FCCPC launches full-scale cement price probe as 50kg bag hits N15,000

The Federal Competition and Consumer Protection Commission (FCCPC) has opened a major investigation into Nigeria's cement industry, demanding answers on why prices remain far higher than in several other African countries despite the country's large limestone reserves and big production capacity. The probe follows widespread consumer complaints and a steady rise in the price of a 50kg bag of cement from N9,700 in January to as high as N15,000 in some markets by July.

The commission has summoned major cement manufacturers and issued formal notices to produce records on pricing, production volumes, exports and commercial relationships.

Price jump in 2026

According to FCCPC preliminary findings, a 50kg bag of cement sold for between N9,300 and N9,700 in January 2026. By the middle of the year, prices had climbed to between N10,500 and N13,000. By July, some markets were recording prices as high as N13,000 to N15,000 per bag.

The commission said the sharp increases directly affect housing, infrastructure and construction costs across Nigeria.

Nigerian prices vs other African markets

A three-month cross-border study by the FCCPC found striking gaps. In Nairobi, Kenya, a 50kg bag sold for about N7,344. In Tanzania, the equivalent price was about N6,528. Even in Togo, which has no significant limestone deposits, a 50kg bag sold for about N9,180.

The study surveyed cement markets in Kenya, Tanzania, South Africa, Egypt, Morocco and Algeria. Nigeria has significant limestone resources, large-scale plants and higher installed production capacity, the commission said.

FCCPC estimates show Nigeria has annual cement production capacity of between 60 million and 65 million metric tonnes, while domestic consumption stands at about 25 million to 30 million metric tonnes. Nigeria is also a net exporter of cement to neighbouring countries.

The commission said this excess capacity should ordinarily create stronger competition and push prices down. Instead, consumers face rising prices.

Manufacturers blame energy and forex

Cement manufacturers have attributed the price increases to higher energy costs, naira depreciation, expensive imported machinery and spare parts, and transportation and logistics expenses.

The FCCPC said it is testing these explanations against verified data on production costs, capacity utilisation, pricing structures and market conditions. It will also investigate possible coordination among manufacturers, abuse of market power, restrictions on domestic supply and anti-competitive distribution practices.

Public estimates indicate that three major cement producers account for more than 90 per cent of Nigeria's installed cement production capacity.

What the commission says

FCCPC Executive Vice-Chairman and Chief Executive Officer, Tunji Bello, said the investigation is not an attempt to dictate how companies operate or prevent them from making profits. He said the commission wants to establish whether the market is functioning competitively and whether Nigerian consumers are benefiting from effective competition.

Bello said businesses are entitled to make legitimate commercial decisions and earn returns on their investments. But he said competition law ensures prices, production and market outcomes are driven by genuine competition, not practices that unlawfully restrict it.

The commission said most major manufacturers have cooperated by granting access to their records, although one company has yet to do so.

For the naira, consumers and Nigerian businesses, the investigation could shape cement pricing for a long time. Builders and property developers have watched costs climb toward N15,000 per bag, and any finding of anti-competitive practice could force a market correction. For now, the FCCPC is pressing for records and answers, and the outcome will determine whether Nigerian consumers finally get relief from record-high cement costs.