Current Price of Cement in Nigeria Today (October 2020) – The price of cement in the country is not steady at all and even though there are complains when the prices increase, people have no choice but to go with the changes.
This is as a result of the fact that there is no how you can go about constructing a building and the likes without making use of cement. Sometimes it is surprising at how quick the price of cement changes even though it is not imported.
Another thing about the price of cement is that the price varies depending on the location that you are making the purchase from. You can get one price in Lagos and get a different price in Abia.
It is therefore very expected for you to want to be sure about the current price at which a bag of cement goes for before going ahead to make your purchase.
With that in mind we have come up with the current price of different types of cement in Nigeria. Bear it in mind that these prices are prone to change. So make do with these for now.
Current Price of Cement in Nigeria
Cement Brand Retail Price (per 50kg bag) Wholesale Price (600 bags)
- Dangote Cement 2,570 naira 1,510,000 naira
- Elephant Cement (WAPCO) 2,550 naira 1,470,000 naira
- Ashaka Cement 2,550 naira 1,470,000 naira
- Ibeto Cement 2,550 naira 1,500,000 naira
- Eagle Cement 2,550 naira 1,470,000 naira
- BUA Cement 2,550 naira 1,470,000 naira
- UNICEM 2,550 naira 1,480,000 naira
Bear it mind that the price at which you can get a bag of cement differs from place to place. The price in high-profile areas will definitely be more expensive than other places although the difference might not be that much.
How much is a bag of cement in Nigeria?
So you can say that currently, the retail price of cement in Nigeria is 2,550 naira to 2,800 naira per bag. While the wholesale price (600 bags) is 1,470,000 naira to 1,510,000 naira. This is highly dependent on certain factors such as brand, location, manufacturer, etc.
Why the price of cement in Nigeria fluctuates
No doubt a question that has remained in your mind is why does the price of cement in Nigeria fluctuate? Especially since a ban has been placed by the government on importation of cement. That is what we are about to discuss. The constant fluctuations in cement prices in Nigeria are as a result of some factors.
Some of these factors can be managed by the manufacturing companies while some other factors are completely beyond their control. We are now going to take a look at these different factors that influence the price of cement.
High maintenance costs: Agreed that cement manufacturing takes place in the country. However this manufacturing process involves heavy duty machinery as well as huge facilities. The cost of maintenance is usually on the high side.
So to remain in business, the price of the cement has to be substantial enough so that despite the high cost of running and maintaining the cement plant, the companies will still have profit. After all that is what business is all about.
High distribution costs: The cost of distribution also has a hand in the price at which the cement will be sold for. Of course the cost of delivery is directly proportional to the weight of conveyed goods.
Nevertheless, manufacturers spend a lot while trying to distribute the bags of cement. Most times the bags of cement are transported in very large quantities from the plant to wholesalers before it gets to retailers.
The transportation factor is also a major reason why a lot of cement manufacturers build their plants close to their target market.
Lack of steady power supply: In order to have steady power supply to fully run the cement manufacturing plant, the companies have to look at alternative sources of power supply and this obviously comes with extra cost.
This consequently leads to high overhead costs, and eventually increased product prices.
Government policies: Even though the ban on importation of cement is much appreciated, the government can still do better with regards to the many policies governing how cement manufacturing companies operate in the country.
This is because most of these policies directly affect the price at which the cement is sold for and at the end of the day, the consumers are the ones that are most affected.
Other factors that influence the prices of cement include technological inadequacies on the part of the manufacturers and constraints in buying power of consumers.
In every sector of the economy, there will definitely be big shots, companies and brands that are more popular than the rest. We are now going to take a look at some of the very popular cement manufacturing companies in the country.
Dangote Cement Plc
There is no one in the country that doesn’t know about Dangote Cement. Infact the company is the biggest and most popular cement manufacturer in the country. Dangote Cement Plc is part of the Dangote Group, which was founded by Alhaji Aliko Dangote.
Initially the company was known as Obajana Cement Plc and this was as at was 1992. In July 2010, the name was then changed to Dangote Cement Plc which it is still known as till today. Dangote Cement Plc is currently the largest listed on the Nigerian Stock Exchange.
The company takes part in the manufacturing and distribution of cement not just in Nigeria but in other African countries as well such as Congo, Senegal, Tanzania, South Africa, Cameroun, Ghana, Zambia, Sierra Leone, Liberia, Ivory Coast, and Ethiopia.
The company has their cement manufacturing plant in different locations across the country and outside the country. There is one in Obajana, Kogi state which is actually the largest cement manufacturing plant in Africa, with a production capacity of 10.25mmtpa.
Other locations that their plants are located include Obeshe, Ogun state (4mmtpa) and Gboko, Benue State (4mmtpa).
Lafarge Cement WAPCO Nigeria
Another notable cement company is Lafarge Cement. They churn out about 12mmtpa of cement in Nigeria, and from every indication, it will hit 18mmtpa by 2020.
The company has their cement manufacturing plants in Ogun state (3 WAPCO plants producing a total of 4.5mmtpa), Gombe state (Ashaka cement plant producing 1mmtpa), Cross River state (United Cement Company of Nigeria plant producing 2.5mmtpa), and Rivers State (Atlas cement company).
The Lafarge group deal on other construction materials such as concrete and they operate under the parent company which is Lafarge Holcim, a French-Swiss company headquartered in Paris, France.
Other big cement manufacturers in Nigeria that are well known are BUA cement group, UNICEM and Ibeto cement.
Cement Bag Price is filed in Building Materials Prices