We'll Address The Growing Cost Of Cement In 30 Days, If... — Producers

National Chairman of Cement Producers' Association of Nigeria (CEPAN), is ready to assist the Federal Government in crashing the price of cement within 30 days if brought in as part of efforts to bring solution.

Prince David Iweta, the chairman of the Cement Producers' Association of Nigeria (CEPAN), has stated that he is willing to assist the Federal Government in cutting the cost of cement in just 30 days in order to find a solution.

He stated that the association had foreseen the current course of events and had warned the federal government of the implications and likely consequences of entrusting a small, privileged group with the production and provision of cement for over 200 million people.

Iweta, who provided the assurance in an exclusive interview with the Nigerian Tribune on Sunday, said that the problem of the commodity's demand greatly exceeding its supply in the industry is the reason for the ongoing price increase rather than any foreign exchange factor, as some have claimed.

Read: Cement Price Hits N9500 In Retail Outlets Across The Country

He asserted that the association had anticipated the current course of events and had alerted the Federal Government to the potential ramifications of assigning a select few privileged individuals the responsibility of producing and meeting the cement requirements of more than 200 million people.

“What we are seeing today is a case of demand clearly outweighing supply and we in the association knew it would come to this because there is no way the few players in the industry can meet the cement needs of Nigerians.

“If you remember, the association had earlier warned, even when the commodity was still as low as N3,000 that in the nearest future, it would sell for as high as N9,000 if certain steps were not taken. Why we were saying that then was to ginger the government to take action and avert this mess that we are all in today,” he said.

In order to rectify the current state of affairs, the head of CEPAN recommended that the Federal Government review the Backward Integration Policy of the late President Umar Yar'Adua. This policy allowed certain other industry participants to import the commodity but was thwarted by a few,'selfish' individuals in the sector.

“In a bid to address the supply gap then, the late President Yar'Adua had given import licences to some manufacturers in the sector to import the commodity for a certain period of time before developing the financial muscles to be able to produce here. This was meant to bridge the noticeable supply gap in the sector then. But this was scuttled by the cabals in the sector then.

“The way out in the immediate for the Federal Government is to revisit that policy, otherwise the price will keep rising since it is obvious that these few players cannot cope with the demands of Nigerians,” he added.

Iweta went on to say that the association had previously been denied an audience with the President and the Minister of Industry, Trade, and Investment to express its position on the matter.

“But the fact remains that we are still very much open and ready to help government in addressing the situation and crash this exorbitant price in 30 days,” he submitted.