In spite of the reduction of cement price by manufacturers, retailers in Lagos are still selling the product at the old price of N2,100 per 50 kg bag of the leading brands in the market, a survey conducted by LEADERSHIP has revealed.
Last week, the Dangote Group, owners of the Dangote brand announced a massive reduction in the price of their brand from N1,650 to N1350. This reduction should have had an impact on the retail price which was before then N2,100.
But in a price survey conducted in Lagos, retailers were still selling at the old price. Those who spoke with LEADERSHIP in separate interviews had same reason for sticking to the old price.
A retailer in Abule Egba area, Mrs. Olufunke Adebisi, said she could not have reduced the price because she was still selling the old stock.
“What I have in the shop now is the cement I bought two months ago at the old price of N1800. I can only reduce the price if I get new stock” she said.
Another retailer, Jimoh Moroof, with his outlet in Iju Ishaga, a Lagos suburb said he heard the news of the price reduction by some manufacturers, but repeated the claim of the first respondent that he also had old stock. “We will all be happy if the price of cement comes down further. That will be better business for me because with cheaper cement, there will be more customers. Take for example, the present stock in my shop was bought more than two months ago and because of the price,
I have not been able to dispose them. So one’s investment is stuck”.
However, while the Dangote group has announced a reduction in its brand, other cement manufacturers are yet to reduce their prices in compliance with the recent presidential directive.