Amid an intense debate over a proposed legislative measure led by Ghana’s Trade and Industry Minister, K.T. Hammond, aimed at regulating cement prices, cement manufacturers have announced plans to raise prices.
The former Vice Chair of the Ghana Real Estate Developers Association, Dr. Stephen Debrah-Ablormeti, revealed that cement prices had already increased by GH₵10.00 in May, with an additional GH₵12.00 hike set for July 1.
He stated that, a few days ago, he was notified by cement manufacturers that prices would increase again starting July 1.
“As of this morning, we got text message from the cement manufacturers that effective 1st of July, they are increasing it by 12 cedis.”
“The truth of the matter is that if you are on a project and it takes you 24 months to develop, giving the fact that cement contributes to about 70% of the building component, once the price of cement is increased, the price of block is increased, price of concrete is increased, price of plastering materials are all increased because it is the same ingredient that affects them in terms of their components.
So you realise that you get on a project from January, before December this project is already experiencing 30, 45% increase in cost,” he said.
Mr. Debrah-Ablormeti also mentioned that the price of iron rods should be increased as well.
Over the past two months, iron rod prices have risen by 28%.
“How do we manage our costs as developers? So, this is not getting funny at all so we strongly support the position of the Honorable Minister to push this agenda and with the backing of the industry, we should be able to have some competition that will be equitable for all on the market,” he added.
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