In a recent development, the Ministry of Trade and Industry (MoTI) and the Chamber of Cement Manufacturers, Ghana (COCMAG) have reached a significant agreement to address the escalating cost of cement in the country. This agreement entails the publication of recommended distribution and retail prices for different grades of cement in their respective distribution zones.
The Minister of Trade and Industry, K.T Hammond, convened a meeting to address the growing concern over the rising retail prices of cement and its detrimental impact on the economy. Expressing his dismay, the Minister highlighted instances where a bag of cement was being sold for as high as GHS95.00 in certain areas, including the Accra/Tema Municipalities.
The Minister emphasized the need for the industry to recognize the far-reaching consequences of price escalation and to proactively monitor and regulate the recommended ex-factory price margins of distributors and retailers across the country.
This collaborative effort between MoTI and COCMAG signifies a proactive approach to addressing the challenges posed by the increasing cost of cement. By publishing recommended prices, the aim is to promote transparency and fair pricing practices within the cement industry.
It is evident that the government is committed to fostering an environment conducive to sustainable economic growth, and initiatives such as this serve as a testament to their dedication to addressing economic concerns.
As stakeholders and consumers, it is imperative to support these efforts towards ensuring fair pricing and economic stability. The publication of recommended distribution and retail prices will undoubtedly contribute to fostering a more transparent and competitive market for cement in Ghana.
In conclusion, this collaboration between MoTI and COCMAG marks a significant step towards mitigating the adverse effects of escalating cement prices. It is a demonstration of proactive governance and industry cooperation aimed at ensuring economic stability and fair pricing for all stakeholders.
Below is the full statement
CEMENT MANUFACTURERS URGED TO PUBLISH RECOMMENDED RETAIL PRICES
ACCRA, 18 JANUARY, 2024 – The Ministry of Trade and Industry (MoTI) and the Chamber of Cement Manufacturers, Ghana (COCMAG) have agreed to periodically hold consultative meetings with industry players on developments in cement manufacturing, bagging and distribution, especially prior to the announcement of ex-factory price changes by the individual companies.
The Minister called the meeting to express concern about the rising cost of cement at the retail end and its adverse economic impact on the economy. The Minister wondered how a bag of cement could be selling at GHS95.00 in some parts of the country, even around the Accra/Tema Municipalities.
The Minister entreated the industry to take cognizance of the widespread effects of price escalation and the need to closely monitor and exercise control over the recommended ex-factory price margins of distributors and retailers of their respective grades of products across the country.
Specific measures agreed on for urgent implementation include the following:
• Individual companies to publish the recommended distribution and retail prices of the various grades of products sold in each of their respective distribution zones.
• Vigorously enforce quality standards and weights of cement products on the market to clamp down on the production and distribution of substandard cement products.
• Collaborate on exploring the possibility of introducing a uniform cement pricing formula that ensures uniformity and consistency in retail pricing across the country, taking into account key cost variables.
The Ministry would like to assure the consuming public that these and any other measures necessary will be implemented in collaboration with the Chamber of Cement Manufacturers, Ghana, to ensure price adjustments are justifiable and within reasonable limits.
ISSUED BY:
Head, Communication and Public Advocacy
Ministry of Trade and Industry
(This article is sourced from citinewsroom.com curated by Mabel Darkoo| Ghana Crimes)
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