Cement hits N15,000 per bag in July 2026 as Huaxin takeover of Lafarge shakes up market
By Aboki Forex —
Cement prices in Nigeria have surged to between N12,500 and N15,000 for a 50kg bag in July 2026, according to a market survey. The increase comes as Huaxin Cement completes its acquisition of Lafarge Africa, raising hopes for stronger competition and eventual price relief.
Prices vary by brand and location
A market survey shows that retail prices now differ sharply by brand and region. Dangote Cement sells for between N13,000 and N15,000 per 50kg bag. BUA Cement ranges from N12,000 to N14,500. Lafarge Africa, now transitioning to HBM Nigeria Plc, sells for between N12,000 and N13,500.
In parts of Lagos, Abuja, Port Harcourt, and the South-East, prices have crossed the N15,000 mark, especially for retail purchases in smaller quantities. Dealers across major cities report that cement prices have become highly volatile, with costs differing from one region to another due to transportation expenses and supply conditions.
Why prices keep rising
Industry analysts attribute the persistent rise to several factors. These include the high cost of diesel, rising transportation expenses, foreign exchange volatility, and increased production costs. Although Nigeria has sufficient local cement production capacity, the cost of moving cement from factories to distributors and retail outlets has continued to push prices higher.
Builders have complained that frequent price adjustments make it difficult to budget for housing and infrastructure projects. Emmanuel Ikazoboh, chairman of Dangote Cement Plc, said during the company's 17th Annual General Meeting in Lagos that energy remains the biggest cost component in cement manufacturing, accounting for about 60 per cent of total production expenses. He attributed the persistent increases to rising energy costs and the impact of foreign exchange on production expenses.
Huaxin enters the market
A major development in the industry is the completion of Huaxin Cement's acquisition of Lafarge Africa. The Chinese cement giant acquired 83.81% of Lafarge Africa from Holcim in a deal valued at approximately US$1 billion. Following the takeover, Lafarge Africa has begun transitioning to HBM Nigeria Plc, marking a new chapter for one of Nigeria's largest cement producers.
Huaxin's entry into the Nigerian market is significant because it strengthens competition in an industry long dominated by Dangote Cement and BUA Cement. Experts believe Huaxin's acquisition could eventually lead to improved efficiency, plant modernisation, and increased production capacity at Lafarge's Nigerian operations. With Huaxin now controlling a major share of Lafarge Africa, the company is expected to challenge the market dominance of Dangote and BUA more aggressively.
What it means for the naira and consumers
Analysts caution that Nigerians may not see immediate price reductions. Cement prices are still heavily influenced by macroeconomic factors such as energy costs, inflation, and logistics challenges. For now, builders and homeowners remain caught between rising construction costs and hopes that stronger competition from Huaxin's takeover of Lafarge Africa will eventually bring some relief to the Nigerian cement market.