BUA Group Chairman Abdul Samad Rabiu has announced a freeze on cement prices for all contractors working on projects under the Federal Government’s Renewed Hope agenda, aiming to assist President Bola Tinubu’s economic recovery efforts. This decision has led to diminished hopes among Nigerians for lower cement prices.
After a meeting at the Presidential Villa in Abuja, Rabiu expressed satisfaction with the recent decline in food prices compared to last year. He attributed the relatively high price of BUA cement to the naira’s flotation.
Rabiu revealed that this initiative, developed in collaboration with Alhaji Aliko Dangote, chairman of Dangote Cement, aims to mitigate cost increases for essential infrastructure projects nationwide. He stated, “We have decided to freeze the price of cement for any contractor involved with the Renewed Hope projects. There will be no increase for the foreseeable future.”
The Cement Manufacturers Association of Nigeria (CEMAN) has been restructured to support this commitment, with Engineer Yusuf Binji of BUA Cement appointed as the new chairman. Additionally, the Cement Technology Institute of Nigeria (CTIN) will receive renewed funding of ₦15 to ₦20 billion annually through a levy on cement sales.
Rabiu praised Minister of Works David Umahi for promoting concrete roads, which he described as more cost-effective and durable than traditional bitumen roads. He also highlighted President Tinubu’s previous decision to grant a six-month duty waiver on select food imports as a crucial step in combating food inflation.
He noted significant reductions in food prices, recalling that a 50kg bag of rice once sold for over ₦110,000 but now costs about ₦60,000. Prices for flour and maize have also decreased considerably. Rabiu attributed these drops to the successful disruption of hoarding practices in the rice supply chain through increased imports.
He warned that those attempting to hoard rice now risk substantial losses, as BUA has imported enough rice to last until the year’s end. Rabiu expressed optimism that food prices will remain stable moving forward, emphasizing the need for public acknowledgment of the positive impact of falling prices.
He concluded by thanking President Tinubu for his leadership and reaffirmed BUA Group’s commitment to supporting government initiatives aimed at fostering economic stability and public welfare.
