Nigerians pay more for cement than African neighbours – FCCPC

The Federal Competition and Consumer Protection Commission (FCCPC) is investigating why cement prices are higher in Nigeria compared to other African countries, despite the country's high production capacity. According to the FCCPC, preliminary findings from a three-month investigation have raised questions over whether the sharp increase in cement prices is fully explained by production and distribution costs.

The investigation followed complaints about the high cost of cement, a major component of Nigeria's construction industry. The FCCPC's Anticompetitive Practices Department conducted a cross-border study, examining cement markets in Kenya, Tanzania, South Africa, Egypt, Morocco, and Algeria. The study found that Nigerians pay more for cement than their counterparts in these countries, despite Nigeria's substantial limestone deposits and significant domestic production capacity.

The FCCPC's report, which is 40 pages long, notes that three major cement manufacturers account for more than 90 percent of installed production capacity in Nigeria. All major manufacturers cooperated with the investigation, except one. The FCCPC suggests that there may be price manipulation in the market, but has not provided further details.

Brief written by urgent.news from Punch Nigeria, Punch, Premium Times, Daily Trust — 4 reports on this story. Machine-written — may contain errors; check the original before relying on it.