acidtalk: Will the workers lose their jobs?

freakcin: In other news, prospective home owners have been enjoined to cash in on this glut to escape landlord brouhaha.

jackbauersballs: No more money to build houses...

acidtalk: Will the workers lose their jobs?

I see Dangote running to Aso Rock to give Jonathan a Big slap on the face and insult him why the ports are still porous to still enable Cement importers bring in their goods.

In the coming months expect some reshuffling in the Customs top notch positions and a possible sacking of the Controller General of Customs.

While Dangot, Otedola, Sanusi, Okonjo, and Diezeni RULE the country, Jonathan just watches and nods his head while they make the decisions.

feelamong:

Dangote should learn how to compete and stop crying like a spoilt baby! How much cement does Ibeto import that he is crying about. He is used to enjoying monopoly from govt waivers all the time.

Is wapco lafarge not doubling their profits in recent months?

busoye19: Management of Dangote Cement Plc on Wednesday concluded arrangement to temporarily close down its four million metric tonnes per annum Gboko plant, as a result of glut in the cement market.

A statement by the Group Head, Corporate Communication for Dangote Group, Mr. Anthony Chiejina, stated this in Lagos.

He said the move was necessitated by the glut in the market, which arose from the success presently being recorded with the exponential increase in local production of cement and further compounded by continued importation of subsidised cement into the country.

 He said that the production figure for the first 11 months of the year showed increased local production level with supply now surpassing demand.

Total supply of cement to the market at the end of November, according to him, when compared to the same period last year, has shown a record increase of 11.4 per cent, the highest ever.

 He said it was, therefore, disheartening to note that despite the glut in the local cement market, cement importation had continued, although at a reduced rate. According to him, this calls to question the rigorous implementation of the backward integration policy introduced to encourage local production.

 Giving reasons for the choice of BCC for a temporary shutdown, the Dangote Group image maker said, “With the dumping of subsidised imported cement in the South Eastern market, there is no way our Gboko Cement plant can survive. In fact, employees have been put on forced leave, pending when the situation improves.”


http://www.punchng.com/business/business-economy/dangote-cement-to-shut-gboko-plant/

initiator: The problem is that these Nigerian plants don't use coal for their production.
That makes their costs too high.

Goodgoody1: If there has been a glut why don't they reduce the price of the cement to N1,000.00 so that people can make more purchases. It will be better for him dangote reduce his price and sell more that the imported south eastern companies as said

eldoradoxx: Its only in Nigeria that there is nothing like market trend that sees prices go up and down depending on market forces. Dangote has actually proved that rather than allow glut in supply force the price of cement down, he would rather mop up supply by draining the market of supply and pushing market price of cement upward. That is economic sabourtage!!! I know his reference to South East is directed at Chief Cletus Ibeto of Ibeto cement whose cement is chasing Dangote cement out of that seriously developing region. Dangote should live and let live.

General Garicks:

The highest selling brand of cement in the south east is UNICEM, followed by DANGOTE, ATLAS before IBETO. Ibeto's capacity is very low.

If Ibeto is importing, that cannot be enough reason for the glut. Does anyone see Ibeto cement in South West and the North

General Garicks: The glut in the market is seriously annoying. This is december and instead of cement price going up, it's rather coming down. People are not even cashing in on the lower prices to build their houses as they complain there is no money anywhere. The cheapest trip of stones is about N28,000. White sand is about N17,000 a trip. A tank of water is N4,000. A 2-bedroom bungalow with fencing can consume 3-trips of stones, 8-trips of sand, 6-tanks of water and about 4,500 blocks at a cost of N140 per block. Labour and supervision fees is something else. These things are costly to source. Cement dealers are really crying.

I saw this coming. It is very unhealthy to shut down our cement production plants. I normally see 20-30 Dangote trailers parked at entrance to the town waiting for dealers to pick them up. There was a time you couldn't see even one trailer as dealers scramble for anyone that arrives immediately. By this time last year, we were selling one trailer in less than one week. Now it takes one month to dispose one trailer. Dangote should look for ways to export the product or crash the price drastically so that something positive would happen soonest.

acidtalk: Will the workers lose their jobs?

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