The Federal Government has stepped up efforts to address the rising cost of cement, urging manufacturers to lower prices amid concerns over the impact on infrastructure projects and construction activities across the country.
Minister of Works, Senator David Umahi, made the appeal during the unveiling of the new corporate identity of Lafarge Africa, now known as HBM, following its acquisition by the China-based HUAXIN Group.
According to a statement issued by the minister’s Senior Special Assistant on Media, Francis Nwaze, the government plans to begin discussions with cement producers from July 1, 2026, with the aim of finding solutions to the persistent increase in cement prices.
Umahi noted that the high cost of cement has continued to place pressure on contractors handling government projects, leading to growing requests for contract reviews and additional funding.
He stressed that manufacturers should take practical steps to reduce production costs instead of expecting government agencies to repeatedly adjust contract values to accommodate rising material prices.
The minister explained that lower cement prices would not only support the execution of major infrastructure projects but would also make housing construction more affordable for Nigerians.
He added that the ongoing infrastructure drive under President Bola Tinubu’s administration has created significant opportunities for cement producers, contractors and investors within the construction sector.
Umahi therefore encouraged HBM and other manufacturers to increase their production capacity to meet the expected rise in demand generated by road, bridge and transportation projects nationwide.
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Commending HBM’s renewed commitment to the Nigerian market, the minister assured investors of the Federal Government’s readiness to collaborate with industry players to promote industrial growth and infrastructure development.
He also highlighted several achievements recorded under the administration’s Renewed Hope Agenda, citing the Lagos-Calabar Coastal Highway as one of the key projects aimed at boosting economic growth and improving connectivity across the country.
According to him, the highway project has attracted international attention because of its scale and engineering standards, while reinforcing the government’s commitment to modern infrastructure development.
Umahi expressed confidence that ongoing investments in infrastructure would stimulate economic activities, create employment opportunities and strengthen Nigeria’s competitiveness.
The minister’s remarks come amid concerns from contractors and stakeholders who have repeatedly warned that escalating cement prices could increase construction costs, delay projects and worsen the housing deficit.
The Federal Government is expected to engage manufacturers on strategies that will help stabilise prices while ensuring continued investment and production within the cement industry.
