The Minister of Works, Senator David Umahi, has issued a strong warning to cement manufacturers across Nigeria, demanding an immediate reduction in cement prices as rising construction costs threaten the pace of ongoing infrastructure projects nationwide.
Umahi, who spoke in Lagos during the unveiling of the new corporate identity of Lafarge, now rebranded as HBM, a member of the HUAXIN Group, said the current cost of cement is creating severe pressure on contractors and forcing demands for contract reviews.
Addressing industry leaders, investors and stakeholders at the Lagos Continental Hotel, the Minister said government would no longer ignore the impact of high cement prices on national development projects.
He announced that the Federal Government would commence direct engagement with cement producers from July 1, 2026, to push for a review of pricing.
“I want to insist that Lafarge now HBM and other manufacturers of cement should reduce their prices,” Umahi said.
The Minister explained that contractors have repeatedly approached his ministry over the increasing cost of cement, warning that the situation could affect the delivery of key projects.
“We shall be engaging on this from first of July. Manufacturers of cement must reduce their prices because contractors are choking me to review their contracts. But nobody is reviewing anybody’s contract. It is the manufacturers of cement that should review their cost,” he stated.
Umahi stressed that cement manufacturers must recognise their responsibility in supporting Nigeria’s infrastructure expansion, noting that the industry stands to benefit from the government’s massive construction drive.
He challenged manufacturers to increase production capacity and take advantage of the growing market created by ongoing road, bridge and transport projects.
“The market is smaller than what the President is doing. So, enlarge your coast,” he told the company and other industry players.
The Minister also used the occasion to highlight what he described as the rapid transformation of Nigeria’s infrastructure sector under President Bola Ahmed Tinubu’s administration.
He cited the Lagos-Calabar Coastal Highway as a major example of the government’s commitment to large-scale infrastructure development.
According to Umahi, the quality of the coastal highway project has attracted international attention, with global development experts acknowledging its standard.
“When the World Bank came to evaluate our project, they said it was undervalued and that the project is of topmost quality. Today, our neighbouring nations are coming to steal the technology of the coastal highway,” he said.
The Minister praised President Tinubu’s leadership, saying the administration remains focused on rebuilding the country through strategic investments in infrastructure.
“I want to use this opportunity to thank President Bola Ahmed Tinubu. I commit that Mr President is committed to retaking this country. The President knows what he is doing. The vision and mission are achievable and we are on course,” Umahi added.
The latest warning places cement pricing at the centre of Nigeria’s infrastructure debate, with the government seeking a balance between industrial profitability and the affordability needed to sustain national development.
As contractors await the outcome of the planned July engagement, the cement industry is now under pressure to align with the Federal Government’s infrastructure ambitions
