Minister for Roads and Highways, Kwame Agbodza, has taken a firm stance against the soaring cost of cement in Ghana, describing the GH¢120 per bag price as exploitative and unjust to the average citizen. He believes a fairer price would be GH¢95.
Speaking to the media in Parliament on Thursday, Mr. Agbodza said, “In my view, GH¢95 makes sense instead of the so-called GH¢120 cedis, which I call rent-seeking and so much unfair to the ordinary Ghanaian.”
He expressed disappointment that despite significant economic improvements in recent months, cement prices have remained unchanged, unlike other commodities whose prices have declined.
“Whilst every other commodity in terms of price has responded to the gains we have all made together as a country and as a people by reducing prices, cement dealers are refusing to pass on the gains to buyers,” he said.
The minister warned that the government will reconsider its relationship with cement producers who fail to reflect these economic gains in their pricing, particularly when awarding contracts.
“We will be more aligned to producers who are ready to pass on the gains made in the economy in terms of currency stability to consumers,” Mr. Agbodza stated.
He explained that cement pricing has a direct impact on public infrastructure costs, which are ultimately paid for by the taxpayer.
“Because the price of cement is directly linked to the cost of government projects, and invariably, it is the Ghanaian taxpayer who will pay for those projects,” he noted.
Mr. Agbodza condemned what he described as “rent-seeking” by some cement dealers, highlighting the irony of stable prices for basic food like kenkey and waakye while cement remains unaffordable.
“It is unacceptable that we can all make sacrifices as a country, yet cement dealers refuse to pass on gains to the people. This rent-seeking must stop,” he added.
While he acknowledged the government’s preference for locally produced cement, he cautioned that continued high prices could push consumers toward imported alternatives.
“If even Ghanaian cement producers have made themselves the most expensive, what do you think the average person buying cement will do? He will source it from a cheaper source,” the minister remarked.
Mr. Agbodza further disclosed that government is set to roll out a major road infrastructure programme and will prioritize sourcing materials, including cement, from suppliers offering the most competitive rates.
“Government is about to unveil a massive road infrastructure project. We shall ensure that cement used for government projects is sourced from the cheapest suppliers on the market. It is as simple as that,” he concluded.
Adomonline
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