Last week, Dangote, Africa’s largest cement producer, crashed cement prices by almost 40 percent, from N1,700 ($10.3) to N1, 000 ($6) for a 50kg bag of the 32.5 grade and N1, 150 ($7) for a 42.5 cement grade.
The price slash marked the lowest cement price offered to consumers since 2005, and ups the ante in what is considered one of the continent’s more competitive markets. Edwin says Dangote Cement Plc will continue to appraise its pricing policy in the interest of Nigerians.
“We are an ethical organisation and we believe in putting our customers first, before profits. We believe in creating value for all our stakeholders in a sustainable manner. We will continue to pursue this philosophy,” he said while speaking at the unveiling of the
company’s new product 32.5 cement grade and its new cement bags. The bags were redesigned in line with the demand of Standards Organisation (SON), a local product quality regulator.
Also, Joseph Makoju, the Honorary Adviser to Aliko Dangote, President of Dangote Group, and a seasoned sector expert, said he is satisfied with what is happening now in the Nigerian cement market. “Gone are the days of scarcity when the price would skyrocket and far beyond the reach of the people. But today, we are celebrating a price cut which has never happened before. This is possible because of increase in the production capacity which has made Nigeria to be self-sufficient with opportunities for export to other countries,” Makoju said.
Dangote is on course to cement its front-row position well beyond the borders of Nigeria.
Before the end of the year, the company intends to inaugurate four new cement plants in Senegal, Cameroon, Ethiopia and Zambia. Other plants are currently at various stages of completion in eight other African countries. They will be inaugurated within the next two years.
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