By William Emmanuel Ukpoju
In response to mounting pressure from Civil Society groups, BUA Cement has defended its actions regarding the promised price reduction of cement to N3,500 per bag.
Speaking to journalists, Kabir Rabiu, Executive Director of BUA Cement, clarified that the company did indeed sell cement at the promised price for a period of five months. However, challenges arose as other players in the industry did not follow suit, resulting in distributors and middlemen taking advantage of the situation.
Rabiu explained that despite efforts to make cement affordable for Nigerians, the company faced difficulties due to production issues at some plants and rising production costs, including exchange rates and electricity generation. These factors made it unsustainable for BUA to continue selling at the reduced price.
The response comes after a Civil Society Group issued a 7-day ultimatum to BUA Cement, demanding accountability for failing to fulfill its promise. The group accused BUA of causing discomfort to Nigerians by not adhering to its pledge and called for regulatory intervention.
Despite the explanation provided by BUA, the Civil Society Group reiterated its intention to organize a protest if the company fails to comply within the stipulated timeframe.
The standoff underscores the challenges faced by companies in fulfilling promises of price reductions in complex market environments, with both sides emphasizing the impact on consumers and the need for accountability.