Cement sales plummet despite signs of economic recovery – Report

Despite the economy showing signs of recovery, cement sales have not yet picked up. The latest data from the Bank of Ghana reveals that demand for cement remains significantly below expectations.

In January 2022, the country saw cement sales at around 300,000 metric tonnes. Fast forward to May 2024, and this figure has plummeted to approximately 235,000 metric tonnes, according to the Bank of Ghana.

This dramatic drop over the past two years raises serious concerns about the factors at play, especially amid rising discussions about the cost of the product.

The exact reasons behind this decline are still unclear.

Checks by Citi Business News at some retail stores confirm that sales have relatively slowed in the last few months as traders lament the situation.

However, some industry experts point to a slowdown in construction activities, exacerbated by delays in government projects due to the state’s debt restructuring efforts.

The government is actively working to rein in cement prices. The Minister of Trade has made it clear that he will not relent in his efforts to withdraw the Legislative Instrument currently before Parliament, despite pushback from certain industry players.

Moreover, industry stakeholders blame the price hikes on the depreciation of the cedi, adding another layer of complexity to the issue.

—-
Explore the world of impactful news with CitiNewsroom on WhatsApp!

Click on the link to join the Citi Newsroom channel for curated, meaningful stories tailored just for YOU: https://whatsapp.com/channel/0029VaCYzPRAYlUPudDDe53x

No spam, just the stories that truly matter! #StayInformed #CitiNewsroom #CNRDigital