BUA Cement Company has blamed intermediaries and wholesalers for preventing Nigerians from accessing cement at the approved price of N3500 per bag.
Despite the company’s commitment to reduce prices, intermediaries allegedly obstructed the intended recipients, the end-users, from benefiting from the reduced price.
The company had announced the reduction in October 2023, in line with its promise to lower prices upon completing new production lines. It also pledged to review pending orders to reflect the new price.
However, five months later, the price of cement skyrocketed to N12,000 to N13,000 per 50kg bag, raising doubts about BUA Cement’s commitment to the N3500 price. Civil rights organizations threatened to protest the company’s alleged failure to implement the promised price reduction.
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Mr. Timothy Sogbeinde of BUA Group clarified that the company had sold cement at N3500 per bag for several months before discontinuing the offer. He blamed wholesalers for preventing end-users from accessing the reduced price, leading to the current high prices in the market.
The company’s management has responded to the civil society groups, asserting that it had indeed honored its promise but was unable to sustain the discounted price due to market forces.
BUA Cement’s explanation comes amid growing concerns over the rising cost of building materials in Nigeria, affecting the construction industry and infrastructure development.
