Builders, Homeowners Express Outrage as Cement Price Rises to N12,000 Per Bag in Nigeria
- Stakeholders in Nigeria’s housing and construction sector are worried about the high price of cement, which now sells for about N12,000 per bag
- Builders say the rising cost of cement and fuel is making housing projects more expensive and forcing some developers to stop construction work
- They warned that affordable housing in Nigeria will remain difficult to achieve if cement prices continue to rise despite local production
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
Stakeholders in Nigeria’s construction and housing sectors have expressed concern over the sharp rise in cement prices, describing the current cost of about N12,000 per bag as excessive and damaging to efforts aimed at delivering affordable housing.
They warned that if prices remain at current levels, many Nigerians will struggle to own homes, despite ongoing initiatives by federal and state governments to reduce the country’s housing deficit.
Source: Getty Images
The concerns come shortly after the Federal Government added cement and several other products to the list of prohibited imports.
According to reports, the updated policy also covers items such as soap, fertiliser, and 14 other product categories, increasing the total number of restricted goods to 17.
Cement prices hit construction sector hard
A market survey conducted at major building materials markets in the Federal Capital Territory (FCT) showed that a 50kg bag of Dangote Cement now sells between N11,800 and N12,000, depending on the product type.
Nigeria’s leading cement producers include Dangote Cement, BUA, Ibeto Cement, and Lafarge.
Industry stakeholders said the persistent increase in cement prices is worsening the crisis in the housing sector, with many developers abandoning projects due to soaring construction costs. Private individuals hoping to build their own homes are also being discouraged.
Real estate expert Jide Fasuyi questioned why cement remains expensive despite the presence of local manufacturers and the availability of raw materials within the country.
He said it was troubling that Nigerians still pay heavily for cement even though the product is produced locally and exported to other countries.
Developers fear affordable housing may slip away
Civil engineer Chukwuebuka Vincent also criticised the steady rise in prices, noting that cement costs have more than doubled within the last three years.
According to him, cement sold for between N5,500 and N6,000 in 2023, but now costs nearly N12,000 per bag.
He explained that the sudden increase has affected several construction projects, including one he is currently supervising, which has been suspended because of the high cost of materials.
Vincent warned that affordable housing may become impossible if cement prices remain high, as developers would inevitably transfer the additional costs to home buyers.
Meanwhile, the Executive Director of the Housing Development Advocacy Network (HDAN), Barrister Festus Adebayo, said rising fuel prices are also worsening the housing situation in Nigeria.
Source: UGC
He explained that the cost of transporting building materials such as cement, iron rods, tiles, and fittings has increased significantly due to higher petrol prices.
According to him, contractors and developers are struggling with rising logistics expenses, forcing suppliers to pass the added costs on to consumers.
Source: Legit.ng
