Developers in the building industry have rejected the agreement reached between the Federal Government and cement manufacturers.
At the meeting, it was resolved that prices of cement will be reduced to between
N7,000 and N8,000.
President of the Real Estate Developers Association of Nigeria, Dr. Aliyu Wamakko, said the reduction was not good for the economy.
He said, “I do not think that is good for the economy of this country because cement constitutes the primary product for any building construction to be done.
The Chief Executive Officer of BUA Cement, Abdul Samad Rabiu, promised Nigerians that by January 1, 2024, the cement price would be slashed to N3,500, so what is the problem.”
According to him, most of the components of cement are sourced locally.
“Why should the price be reduced to N8,000? Anything above N5,000 is not beneficial for the economy and it would not bring any positive impact towards the reduction in the 28 million housing deficit,” he added.
Wamakko noted that the price should be brought down to N5,000 for any meaningful thing to be done.
In a similar vein, the Executive Secretary, Association of Housing Corporation in Nigeria, Toye Eniola, condemned the negotiation.
He said, “What is fair in N7,000 to N8,000, when BUA promised us a slash from over N5,500 to N3,500 and now they are negotiating N8,000? Where are we heading to?
“That negotiation is for the rich. What they are saying is with that price, housing is going not to be for the poor. With that price, there is no poor man that would be able to afford it and it would keep widening the deficit gap.
Eniola said it was high time the country began to embrace local building materials as opposed to imported ones dictated by forex.
“In one month, cement moved from N5,000 to N8,000, I believe that the government would begin to feel the pinch further, because the circle goes round.”
Cement Manufacturers had on Monday agreed to sell a 50kg bag of cement at a retail price between N7,000 and N8,000, depending on location nationwide.
Cement: Developers Reject New Proposed N8,000 Price
