Umahi Pushes for Reduction Of Cement Prices, Warns Manufacturers Over Rising Construction Costs

Minister of Works, Engr. David Umahi, has intensified calls for the reduction of Cement prices across Nigeria, urging manufacturers to lower costs in order to ease pressure on infrastructure projects and prevent unnecessary contract variations on government road and construction projects.

Key Highlights

• Umahi demands immediate reduction of Cement prices nationwide
• Federal Government to engage cement manufacturers from July 1, 2026
• Rising cement costs blamed for pressure on infrastructure contracts
• Minister urges manufacturers to expand production capacity
• Tinubu administration’s infrastructure projects creating new market opportunities
• Lafarge rebrands as HBM under HUAXIN Group ownership

Speaking at the unveiling of Lafarge’s new corporate identity as HBM, a member of the HUAXIN Group, at the Lagos Continental Hotel, Umahi stressed that current cement prices are becoming a major challenge for contractors and government-funded infrastructure projects.

The Minister said the Federal Government would begin formal engagements with cement manufacturers from July 1, 2026, to address the issue and seek practical solutions.

“I want to insist that Lafarge, now HBM, and other manufacturers of cement should reduce their prices,” Umahi stated.

“We shall be engaging on this from July 1. Manufacturers of cement must reduce their prices because contractors are putting pressure on me to review their contracts. But nobody is reviewing anybody’s contract. It is the manufacturers of cement that should review their costs.”

Umahi noted that the administration of President Bola Ahmed Tinubu is making unprecedented investments in roads, bridges, and other critical infrastructure, creating significant opportunities for manufacturers operating within the construction value chain.

He urged HBM and other industry players to increase their production capacity to meet the growing demand generated by ongoing infrastructure projects across the country.

The Minister also commended the company’s transition to HBM and reaffirmed the Federal Government’s readiness to collaborate with investors committed to Nigeria’s development.

“I commend you very highly and I say welcome onboard. We are going to work together. The market is smaller than what the President is doing. So, enlarge your coast,” he said.

Highlighting the achievements of the Tinubu administration’s Renewed Hope Agenda, Umahi cited the Lagos-Calabar Coastal Highway as one of the flagship projects demonstrating the government’s commitment to infrastructure development and economic transformation.

According to him, the quality and scale of the project have continued to attract international attention.

“When the Dudge 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 learn from the technology behind the Coastal Highway.”

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In a statement issued by his Senior Special Assistant on Media, Francis Nwaze, the Minister expressed appreciation to President Tinubu for providing the leadership and political will driving Nigeria’s infrastructure expansion.

Umahi assured Nigerians that the administration remains committed to delivering transformational projects that will strengthen economic growth and improve living standards.

“I want to use this opportunity to thank President Bola Ahmed Tinubu. Mr. President is committed to repositioning this country. The President knows what he is doing. The vision and mission are achievable, and we are on course to take this country forward for the benefit of Nigerians,” he said.