Markets

NIGERIA: We Have not Increased the Price of Cement, Says Dangote

Dangote Cement Plc has noted that it had not increase the price of its product and that the rebranding of its 42.5 grade of cement is at no extra cost to the consumers.
 
The Company made this disclosure recently day at the weekend during a Radio Nigeria’s Amuludun FM phone-in programme, Oyin Momo, during which listeners complained of skyrocketing price of the vital commodity and called on the Company as the biggest manufacturer to intervene to save the consumers.
 
Fielding questions from the callers, Dangote Cement Sales Director for the South-West, Mrs Funmi Sani and the Director of Marketing Services, Olaniyi Johnson explained that Dangote Cement had not and would not add a kobo to the price of cement despite the increase in the cost of production inputs.
 
Mrs Sani explained that the only plausible reason for high cost of the product in the market was excessive profiteering by some unscrupulous distributors and dealers who might be cashing in on the little scarcity of the commodity.
 
She stated that the recent epileptic supply of gas to operate the manufacturing plants has hampered regular production and that the situation is affecting all manufacturing concerns in the country.
 
The Director blamed the hike in price on unpatriotic distributors with undiluted appetite for profits who are capitalizing on the little scarcity caused by the shortage of gas supply to the plants to produce maximally.
 
The callers then urged the Company to help out by cautioning its distributors against excessive hike of the price so that everyone would have access to the product.
 
Mrs Sani promised that the company would look into the problem and come up with a solution as the management would not want its customers to suffer unnecessarily.
 
In his submission on the programme, Director of Marketing Services, Olaniyi said Dangote was concerned with the spate of building collapse and has therefore decided to rebrand its 42.5 cement grade so that the people would be able to identify it from the rest with lower quality.
 
Olaniyi who has being on a nationwide training of block makers on the appropriate use of cement said the newly branded 3X Dangote cement guarantees more profit for the blockmakers as they can churn out more blocks from the same bag of cement because of the added nutrients for longer life, higher yield and stronger setting.
 
The Dangote Cement boss likened the use of Dangote cement to eating a solid food while using other cement of 32.5 grade is like taking watery pap.
 
He also promised that the Company would look into the issue of price increase as the Company felt the pain of the consumers who have to cough out more money to purchase the same product.
 
Olaniyi also assured that the new 3X Dangote cement would be difficult to adulterate as the new branding would not allow for saboteurs to fake the product.
 
He described the new move by Dangote Cement as its own way of responding to the issue of building collapse and urged the people to join the call for total ban on the production and use of 32.5 grade cement still in the market

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