BUA Cement Plc on Friday announced plans to commission two new plants to reduce cement prices in the country.
Abdul Samad Rabiu, Chairman of BUA Group, disclosed this while addressing House of Representatives correspondents on Friday after meeting President Bola Tinubu.
Mr. Rabiu in a published video The company’s handle
He explained that the new plants will increase the company’s production capacity to 17 million tons annually, adding that the company can only do so because it develops locally.
“Let me thank His Excellency Mr. President for graciously receiving me today. I have come to inform His Excellency about the affairs of our cement business. We have two new lines of three million tons each that will come into operation at the end of the year.
“So I came to intimidate His Excellency and also to explain to him the efforts we are making to try to once again support the government’s efforts to lower the price of cement with these six million tons that we are going to order until the end of the year. year,” he said.
“And by the way, His Excellency has agreed to come and commission the plants in December or early January next year.
“Then I explained to him that we want to support the government’s efforts to lower the price of cement,” he added.
When these lines come into service, he said, BUA Cement will produce around 17 million tonnes per year.
“And with that, we intend to reduce the price of cement from its current level of N5,000 to N5,500 per bag to perhaps N3,000 to N3,500 per bag,” he said.
“And we can only do it because we produce cement locally, 80 per cent of the raw materials we use to produce cement are found in Nigeria.
“It is mainly limestone and gypsum and of course energy is part of it and there will be gas in Nigeria. We want to support the government’s efforts to ensure that the prices of these essential commodities come down,” he added.
Rabiu said: “What we are going to do when we put these two lines into operation is to announce to Nigerians that the price of cement is going to go down.
“Mr President was very happy and assured me that we will get all the necessary support from him and his government to ensure that the prices of raw materials, not only cement but also other raw materials, come down so that Nigerians get the benefits. of what Mr. President is doing,” he stated.