BUA Cement Plc has restructured its plans for the implementation of the reduced ex-factory price of ₦3,500 per bag, ensuring that Nigerians can avail themselves of the cost savings sooner, before the completion of its plant projects.
In a statement released on Sunday, the company’s leadership expressed their dedication to lowering cement prices once the company’s new production lines are finalised by year-end. This move aims to stimulate growth in the construction materials and infrastructure industries.
In a message to its customers, stakeholders, and the public, the manufacturer pointed out that it had recently completed a thorough evaluation of its operations to optimize efficiency.
‘Effective October 2, 2023, we have decided to bring the price reduction forward,’ it reads.
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‘As a result, BUA Cement would now be sold at an ex-factory* price of 3,500 Naira per bag so that Nigerians can begin to enjoy the benefits of the price reduction before the completion of our plants.’
‘Upon completion of the ongoing construction of our new plants, which would increase our production volumes to 17 million metric tonnes per annum, BUA Cement PLC intends to review these prices further in line with our earlier pronouncements by the first quarter of 2024.’
Furthermore, BUA Cement noted that any unfulfilled orders, for which payment had been settled at the previous prices, would be reviewed downward to N3500 per bag, in accordance with the new pricing, starting October 2, 2023.
‘Our licensed dealers are also enjoined to ensure that end-users benefit from this reduction in ex-factory prices as we will monitor field sales to ensure compliance,’ it said.
Given the current market conditions with cement prices at approximately 5300 naira, the general public has welcomed this development.
BUA’s decision is expected to trigger an upswing in product purchases, resulting in cost efficiencies for buyers and elevating its status as a prominent player in the cement manufacturing sector.