Investigation has revealed that building material prices have skyrocketed, increasing by more than 100% in the past year......Read The Full Article>>.....Read The Full Article>>
Price increases for cement increased by 100%, from N4,000 to N8,800 per bag.
Last year, blocks sold for N250 each; now, depending on size, they range from N550 to N600.
Depending on the manufacturer, iron rods, which range in size from 10mm to 16mm and cost N800,000 per ton in 2023, are currently N1,600,000 or more per ton.
Paint prices have also increased; a large rubber that used to cost between N23,000 and N25,000 now costs between N46,000 and N50,000.
FG can reverse the trend
Osilama Osilama, Vice President, North Central of the Real Estate Developers Association of Nigeria (REDAN), told Daily Trust that the currency devaluation policy has presented a significant obstacle for the real estate industry.
“Last year, the naira was exchanging for about N460 to $1, but today, it is about N1,700 to $1 and most of these items like iron rod and others are imported. So, how can the prices come down?” he asked.
Osilama added that the only option to lower the cost is to evaluate both the policy and the subsidy removal policy.
According to him, increasing the Nigeria Building and Road Research Institute’s (NIBRRI) budget is necessary to provide them the capacity they need to manufacture these building materials domestically, which will help save money and lower prices.
Chinese Cement Company Set to Take Over Dangote Cement Rival
Legit eariler reported that Holcim AG would sell its 83.8% share in Lafarge Africa to Huaxin Cement Co., a Chinese cement company, in a $1 billion deal.
A statement by the group on Sunday, December 1, 2024, disclosed that the deal would be finalised in 2025, subject to regulatory approval.
If the new owners do not delist from the Nigerian Exchange Limited (NGX), the deal will double Lagarge’s market capitalisation on the NGX.
