A major stakeholder in the cement manufacturing business, BUA, has opted to play a part in reducing the suffering of Nigerians.
BUA cement manufacturing company scaled down the price of its product so that more Nigerians can afford it and build their houses.
Many believe today, Nigerian billionaire businessman and philanthropist, Abdul Samad Rabiu, is supporting the Renewed Hope mantra with his latest move.
Abdulsamad, after meeting with President Bola Tinubu last week, told Nigerians that BUA Cement was reducing the price of its product from around ₦5,000.00 to ₦3,500.00.
Over the last 10 years, the issue of housing deficit has gradually snowballed into a problem plaguing most Nigerians.
People who moved homes within the last three months will tell you a story you will not want to hear, as far as cost is concerned.
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NIgeria Has Housing Deficit Issue
Nowadays, it is trendy for young people to squat with friends, simply because there is a high level of housing deficit in Nigeria, and the few available ones are not affordable.
The Vice President of Nigeria, Sen. Kashim Shettima, had said Nigeria had a housing shortfall of about 28 million and the oil-rich nation needs ₦21 trillion to address the issue.
So, with this housing shortfall problem and the economic challenge facing Nigeria, BUA Cement has taken a bold step to lower the cost of housing.
The manufacturing company seems to be aligning with the present administration of President Bola Tinubu. Nothing can be more encouraging.
A Lowered Standard?
Before now, BUA cement, like any other cement was sold at around ₦5,000.00.
Indeed, the high cost of building materials has not helped people who have the intention of building their own house.
However, there is concern, as to why now? Also, Nigerians are wondering if this price reduction move would affect the quality of the product.
This fear is real, as stories of collapsed building filter in every now and then.
For a financial affairs analyst, Charles Fakrogha, there is something Nigerians must understand.
Being a listed company of the Nigerian Exchange, the manufacturing company cannot lower the standard of its product, Mr Fakrogha emphasised.
He said the NGX had an oversight function over BUA Cement.
“As such the company will not and cannot reduce the standard or quality of their product.”
According to him, all he sees is a strategic move that puts BUA Cement in a position where it can benefit from the Federal Government’s programmes.
Furthermore, he recalled that the Minister of Works, David Umahi, had promised to prioritise concrete to asphalt in road construction in days to come.
Low National Presence
This, according to Fakrogha, simplifies the whole reduction move of AbdulSamad Rabiu, owner of BUA Cement.
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He, however, noted that Cement companies can still operate and make good profit without selling their product at a price that is way above the ceiling.
While it is a good move to make this vital building material more affordable, there is more work.
Making sure everyone across Nigeria benefited from this price reduction will boost the economy and improve housing provision.
Also, a building construction expert, Kolawole Odugbesan, expresses few concerns about the courageous move.
The price reduction will help BUA cement compete more favourably with other cement in the market, he believes.
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Sadly, he observed that BUA cement had no presence in some parts of Nigeria.
According to him, this is a major challenge for BUA Cement.
He also suggests that BUA Cement made the bold move in solidarity with Nigerians.
With this kind of inputs, the issue of housing deficit can be tackled and resolved soonest, he says.
