Cement price cut ‘not for monopoly’

20 November 2014

As stakeholders across the country continue to hail Dangote Group over the price slash in cement, the company yesterday stated that the measure was not meant to promote monopolistic tendencies.

The federal government, stakeholders in the cement sector as well as shareholders had hailed Dangote Cement for the huge investments in cement as well as the recent slash in the price of the commodity, describing it as unprecedented. However, a few industry watchers have expressed concern that the move could hand the company monopolistic advantages in the market.

But the group managing director of Dangote Cement Plc, Mr Devakumar Edwin, has dismissed as baseless the accusation in some quarters that the price reduction was intended to chase away some manufacturers so that Dangote Cement could monopolise the subsector.

Featuring on Lagos-based Channels Television business programme, “Business Morning”, the Dangote Cement boss explained that the price cut was purely a patriotic duty to the citizens of the fatherland.

According to him, “What we have done is a patriotic decision in the overall interest of Nigerians. We are in business to make money and we know that the price cut would not affect our profit margins. We are a Nigerian company; we have responsibility to make the product available to our people at the most reasonable price.

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