Ghanaians unhappy with persistent cement price increases

Ghanaians, especially construction industry players have expressed great concern over the persistent increases in cement prices.

Ghanaians unhappy with persistent cement price increases

Cement prices have increased exponentially and are currently selling between GHC45 - GHC 50 per bag.

According to a market survey conducted by the Ghana News Agency (GNA), the price of cement and other building materials have led to a rise in the cost of building and also contributed to the increase of rent.

A bag of cement which used to sell at GHC38, now sells at GHC45, in some instances as high as GHC50.

Meanwhile, the Ghana Statistical Service predicted that the demand for cement, a key indicator of construction activity, would increase consistently from 8.8 million metric tonnes in 2017 to 12.5 million by 2021.

Cement prices were anticipated to grow by 3.9 percent in 2019 and 2020.

It is also worth noting that Ghana's construction sector appears to be performing well and contributes substantially to the country's Gross Domestic Product and employment.

Mr Sampson Koomson, a private building contractor, told the GNA that cement was very key to infrastructural development in Ghana. However, the constant increases in the prices of building materials would have serious repercussions on the economy.

He revealed that the rising prices of cement was one of the reasons contractors undertook shoddy works when awarded contracts.

The high price of cement, he added, was being fueled by an intermittent shortage in most retail stores.

Mr Koomson blamed the surging prices on the high cost of imported clinkers, materials for manufacturing cement, and the depreciation of the Ghana cedi against major trading currencies.

On his part, Mr Joseph Glover, a cement seller, said GHACEM announced an upward adjustment in prices of its products, citing depreciation of the cedi against major international currencies.

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