Date: 2021-05-14

Nigeria is one of the largest producers of cement on the continent, but the price of cement continues to rise, especially this year.

In Kwara State particularly, the hike in the price of the commodity has not only rattled builders, dealers, block manufacturers and workers in the building and construction industries, it has also unsettled low-income earners, middle-class businessmen and civil servants who have plans to build and own houses.

A survey conducted by North Central Trust at various wholesale and retail shops in Ilorin metropolis on the issue showed that the price of the product has almost doubled when compared to the price in 2020.

A cement dealer at Cemetery Road, Osere, Isiaq Garba, noted that the increase started before the #EndSARS protest, saying a bag of cement was N2,600 and sold by dealers at N2,800 which was later increased by distributors to N3,500 and retailers sold at N3,700.

Isiaq explained further that, "Before, we could deposit money for 300 bags and get supply, but now you need money for 900 bags, and that is a full trailer. Also, the supply is always delayed; it can be up to a month before you get it."

He said the price of the commodity was affecting his business severely because it had become too expensive and that customers were complaining, adding that the few who were buying could only afford in small quantities.

He further said a trailer load of Dangote cement with 600 bags initially sold at N1.5 million in 2020 is now N2.3 million in the first quarter of 2021.

"The prices change on a daily basis, so as we are talking now, I cannot guarantee the price it will be sold tomorrow," Isiaq lamented.

To corroborate this claim, another dealer, Agboola Segun, said many customers had either stopped patronising him or reduced patronage because of the hike in price of the product.

Agboola said, "We have so many challenges in this business. Before the increase, customers expected it to go down due to the COVID-19 lockdown and other factors, but I was shocked when I was told of the increase when I went to restock. I believe the hike is from distributors."

Manager of a block factory, Sulaiman Ibrahim , said the increase in price of cement has affected the number of blocks he produces and sell daily.

Ibrahim explained that, "A six-inch block was N160 and a nine-inch was N180, but now we sell at N200 and N220 respectively."

He said the development has affected sales volume as those who used to buy over 5,000 blocks in a day had reduced the number to about 500 due to the hike in cement price and consequently the hike in the price of concrete blocks.

He added, "I still try to produce the same quantity as before even though I am not selling much. I have two block factories, but I stopped production in one of them, and this is affecting not only me but also some of my workers that have been asked to go."

Another retailer at Asa - Dam Road, who simply identified himself as Ijesha, said he was surprised at the rate of increase in the prices of the products in the country.

According to him, a bag of Dangote Cement is sold at N3,900, UNICEM for N3,700; BUA Cement for N3,700 and Kogi Super Cement is sold at N3,600.

Ijesha lamented that few individuals were given the opportunity to supply the product and pleaded with suppliers to reduce the prices and make it available for the citizens.

He said the prices may likely crash as the rainy season continues. Also speaking on the issue, a resident of Ilorin who trades in spare parts, Fatai Alafara said he has to abandon his building project because of the high cost of cement hoping that there will be serious intervention from the government on the matter.

"I have no other choice than to abandon my building just praying that the situation will return to normal. I started the building when cement was being sold for N2,200 but with it being sold at over N4,000 now, my calculations and projections have been seriously affected. And coupled with the escalating cost of living, I have no choice than to abandon the house for now, the struggle to survive is tough enough. It is when one is alive that we can talk about building a house", he added.