BUA Cement Plc., one of Nigeria’s leading cement producers, has announced its plans to significantly reduce the price of cement in the country.
The Chairman of BUA Cement Plc., Abdul Samad Rabiu, revealed these intentions after a meeting with President Bola Tinubu at the State House in Abuja.
Rabiu stated that BUA Cement aims to lower the price of cement from the current range of N5,000 to N5,500 per bag to a more affordable range between N3,000 and N3,500 per bag.
This price reduction initiative aligns with the company’s commitment to supporting the Federal Government’s efforts to stabilize the prices of essential commodities in Nigeria.
However, the reduction in cement prices will be implemented in conjunction with the commissioning of two new cement plants, each with an operating capacity of 3 million tons. These plants are scheduled to be inaugurated by the end of the year.
During his meeting with President Tinubu, Rabiu expressed his gratitude for the president’s warm reception and took the opportunity to discuss the developments in BUA Cement’s business operations.
He shared details about the upcoming expansion plans and how they would contribute to reducing cement prices in the market.
“We have two new lines of 3 million tons each that we will be commissioning by the end of the year. So I explained to him that we want to support the efforts of the government in bringing down the cost of cement,” Rabiu explained.
“By the time these lines are commissioned, BUA Cement will be producing about 17 million tons per annum, and with that, we intend to bring down the cost of cement from its current level of N5,000 or N5,500 per bag to maybe N3,000 to N3,500 per bag.’’
Furthermore, Rabiu pointed out that: “Eighty percent of the raw materials that we are using to produce cement in Nigeria are mainly limestone and gypsum and of course, energy is part of it. Of course, we have gas in Nigeria.
“So we want to support the government, we want to support their efforts in ensuring that the prices of these commodities are brought down incidentally.’’
He revealed that the two new plants to be inaugurated by Tinubu later in 2023 would increase production capacity to 17 million metric tons.
