Cement price usually leads to increase in other products in the market.

The Committee helsman urged manufacturers  and other critical stakeholders to see the Parliament as friends and not as foes as they are representatives of the people.

He also pointed out that Cement price increment has a multiplier effect on every other product in the country urging manufacturers of the product to think not only about themselves and their profit but the entire Country and Nigerians at large.

According to the Committee, the engagement of stakeholders and manufacturers is not meant to close down their businesses but rather to forge common front  between them and ordinary common Nigerians.

In his presentation, the Managing Director, Lafarge African Plc, Mr Ibrahim Aminu listed several factors militating against cement prices in Nigeria.

The group, formerly known as Ashaka Cement Company Limiter listed out some factors such as, means to convey  heavy equipments into Nigeria, lack of high pressure to heat limestone as well as inadequate stable power supply in the country.

The Company also informed the committee that, their challenge also includes: cost of spare parts for their movable equipment like trucks stressing that about 95% of spare parts for their vehicles are imported into the country.

Lafarge Cement also lamented that over 88% of their operations cost is exposed to forex adding that they also pay heavily to banks as a result of interest charges on borrowed funds.

Meanwhile the committee later went  into executive session urging the Aliko Dangote Company to provide them with documents on all their requested items.