Dangote Cement Plc, a prominent player in Nigeria’s construction industry, has moved to dispel misconceptions surrounding the pricing of its cement products. The company, headed by President Alhaji Aliko Dangote, stated that as of August 28, 2023, the cost of a bag of cement was N4,010 in Okpella and N4,640 in Ibese, Objana, and Gboko.
In a bid to clear the air about pricing discrepancies, Dangote Cement emphasized that the actual price range, inclusive of transportation expenses and delivery location, could vary between N5,000 and N5,300 per bag. The clarification was deemed necessary due to inaccurate claims suggesting that the company charged considerably higher rates for its cement within Nigeria compared to neighboring countries, especially the Republic of Benin.
Addressing the issue, Mr. Arvind Pathak, the Group Managing Director of Dangote Cement, highlighted the importance of distinguishing between the company’s ex-factory prices and the prices set by retailers in the market. To substantiate his point, Pathak cited an investigation conducted in Cotonou, the commercial hub of the Republic of Benin, where cement was found to be priced between CFA 3,495 and CFA 4,500. Considering the exchange rate of CFA 1 to NGN 1.43, this translates to a range of N4,997 to N6,435 per bag.
Pathak underlined Dangote Cement’s dedication to providing quality cement at the most competitive prices, even in the face of prevailing inflationary conditions. He further stated the company’s commitment to continuous innovation in order to meet the needs of its vast customer base across Africa while upholding exceptional customer service.
“We remain steadfast in our commitment to foster an inclusive and sustainable business environment for all stakeholders along the value chain,” Pathak concluded.
As the construction sector continues to evolve, Dangote Cement’s efforts to maintain transparency and affordability in its pricing structure underscore its unwavering commitment to the industry and its customers.
