Depreciating Naira to Send Cement Price to N2,200/Bag

Hope of cheaper cement may have been dashed by rapidly depreciating naira as dealers say coming consignments will not be cheaper than N2,200. One of the major player in the industry had earlier vowed to bring cement prices down to  least N1,000 per bag.
But investigations revealed that with falling oil prices, which has reduced Nigeria’s revenue drastically, leaving lesser dollar to play in the international market has impacted ver negatively on the local currency – the naira.
The crux of the matter is that, with a load of naira purchasing a handful of dollar has guaranteed imported inflation that will see the price of cement and other imported goods rise.
Analysts are afraid that, the rise in cement prices might just be an icing on what to expect from imported goods next year.
One of the dealers reportedly said one of the major manufacturers had indicated that its next consignment would be delivered at N1, 900, adding that by the time other variables are added, a bag of the product would get to the final consumer at N2, 200. To make the product available to customers, the firm said it had set up depots across the nation and also offered opportunity for direct purchase.

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