Business
Concerns As Price Of Bag Of Cement Hit New High Amid Tinubu Govt’s Reforms; Price Details Emerge
Homeowners, builders, and tenants across Nigeria are decrying the sustained hike in cement prices hit new high.
Cement giants vowed further reductions in May 2025; however, prices remain stubbornly high, with recent findings showing a spike of between 28% and 53% in Abuja and elsewhere.
The new prices ranging from ₦9,500 to ₦12,000 per 50 kg bag, despite pledges by major manufacturers like Dangote and BUA to reduce costs in support of President Bola Tinubu’s housing agenda.
Naija News recalls that in March 2025, when the price of cement tumbled to ₦7,800 (down from a whopping ₦15,000 in February 2024), Nigerians hoped for lasting relief.
A concerned stakeholder, Benjamin Udoka, questioned the inconsistency during an interview with the Daily Post.
He said, “It is painful that Dangote did not replicate his supposed fuel reduction strategy in the cement sector. In some parts of Abuja, a 50 kg bag of cement goes for as much as ₦11,000. It is pathetic.”
He called for government-imposed price controls, warning of unbearable rent hikes.
Maryam Abubakar from Dawaki echoed the sentiment, emphasising the hardship borne by middle-income households.
A former Presidential aspirant, Aliyu Wamakko, blamed the price surge on weak government oversight, surging demand, and a lack of direct dialogue with manufacturers.
He explained: “As long as demand exceeds supply…the price is bound to rise. Cement should be cheaper, as 70% of its raw materials are local.”
Wamakko urged the government to revive talks with factories, like in March, and establish policies to prioritise cement for housing, not roads, arguing: “High cement cost = high rents and property prices.”
Manufacturers Quiet, Consumers Suffer
According to the media platform, Dangote’s spokesman declined to comment on the development when contacted. Likewise, the Federal Competition & Consumer Protection Commission (FCCPC) remained silent on the issue.
Naija News reports that although Nigeria’s headline inflation dipped to 22.97% in May 2025, and food price inflation softened, housing remains expensive.
Reports are that in Abuja’s Gwarimpa, a one-bedroom self-contained flat now rents for about ₦1.5 million/year, up from ₦700,000 previously.
The 3,112-unit housing project led by Housing Minister Ahmed Musa Dangiwa, launched in February 2024, has made no visible progress.
Meanwhile, a Senate resolution to investigate cement price hikes since 2024 has stalled, leaving millions caught between high material costs and soaring rent.
Without swift intervention, the dream of affordable housing under the “Renewed Hope Agenda” risks collapsing under the weight of market failure.
The Nigerian currency, Naira (₦), continued its battle against the United States dollar at the official foreign exchange market on Saturday.
Daily Voice reports that data from the Central Bank of Nigeria (CBN) showed that the local currency sold at ₦1,321.2160/1$ on Sunday.
The latest rate is the same as Saturday’s rate of ₦1,321.2160/1$.
At the parallel market (black market), however, the naira closed on Sunday at ₦1,400 to the dollar.
The offers by commercial banks, Bureau de Change (BDC) operators, and other foreign exchange dealers may, however, differ from the reference rates due to transaction margins and prevailing demand and supply conditions.
Market participants will continue to monitor foreign exchange inflows, demand for dollars, and CBN policies for indications of whether the naira can sustain its gains through the month.
Cement prices in Nigeria remain elevated, with a 50kg bag selling for between ₦12,000 and ₦15,000 in many markets, putting further pressure on builders, contractors and Nigerians planning construction projects.
The latest market data shows that although some brands are currently available below the ₦15,000 mark, the industry remains significantly more expensive than it was at the end of 2025 and early 2026.
Recent market quotations show the following indicative prices for a 50kg bag:
Note: prices may vary by location and transportation costs.
These figures are based on a September 1 market report and can vary depending on location, transportation costs, dealer margins and supply conditions.
However, July industry data painted a more expensive picture. CementNet reported retail prices of ₦12,000 to ₦15,000, with Dangote selling for about ₦13,000–₦15,000, BUA at ₦12,000–₦14,500, and HBM Nigeria, formerly Lafarge Africa, at ₦12,000–₦13,500.
The latest figures suggest that cement prices may have eased from the highest quotations seen earlier in the year, but the broader trend remains upward.
In July, The Guardian reported that a 50kg bag typically sold for ₦12,500–₦15,000 across major markets including Lagos, Abuja and Abia.
The Federal Competition and Consumer Protection Commission (FCCPC) also reported that prices had reached between ₦13,000 and ₦15,000 in some locations during the first half of 2026.
This means the current ₦12,000–₦14,000 quotations for several major brands should be viewed as some market-level moderation rather than a broad collapse in cement prices.
Why cement remains high
High energy and transportation costs continue to weigh heavily on the industry. Cement manufacturing requires significant amounts of energy, while moving cement from factories and depots to retail markets adds further costs.
Location is also playing an important role. Buyers in areas farther from production centres can pay substantially more because of haulage and distribution expenses.
The situation is particularly significant because Nigeria has substantial cement production capacity, yet retail prices remain high. The Guardian reported that domestic production exceeds consumption, with surplus output exported to neighbouring countries.
Nigerian civil servants on Grade Level 8 now earn between N1,479,276 and N1,914,514 annually, depending on their step within the scale, following the new minimum wage signed under President Bola Tinubu’s administration.
The figures fall under the Consolidated Public Service Salary Structure (CONPSS), the framework that governs pay across Nigeria’s federal civil service.
CONPSS covers 17 grade levels in total, and a worker’s position within each level is shaped by their qualifications, length of service, and performance record.
Grade Level 8 has 14 steps, with each step representing a progression in earnings. Below is the full breakdown:
The gap between the lowest and highest steps at this level amounts to N435,238, reflecting how significantly length of service can affect take-home pay within a single grade.
Interest in the salary structure has grown since Tinubu’s government approved a new national minimum wage, which triggered a review of earnings across the public sector. Civil servants and job seekers have been keenly examining each grade level to understand what the adjusted structure means in practical terms.
Workers at Grade Level 8 are typically mid-level employees with some years of experience in the civil service. Their earnings sit above the entry-level grades but below the senior cadre, making this level a reference point for many who are planning career progression within the federal workforce.
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