Barely two weeks after the management of Dangote Cement announced a huge reduction in the prices of Cement from N1,700 to N1,000 across the country, expectations of consumers of the product in Delta State are being dashed as the product still sells between N1,600 and N1,400 in major markets in the state.
A visit by Our correspondent to some of the markets in the state revealed that while Dangote product still sells between, N1,500 and N1,400, other products are a bit higher as they sell between N1,700 and N1,600.
Some of the wholesalers who spoke with our correspondent dismissed the possibility of selling the product at N1,000 as according to them, “the landing price of the product still remains N1,300 and wondered how they should sell at N1,000.
One of the Retailers Angela Okafor while maintaining that the price of cement has not actually been slashed as announced, said, “ people (customers) come to our shop to query us everyday saying that ‘Dangote has reduced the price of cement to ₦1,000, and questioning why we still sell above N1,000
“The fact is that as at today, we still buy Cement at ₦1,300 from Dangote company, so how can we sell to our customer for ₦1,000, that means we will be selling at loss? She queries.
Continuing she said, “Actually they may have reduced the price down a little, because, formerly we buy from Dangote Company at ₦1,600 and we sell between N1700 andN1800, but at present, we sell at N1,400 because the landing price of a 50kg cement in our shop is nothing less than 1,300 after which, we will also have to pay the labourers who will off-load the product, and we still have to pay our rent and many other expenses”. Angela stressed.
Meanwhile, it would be recalled that late October this year, the Managing Director of Dangote Group, Mr. Edwin Devakumar announced a reduction in the sales of Dangote Cement from the then N1,700 to N1,000
According to him, the move is in line with the company’s commitment to the nation’s dire need for the development of infrastructures and to boost the federal and state government’s ongoing effort to reduce the near 20million housing deficit in Africa’s largest economy.
“we recognise the need for an increased rapid responds to the huge infrastructure and housing deficit in the country, and one if the ways of addressing the issue is bringing the price of building materials down to much more affordable level especially cement which within our own control as part of our own contribution to the transformation agenda of the Goodluck Jonathan administration and the attainment of key milestones in the Millennium Development Goals (MDGs)” he said.
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