Dangote crashes cement price, a bag now selling for N1,000

In a move that will raise the stakes in the rapidly
evolving Nigerian cement market, leading cement
manufacturer, Dangote Cement Plc has
announced huge cuts in the price of the essential
product.
A step that will make cement cheaper than it has
ever been since 2005, the new price regime
announced by the Group Managing Director of
Dangote Cement, Mr. Devakumar Edwin, said the
Company has pegged the Dangote 32.5 cement
grade at N1,000 per 50 kg bag, while the higher
42.5 grade is to sell for N1,150 per bag.
The new prices exclusive of the Value Added Tax
(VAT), represents about 40 per cent discount on
the prevailing market price of the product which is
currently sold for N1,700 irrespective of the grade,
across the country.
Edwin said the move is in line with the
company’s commitment to the nation’s dire need
for the development of infrastructure and to boost
the federal and state government’s ongoing effort
to reduce the near 20 million housing deficit in
Africa’s largest economy.
“We recognize the need for an increase rapid
response to the huge infrastructure and housing
deficit in the country, and one of the ways of
addressing the issue is bringing the price of
building materials down to much more affordable
levels especially cement which within our own
control as part of our own contribution to the
transformation agenda of the Goodluck Jonathan
administration and the attainment of key
milestones in the Millennium Development Goals
(MDGs),” he said.
Since the commencement of the implementation
of the backward integration policy for cement in
the country over 12 years ago, the local
production capacity of the product rose from less
than 3 million metric tonnes per annum to about
38 million metric tonnes per annum.
During the over 12-year period of the backward
integration policy, nearly $20 billion has been
directly and indirectly injected into the Nigerian
cement industry with Dangote Cement Plc
accounting for 60 per cent of that spend
The GMD/CEO also noted that Dangote Cement
Plc will continue to ensure alignment of its
corporate social responsibility with its strategic
business initiatives and will continue to evaluate
its pricing regime in Nigeria’s best interest.
Meanwhile, the timing of the initiative has
confounded industry watchers, who say that from
experience, the cement market is on the verge of
entering the accelerated demand phase as the
raining season is tapering and the dry season
which provides the opportunity for increased
construction and building activities is setting in.
Recently, in further compliance with the ongoing
Standards Organisation of Nigeria (SON) directive
and regulation on the various grades of cement
and their prescribed uses, Dangote cement
launched its brand of the premium 32.5 cement
grade, which has been restricted to plastering use
only.
The largest cement producer in Nigeria noted that
the move was to develop a full bouquet of cement
types to meet the varied needs of consumers for
the different grades of cement.
Dangote with this move now produces 42.5 for
column casting, block making, decking and other
general purpose construction work that require
high strength, while also producing the premium
32.5 grade for rendering or plastering, flooring and
other activities that may not require intense
cement strength.
The company produces on demand the 52.5 grade
for specialized construction of high strength
structures such as bridges, flyovers, sky
scrappers among others.
The 32.5 grade of cement which has the lowest
strength among the cement grades was priced
lower than the others, selling for N150 lower than
the price of the higher strength 42.5, a price cut
that has now been improved with the current
initiative.
Dangote said in compliance with the SON
standard for cement quality and packaging, the
lower 32.5 type on the Dangote shelf will be
clearly labelled as such, in order to prevent the
problem of misapplication and misuse of the
product which has become rampant in the
nation’s building and construction industry.
Alhaji Rasidi Adebowale, the National President of
the Block Moulders Association of Nigeria said he
received the news with much happiness especially
what the price reduction holds for his members in
Nigeria. He expressed the hope that the new price
review will translate to reduction in the price of
blocks
In his own comment, Alhaji Okunola Abegunde the
Lagos State Chairman of the Block Moulders, said
had all along been looking forward to a time like
this when the price of cement would jump down
from the roof top it has always been.

Anoda house be dat

NO BE LIE OO.AND D PRICE OF BLOCK WILL CRASH TOO

Crazily down

THANKS GOD OH @LIST I WILL CONTINUE MY BUILDING

THANKS GOD OH @LIST I WILL CONTINUE MY BUILDING

how come it has taken them this long to realize the new for infrastructure development.

Hmmmmmmn!good development.

MAY BE THE MONEY THEY AV IS NOT ENOUGH FOR THEM TO DO ELECTION

THOSE PEOPLE THAT ABOUNDON THERE BUILDING JUST BECAUSE OF CEMENT CAN CONTINUE NOW

THOSE THAT ABOUNDON THERE BUILDING JUST BECAUSE OF CEMENT WILL CONTINUE NOW

Haha...

aneke peter chukwujekwu wrote:

THOSE THAT ABOUNDON THERE BUILDING JUST BECAUSE OF CEMENT WILL CONTINUE NOW

True talk

we need more

Ancl shld also crash dongle and acct price abeg!

Just like dat..

Transformation Agenda

smile2012 wrote:

Just like dat..

yes o; just lyk dat! Na u b ancl?

This ur mouth

smile2012 wrote:

This ur mouth

mouth wey ladies lyk 2 dey kiss

Indeed!

ONE DAY WE GO HEAR SAY 9JA IS NOW A BETA PLACE

ONE DAY WE GO HEAR SAY 9JA IS NOW A BETA PLACE

It is real

Yea!

Yea!

aneke peter chukwujekwu wrote:

ONE DAY WE GO HEAR SAY 9JA IS NOW A BETA PLACE

naija has always been a beta place

We r moving