The alleged discrimination in the price of cement in Nigeria compared to neighboring African countries results in the Federal Competition and Consumer Protection Commission (FCCPC) uncovering possible price manipulation after a three-month probe into the saga
By Patrick Ogboru
In a painstaking investigation carried out by the Federal Competition and Consumer Protection Commission (FCCPC), the Commission revealed that it has uncovered possible manipulation of cement prices in the Nigerian market. The FCCPC said it came about the revelation following a three-month industry-wide investigation in conducted recently.
The Commission disclosed the investigation result in a statement it issued on Tuesday, August 18, 2026, adding that the preliminary findings, contained in a 40-page field report, followed a cross-border study by the Anticompetitive Practices Department (ACP) of the Commission in response to complaints over the high cost of cement in the country.
According to the Commission, the investigation was prompted by concerns over Nigeria’s comparatively high cement prices despite its substantial limestone deposits, domestic production capacity and reported surplus capacity.
The Commission also said that all major cement manufacturers made their records available to it except one, while publicly available estimates showed that three major undertakings account for more than 90 per cent of installed production capacity.
In the meantime, the FCCPC extended its investigation to Kenya, Tanzania, South Africa, Egypt, Morocco and Algeria, comparing limestone availability, population, production capacity and consumption. A 50kg bag of cement sells for $5.40 (N7,344) in Kenya, $4.80 (N6,528) in Tanzania and $6.75 (N9,180) in Togo, which has no limestone deposits.
Comparatively, market intelligence reviewed by the FCCPC showed that cement prices in Nigeria rose from between N9,300 and N9,700 in January 2026 to N10,500 and N13,000 by mid-year, reaching N13,000 to N15,000 in some areas by July 2026.
According to the Commission, further findings showed that Nigeria has installed cement production capacity of more than 60 to 65 million metric tonnes annually, against estimated domestic consumption of 25 to 30 million metric tonnes, while the country is also a net exporter of cement to neighbouring markets.
The FCCPC said the level of excess capacity had not produced the downward pressure on prices expected in a competitive market, prompting further scrutiny.
Explaining the intervention, the Executive Vice Chairman and Chief Executive Officer (CEO) of the FCCPC, Tunji Bello, said the investigation was necessary because cement prices affect housing, commercial property, public infrastructure and the wider cost of doing business.
He said, “Cement occupies a strategic place in the Nigerian economy. Its price affects the cost of building a home, developing commercial property, delivering public infrastructure and, ultimately, the cost of doing business. When concerns persist about how such an important market is functioning, the Commission has a duty to look beyond assumptions and establish the facts”.
He emphasised that the investigation was not aimed at dictating how businesses operate in the country, but at determining whether the market is functioning competitively and whether consumers are benefiting from effective competition.
Consequently, the FCCPC said it has issued Notices of Commencement of Investigation and Summons to Produce to key players, requiring information on pricing methodologies, production, capacity utilisation, exports and relevant commercial relationships.
The Commission said the next stage would determine whether prevailing cement prices are justified by legitimate costs and market conditions or whether there is evidence of coordinated conduct, abuse of market power, restriction of domestic supply or other anti-competitive practices.
