The House of Representatives in Nigeria has taken a bold step to address the escalating prices of cement across the country. On Wednesday, lawmakers passed a resolution directing the Committees on Solid Minerals Development, Commerce, Industry, and Special Duties to summon cement manufacturers for a thorough inquiry into the significant price hike of the product. The committees have been tasked with reporting their findings within four weeks, paving the way for possible legislative action.
This resolution stemmed from the adoption of a motion titled “Need to Investigate the Arbitrary Increase in the Price of Cement by Manufacturers in Nigeria”, sponsored by Hon. Gaza Jonathan Gbefwi and Hon. Ademorin Kuye. The motion was raised in response to mounting concerns over the rising cost of cement, which has soared by nearly 50%, contributing to a sharp increase in building materials, construction costs, and the price of rent across the nation.
Hon. Gbefwi pointed out that despite the soaring prices, the raw materials used in cement production—such as lime, silica, alumina, iron oxide, and gypsum—are all sourced domestically, and thus insulated from fluctuations in foreign exchange rates. This, he argues, makes the price hike largely unwarranted. Furthermore, Gbefwi emphasized that other cost components in cement production have remained relatively stable over the past year, with no substantial increase in production costs.
He accused cement manufacturers of exploiting the volatility in the exchange rate to artificially inflate prices, thus exacerbating the economic hardship faced by ordinary Nigerians. This, he noted, had a ripple effect, leading to higher rental costs and increased prices for construction materials, further burdening the public.
The resolution comes at a time when Nigerian consumers, particularly those in the real estate and construction sectors, are struggling with rising costs. The government’s probe into the cement industry is seen as a necessary step toward ensuring price stability and protecting consumers from unfair price manipulation.
In addition to this, the House of Representatives also directed its Committee on Health Institutions to investigate the collapse of the Drug Revolving Fund Scheme, an initiative designed to address the chronic shortage of essential medicines in federal health institutions. This motion, spearheaded by Hon. Adedayo Samuel Adesola, Hon. Amos Magaji Gwamna, and Hon. Regina Akume, also seeks to hold accountable those responsible for the scheme’s failure, which has left many public health facilities unable to adequately supply essential medications.
The Drug Revolving Fund was originally set up under the Essential Drugs Act to ensure that public health institutions are regularly stocked with vital drugs for the treatment of patients, thereby preventing the persistent out-of-stock syndrome. However, according to Hon. Adesola, the initiative has faced significant challenges over time, mainly due to poor management and a growing backlog of unpaid debts owed by hospitals to pharmaceutical companies. These issues, he argued, have led to the collapse of the scheme, making it increasingly difficult for government-run hospitals to provide life-saving medications.
The Pharmaceutical Society of Nigeria (PSN) has also voiced concerns, calling for an investigation into the operations of the National Hospital, as well as other federal health institutions, to restore the scheme and ensure that essential drugs are available to Nigerians who need them most. Hon. Adesola warned that unless urgent action is taken to resolve the issues plaguing the revolving fund, the already strained healthcare system will continue to suffer, putting additional pressure on the nation’s public health infrastructure.
