BUA crashes cement price to N3,500, promises more reduction before year.

The management of BUA has announced a 30 per cent reduction in the price of Cement.

A statement posted on the verified handle of the company on Sunday, said ex-factory cement price will now be sold at N3,500 per bag effective October 2, 2023.

Chairman of BUA, Abdulsamad Rabiu, had announced last week that the company would reduce the price of cement to between N3,000 and N3,500 after the completion of its new plant, which would increase production volumes to 17million metric tonnes per annum.

But on Sunday, October 1, said it has decided to move forward the reduction to N3,500 ex-factory price.

Until the announcement, the retail price of a 50kg cement sells for N5,200.

The statement from BUA reads: “We refer to our previous pronouncements regarding our intent to reduce cement prices upon the completion of our new lines at the end of the year, in order to spur development in the building materials and infrastructure sectors.

“As per the commitment made to reduce prices and following a periodic review of our operations for efficiency, the management of BUA Cement Plc wishes to announce and inform our esteemed customers, stakeholders, and the public that effective October 2, 2023, we have decided to bring the price reduction forward. As a result, BUA Cement would now be sold at an ex-factory* price of 3,500 Naira per bag so that Nigerians can begin to enjoy the benefits of the price reduction before the completion of our plants.

“Upon completion of the ongoing construction of our new plants, which would increase our production volumes to 17million metric tonnes per annum, BUA Cement PLC intends to review these prices further in line with our earlier pronouncements by the first quarter of 2024.”

The company added that all pending undelivered orders which had been paid for at the old prices will be reviewed downwards to N3500 per bag in line with the new pricing from October 2, 2023.