9 May 2014

Nigeria: Dangote to Crash Cement Prices

The President of Dangote Group, Alhaji Aliko Dangote said that nine million tonnes of cement have been released into the market to stem the escalating cost of the product.

Dangote, who disclosed this to newsmen on Friday at the premises of Obajana Cement Company in Kogi State, said that the move was to make the product available in all parts of the country and stabilise its prices in the open market.

The businessman, who spoke after conducting the visiting President of Tanzania, Dr Jakaya Kikwete on a facility tour of the the plant attributed the scarcity of cement in recent time to low production between January and March.

He said the low production followed the yearly turn around maintenance of the plants at Ibeshe, Obajana and other parts of the country.

He assured Nigerians that the prices of cement will drop to its normal price of between N1, 450 and N1, 550 very soon.

Dangote said that the president of Tanzania was at the cement plant to see things first hand and to enable him have a fore taste of what a cement plant the company was replicating in his country.

He said the plant, being established in Tanzania at a cost of 600 million dollars, would have the capacity to produce three million tonnes of cement per annum.

According to him, construction work at the plant has reached 30 per cent completion stage and work is being intensified to ensure its completion and inauguration in 2015.

In his remarks, President Kikwete said that he took time off the World Economic Forum holding in Abuja to visit the plant to have an idea of what his country would experience after the completion of the plant.

He described what he saw as "wonderful," saying that his country was looking forward to seeing the same or better facilities.

He said the visit had further convinced him that Tanzania had a great partner in Dangote. (NAN)

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