The Federal Competition and Consumer Protection Commission (FCCPC) is conducting an investigation into potential manipulation of cement prices in Nigeria, following findings that suggest significant discrepancies in retail prices compared to other countries. This inquiry is based on a comprehensive three-month study undertaken by the Commission's Anticompetitive Practices Department (ACP), which resulted in a detailed 40-page report.

The FCCPC's preliminary findings indicate that the retail price of cement in Nigeria is disproportionately high, especially given the country's abundant limestone deposits and substantial domestic production capacity. Despite having the capability to produce more than 60 million metric tonnes of cement annually, the domestic consumption is estimated at only 25 to 30 million metric tonnes. This surplus capacity has not translated into lower prices for consumers, raising concerns about possible anti-competitive practices in the market.

In a statement released by Ondaje Ijagwu, the FCCPC noted that while most major cement manufacturers cooperated with the investigation, one company did not provide the necessary records. The Commission's inquiry has extended beyond Nigeria, examining cement markets in countries such as Kenya, Tanzania, Egypt, Morocco, and Algeria. The comparative analysis revealed that, despite Nigeria's larger population and production capabilities, cement prices remain significantly higher than in these other markets.

For instance, in Kenya, a 50kg bag of cement retails for approximately $5.40 (around N7,344), while in Tanzania, the price is about $4.80 (approximately N6,528). Conversely, in Nigeria, prices have surged from between N9,300 and N9,700 in January 2026 to between N10,500 and N15,000 by mid-year, indicating a troubling trend of escalating costs.

The FCCPC's investigation will delve into various factors contributing to these high prices, including energy costs, the depreciation of the Naira affecting imported machinery, and logistics expenses. The Commission aims to ascertain whether the current pricing can be justified by legitimate costs and market conditions or if there is evidence of coordinated conduct that violates competition laws.

As part of the investigation, the FCCPC has issued Notices of Commencement of Investigation and Summons to Produce to key players in the cement sector. These companies are required to submit detailed information regarding their pricing strategies, production capacity, and export activities.

The Executive Vice Chairman of the FCCPC, Mr. Tunji Bello, emphasized the strategic importance of cement in the Nigerian economy, stating that its price impacts housing, commercial development, public infrastructure, and overall business costs. He reassured that the investigation's intent is not to interfere with legitimate business decisions but to ensure that the market operates competitively, benefiting consumers and the economy alike. Bello remarked, "When concerns persist about how such an important market is functioning, the Commission has a duty to look beyond assumptions and establish the facts."

The FCCPC's ongoing investigation reflects its commitment to safeguarding market competition and protecting consumers from potential exploitation in the cement industry, which plays a crucial role in Nigeria's economic landscape.