FCCPC Summons Cement Firms As Price Hits N15,000

The Federal Competition and Consumer Protection Commission (FCCPC) has summoned major cement manufacturers in Nigeria as it investigates possible price manipulation in the domestic cement market.

The Commission stated that its preliminary findings indicated that cement prices in Nigeria were significantly higher than in some other African countries, despite the country’s substantial limestone deposits, large production capacity, and reported surplus supply.

The investigation followed widespread complaints from consumers and businesses about the rising cost of cement, a key material in the construction sector.

According to the FCCPC, the price of a 50-kilogramme bag of cement in Nigeria rose from N9,300-N9,700 in January 2026 to N10,500-N13,000 by mid-year.

By July, the Commission said, prices had reached between N13,000 and N15,000 in some parts of the country.

The FCCPC said the Nigerian price was nearly twice the retail price recorded in Kenya and Tanzania. A 50kg bag sold for about N7,344 in Nairobi, Kenya, and N6,528 in Tanzania, based on the Commission’s market comparison.

The Commission also reviewed cement prices in Togo, where a bag sold for about N9,180, despite the country’s lack of significant limestone deposits.

The findings were contained in preliminary field reports prepared by the FCCPC’s Anticompetitive Practices Department following a three-month cross-border study.

The study covered Kenya, Tanzania and South Africa in Sub-Saharan Africa, as well as Egypt, Morocco and Algeria in North Africa.

The FCCPC said its assessment considered several factors, including the availability of limestone, population, cement production capacity and domestic consumption.

It said Kenya, with a population of about 58.6 million, had domestic cement demand of approximately 9.3 million metric tonnes per annum in 2025. Tanzania, with a population of about 66.3 million, recorded similar demand during the period.

Nigeria, by comparison, has an estimated annual cement production capacity of 60-65 million metric tonnes, while domestic consumption is estimated at 25-30 million metric tonnes.

The Commission said Nigeria was also a net exporter of cement to neighbouring countries.

The Commission said cement manufacturers had identified energy costs, the depreciation of the naira, higher costs of imported machinery and spare parts, transportation and logistics as some of the reasons for the price increases.

However, it said it was testing those explanations against verified information on production costs, capacity utilisation, pricing and market conditions.

The FCCPC said the preliminary findings had provided sufficient grounds for the investigation to continue.

It said the next phase would determine whether the prevailing prices could be justified by legitimate costs and market conditions or whether they resulted from anti-competitive conduct.

The Commission said it would examine possible coordination among cement producers, abuse of market power, restrictions on domestic supply and anti-competitive distribution practices.

It also said it would investigate any other conduct that might violate the provisions of the Federal Competition and Consumer Protection Act.