The Minister for Trade, Agribusiness and Industry, Elizabeth Ofosu-Adjare, says the recent stability in the exchange rate has contributed to a reduction in cement prices, providing some relief to the construction sector.
Elizabeth Ofosu-Adjare noted that before the current administration took office, 42.5R cement was selling at about GH¢118 per bag, while 32.5R cement went for around GH¢113. She said prices have since eased, with 42.5R cement now selling at about GH¢107, and 32.5R cement priced between GH¢80 and GH¢85.
Speaking after a meeting with cement manufacturers on Monday, January 19, the Minister said:
“It will be recalled that by the end of 2024, before the National Democratic Congress (NDC) came to power, cement was sold around GH¢118 for the 42.5R and GH¢113 for 32.5R. Over the period, we’ve had discussions with them, and prices have come down. Now you realise that cement is sold at GH¢107 for 42.5R, and between GH¢80 and GH¢85 for 32.5R.”
She added, “One of the factors is that the exchange rate has come down. We have a very stable macroeconomic situation in this country, and so the price of cement has been very stable. We have asked the manufacturers to keep the prices reasonable, and we know what goes into the cost of their production. The exchange rate is one factor. They also have issues of demurrage and electricity, but they try to give prices that reflect the stability that we have.”
The Minister said cement manufacturers have promised to maintain affordable prices.
“They have indicated to me that, as much as possible, they will try to keep the prices at affordable rates so that we can all enjoy the space. After all, they produce for us, and as much as they want to make a profit, they want to make sure that consumers also enjoy the stability we have. We don’t have any reports of an increase in the prices of cement,” she said.
Elizabeth Ofosu-Adjare further assured the public that the government will continue to monitor the industry, noting that manufacturers have committed to price stability amid improved macroeconomic conditions.
“We want to assure the general population that the industry is here. They are willing to work with us, as they have been doing, to make sure that prices are fair. I have to commend them highly for assuring us that they will comply with the law to make sure that if there is anything at all—apart from the dollar—that affects their price, they will let us know so that we can all discuss and agree on a price that is fair to everybody. Ghana Standards Authority will continue to work on standards to ensure that consumers get what they pay for.”
The Chief Executive Officer of the Chamber of Cement Manufacturers, Bishop Dr. George Dawson-Amoah, reiterated the industry’s opposition to unfair trade practices and stressed the need to maintain high-quality standards.
“As the Minister rightly said, we have engaged today, [Monday, January 19], just to ensure that there is sanity and understanding among ourselves, so far as cement manufacturing is concerned. The position of cement manufacturers has always been the same and never changed: we are not against competition, but rather we are against unfair trade practices. And these are the discussions that we’ve been having, ensuring that there’s a level playing field—that all manufacturers and producers really comply with what the law actually states,” he said.
He also advised cement manufacturers to ensure compliance with standards.
“The manufacturers, apart from actually dialoguing with the ministry, also conduct self-regulatory exercises, ensuring that our house is in order so far as compliance is concerned. One of the issues that has come up, which we also discuss among ourselves, is the quality of cement. We need to really ensure that the cement we produce meets the required standards,” he urged.
