The Federal Government has stepped up calls for cement manufacturers to lower the price of the product, warning that the current cost of cement is putting pressure on ongoing infrastructure projects and forcing contractors to demand contract adjustments.

The Minister of Works, Senator David Umahi, made the appeal on Sunday while delivering a keynote address at the unveiling of the new corporate identity of Lafarge Africa, which has been renamed HBM following its acquisition by China-based HUAXIN Group.

The minister’s Senior Special Assistant on Media, Francis Nwaze, disclosed this in a statement issued on Monday.

Speaking at the event held at the Lagos Continental Hotel, Lagos, Umahi said the government would begin formal discussions with cement producers from July 1, 2026, in a bid to address the continued increase in cement prices.

He insisted that manufacturers should find ways to reduce production costs rather than expecting the government to continually revise project contracts due to rising material expenses.

The statement partly read, “The Minister of Works, Senator Engr. David Umahi, CON, has called on cement manufacturers across the country to immediately reduce the price of cement, insisting that the current cost of the product is placing pressure on ongoing infrastructure projects and increasing demands for contract variations.”

Umahi added, “I want to insist that Lafarge now HBM and other manufacturers of cement should reduce their prices. We shall be engaging on this from July 1, 2026. Manufacturers of cement must reduce their prices because the contractors are choking me to review their contracts. But nobody is reviewing anybody’s contract. It’s the manufacturers of cement that should review their cost.”

According to the minister, reducing cement prices would support the completion of key infrastructure projects while also making the product more affordable for Nigerians involved in housing and other construction activities.

He noted that the infrastructure drive of President Bola Tinubu’s administration had created significant opportunities for manufacturers, contractors, and investors within the construction sector.

Umahi encouraged HBM and other industry stakeholders to expand their production capacity to meet the increasing demand expected from ongoing road, bridge, and transportation projects across the country.

He said, “President Bola Ahmed Tinubu’s administration is investing heavily in critical infrastructure across the country, creating unprecedented opportunities for manufacturers and investors. He urged HBM and other industry players to expand their capacity to meet the growing demands of the nation’s infrastructure revolution.”

Commending HBM for its transition and renewed focus on the Nigerian market, the minister assured the company’s management of the government’s readiness to collaborate with investors to promote industrial growth and infrastructure development.

“I commend you very highly and I say welcome onboard and we are going to work together. The market is smaller than what the president is doing. So, enlarge your coast,” Umahi said.

The minister also highlighted the achievements of the Tinubu administration under the Renewed Hope Agenda, particularly in infrastructure development.

He pointed to the Lagos-Calabar Coastal Highway as one of the major projects demonstrating the government’s commitment to improving connectivity and driving economic growth.

Umahi said the project had attracted international attention because of its scale and engineering quality.

“When Deutsche Bank came to evaluate our project, they said it was undervalued and that the project is of topmost quality. Today, our neighbouring nations are coming to steal the technology of the coastal highway,” he said.

The minister expressed optimism that the administration’s infrastructure programme would boost economic activity, create employment opportunities, and strengthen Nigeria’s competitiveness.

He also praised President Tinubu for what he described as the leadership and political commitment required to implement major reforms and infrastructure investments.

“I want to use this opportunity to thank President Bola Ahmed Tinubu, and I commit that Mr President is committed to taking this country. The President knows what he is doing. The vision and mission are achievable, and we are on course, and this country will be taken back for the good of Nigerians,” Umahi said.

The minister’s comments come amid growing concerns among contractors and industry players over the rising cost of construction materials, especially cement, which remains a major component in road construction, housing projects, and other developments.

Contractors have repeatedly warned that continued increases in cement prices could raise project costs, slow down housing delivery, and create additional challenges for both government and private sector construction activities.

The planned engagement between the Federal Government and cement manufacturers is expected to focus on finding solutions that will help reduce prices while maintaining investment and production levels within the sector.