Dangote Cement announced an increase in Cement prices yesterday, Wednesday, which as expected was not very well received by Nigerians. Several newspapers yesterday reported the increase. The anger is obvious considering that just a months ago Dangote Cement revealed it was cutting down cement prices to N1,000, even though it probably did not (at least from various reports). Whilst Dangote Cement did not officially announce a price increase, ‘they’ sent out text messages to some dealers announcing this increase. We got hold of a text message and this is what it read.
Just a quick update following media reports. We have introduced new pricing in Nigeria.
The price increase from the previous price of N1,208 to N1,645.
This is for 50kg bagged 42.5R cement, ex-factory, including VAT.”
Another text message which was reported in the Punch read as follows;
“Dear customer, kindly note these changes in price:
Ibese (delivered) – N1,745. Ibese (self-collected) – N1,645 (five trucks and above); N1,655 (below five trucks). Isolo – N1,700 (five trucks and above); N1,710 (below five trucks). The changes are effective today, December 15, 2014. Thanks for your patronage.”
So, if this text messages are indeed from Dangote Cement, then it is for 42.5 cement grade and authenticates the claim that the price increase was indeed from them. 42.5 Cement grade we understand is used for casting columns, beams, slabs and for moulding blocks. 32.5 grade cement is used for all applications except for plastering while 52.5 grade cement is now mandatory for building bridges.