The House of Representatives has taken a decisive step to investigate the significant increase in the price of cement by manufacturers in Nigeria.
Following a motion sponsored by Gaza Jonathan Gbefwi and Ademorin Kuye, the House has resolved to summon cement manufacturers, as well as the Ministers of Solid Minerals Development and Trade and Investment, to explain the reasons behind this surge.
Gbefwi highlighted that cement prices have risen by up to 50%, leading to a ripple effect on building costs and rental prices nationwide.
He argued that the local sourcing of raw materials for cement production makes the industry immune to exchange rate fluctuations, suggesting that the price hikes are unjustified.
READ ALSO: President Reiterates Zero Tolerance for Ransom Payments, Orders Safe Return of Kidnapped Children
Members of the House, including Oboku Oforji and Yusuf Adamu Gagdi, criticized the cement manufacturers for allegedly hindering the government’s efforts to provide affordable housing.
They expressed concern that while Nigerians struggle with high cement prices, neighboring countries enjoy lower costs for the same product.
Billy Osawaru questioned the rationale behind daily price increases by cement manufacturers, especially when many Nigerians cannot afford the product.
READ ALSO: President Reiterates Zero Tolerance for Ransom Payments, Orders Safe Return of Kidnapped Children
George Ozodinobi called for the mass importation of cement to drive down prices, citing previous unsuccessful attempts by local importers to enter the market.
However, Sada Soli urged caution, emphasizing Nigeria’s free-market economy.
He noted that while sympathetic to the plight of Nigerians, cement manufacturers operate in a competitive market without monopolies. He highlighted the significant costs manufacturers incur, such as gas for power generation at international rates.
The House’s investigation aims to provide clarity on the factors driving the price hikes and explore solutions to alleviate the burden on Nigerians.