Studio Hotline: 001-229-380-8734, GH Market Hotline: (+233) 0502390633
Listen Live

News


Deadline for cement retailers to reduce prices

"Cement manufacturer, Dangote, says it expects all retailers of their products across the country to "

Source: Citifmonline.com

Posted on : Tue 21 Oct 2014

Comments (0)

 
 

Cement manufacturer, Dangote, says it expects all retailers of their products across the country to reduce the prices by 2cedis 70 pesewas by Friday October 24.

This comes after concerns that despite the announced reduction of prices of cement by all three cement producers in the country, retailers have failed to comply.

Dangote reduced the prices of their product on October 9, a day after Diamond Cement and GHACEM reduced the price of their products by 2 cedis each.

The gradual appreciation of the Cedi against the dollar and other major international trading currencies for some time now, has contributed to the downwards review of prices.

Speaking to Citi Business News, the Sales and marketing manager of Dangote Cement Joeseph Kobina Abu said “so most of the stock you find in the market now were bought at the old price which was the high price relative to the low price…in this case I will not expect the reduction to happen in two days or three days but rather a week.”

According to cement retailers, any immediate reduction will lead to losses since they still have old stock before the announced reduction.

Confirming the challenge to Citi Business News, Joeseph Kobina Abu stated that, “all the cement companies have reduced their prices, but you know, in the cement business, the customers are made to pay in advance before they are supplied.”

Meanwhile another cement company Diamond Cement is expressing concerns about the growing importation of cheap, sub-standard Chinese cement onto the Ghanaian market.

According to the assistant Commercial Manager of Diamond Cement Philemon Baiden , the situation has led to a drop of 30% in sales.

“Government has allowed a lot of Chinese importation, which is more cheaper than what we are producing here … definitely Ghanaians will go in for them , they don’t even look at the quality ,” Philemon Baiden stressed.

Share your views



Comments (0)