N15,000 PER Bag: FCCPC Summons Cement Giants Over Suspected Price Fixing, Rose 60% in 6 Months

The Federal Competition and Consumer Protection Commission, FCCPC, has summoned major cement manufacturers over suspected price manipulation after the cost of a 50kg bag surged to N15,000 in parts of Nigeria this July.

In a preliminary report released on Tuesday, August 18, 2026, the Commission said a three-month investigation by its Anticompetitive Practices Department, ACP, found signs of possible anti-competitive conduct in a market controlled by three firms that account for over 90 percent of installed capacity.

The probe was launched following widespread public complaints about the high cost of cement, a key input for housing and infrastructure.

FCCPC data shows Nigeria has 60 to 65 million metric tonnes of installed cement production capacity annually, while domestic consumption stands at 25 to 30 million metric tonnes. The country is also a net exporter.

Despite the surplus, prices jumped sharply in 2026.

A bag that sold for between N9,300 and N9,700 in January was selling for N10,500 to N13,000* by mid-year. By July, retail prices of N13,000 to N15,000 were reported in several states.

“The Commission is concerned that this level of production capacity has not resulted in the downward pressure on domestic prices that might ordinarily be expected in a competitive market,” the report stated.

Nigeria Pays More Than Neighbours

The ACP compared prices across Africa. Findings showed Nigerians pay significantly more despite having large limestone deposits.

Kenya: $5.40 (N7,344) per bag, with 76% less population than Nigeria; Tanzania: $4.80 (N6,528) per bag; and Togo: $6.75 (N9,180) per bag, even though Togo has no limestone deposit.

“Cement occupies a strategic place in the Nigerian economy. Its price affects the cost of building a home, developing commercial property, delivering public infrastructure and, ultimately, the cost of doing business,” said FCCPC Executive Vice Chairman, Mr. Tunji Bello.

Bello said the Commission has issued Notices of Commencement of Investigation and Summons to Produce to key players. The companies must provide records on pricing methodologies, production, capacity utilisation, exports and commercial relationships.

Industry respondents blamed energy costs, Naira depreciation, imported machinery and spare parts, transportation and logistics for the hike. FCCPC said it is testing those explanations against verified cost and market data.

The Commission clarified that the investigation is not to dictate business decisions but to ensure the market is functioning competitively.

“Competition law does not prevent legitimate commercial decisions and returns on investment. Its purpose is to protect the competitive process so that prices are determined by genuine competition rather than conduct that unlawfully restricts it,” Bello said.

FCCPC added that preliminary findings provide sufficient grounds to continue the probe to determine if there is evidence of coordinated conduct, abuse of market power, restriction of domestic supply, or anti-competitive distribution practices contrary to the FCCPA.