Price Stability for Renewed Hope Projects
Alhaji Abdul Samad Rabiu announced that the decision to freeze cement prices is a direct response to the administration's call for private sector collaboration in driving economic and infrastructure growth without the burden of escalating costs due to rising input prices. “We have decided that we are going to freeze the price of cement for any contractor involved with the Renewed Hope projects. There will be no increase for the foreseeable future. This is our way of supporting Mr. President’s initiative,” Rabiu stated. He also clarified that despite prevailing inflationary pressures and foreign exchange challenges, cement prices in Nigeria remain relatively competitive on a global scale. “Even at N10,000 per bag, that’s about $120 per ton, which is in line with global pricing,” he explained.
To ensure effective implementation of this price stabilization commitment, BUA’s Managing Director, Engineer Yusuf Binji, has been appointed Chairman of the Cement Manufacturers Association of Nigeria (CEMAN). His primary responsibility will be to coordinate industry-wide compliance on maintaining stable prices for Renewed Hope infrastructure projects.
Revitalizing Construction Sector Capacity
Beyond price stabilization, cement manufacturers have also agreed to undertake broader sectoral reforms to enhance capacity within the Nigerian construction industry. A key component of this initiative involves contributing N20 to N30 per bag of cement towards the revival of the Cement Technology Institute of Nigeria (CTIN), which is expected to generate approximately N15 to N20 billion annually. These funds will be strategically utilized to train artisans and bridge the critical skills gap in the construction sector. “We’re revamping CTIN not just to train artisans, but to sustain the gains we’ve made in local cement manufacturing,” Rabiu emphasized.
It was also announced that Aliko Dangote will continue to serve as the chairman of CTIN, while Alhaji Dahiru Mangal of Mangal Cement has been newly admitted to both CEMAN and CTIN, further strengthening industry collaboration.
Food Price Stabilization Efforts
In addition to addressing cement prices and construction sector capacity, Rabiu provided an update on the progress made in stabilizing the prices of essential food commodities through BUA Foods’ supply-side interventions. He commended President Tinubu’s foresight in approving temporary duty waivers on key food imports last year, which enabled companies like BUA to import substantial quantities of wheat, maize, and rice, effectively driving market prices downwards. “Rice is now about N60,000 per 50kg bag, down from N110,000 last year. Flour has dropped to N55,000 and maize to N30,000. This was made possible by the President’s bold six-month waiver policy, which disrupted hoarding and brought relief to consumers,” Rabiu explained.
He highlighted that BUA’s strategic imports successfully countered the hoarding practices of speculators who sought to manipulate prices by stockpiling local paddy post-harvest. “Those hoarders are now losing money because we crashed the price with available stock,” he noted.
Furthermore, the Rice Millers Association has committed to discouraging paddy hoarding and ensuring stable market supplies as part of broader industry reforms. “We now have enough rice to last through the year. Even when the harvest starts, farmers will get fair prices, but hoarders won’t be able to manipulate the market,” Rabiu affirmed.
Presidential Approval and Future Commitments
Rabiu conveyed that President Tinubu expressed satisfaction with the progress reported and encouraged the private sector to further enhance their contributions. “Mr. President was satisfied with our report. He encouraged us to do more, and that’s exactly what we intend to do,” Rabiu concluded, reaffirming the private sector’s commitment to supporting the government’s economic stabilization and infrastructure development initiatives.