Announcement

PRESS RELEASE - WARNING AGAINST CHARGING EXORBITANT PRICES FOR CEMENT

Summary

It has come to the attention of the Ministry that in the past few weeks, some Traders have excessively raised the price of various types of cement (both Imported and domestically produced).

Updated on : 10-05-2024

                                                                                                                       MINISTRY OF TRADE AND INDUSTRY

                                PRESS RELEASE

                                  For Immediate Release
                                  31^st July, 2023
                                 Lilongwe

                           CAUTION AGAINST CHARGING EXORBITANT PRICES FOR CEMENT

It has come to the attention of the Ministry that in the past few weeks, some Traders have excessively raised the price of various types of cement (both Imported and domestically produced).

The Ministry wishes to warn such traders that the said exploitative conduct is in contravention of the Competition and Fair-Trading Act. As such, the Ministry and its relevant agencies will not hesitate to take necessary action to deal with traders found engaging in such malpractice.

The general public is hereby informed that the Ministry engaged the local manufacturers in order to understand the main cause of shortage of cement on the market and to come up with sustainable solution to the problem.

Among other reasons, the manufacturers indicated that the main cause has been limited access to forex which has affected the importation of raw materials for the production of cement such as gypsum, clinker and coal. The Ministry has, in this regard, been engaging the Reserve Bank of Malawi to prioritize supply of forex to the cement manufacturers to address the problem.

The Ministry wishes to indicate that currently the ex-factory prices of different brands and strengths of cement are as follows:

            Company                       Product             Strength              Ex-factory Price
            Shayona                       Build Plast              22.5N                      K  9, 500.00
                                                    Akshar                 32.5N                      K 10, 793.00
                                                 Thanthwe               42.5N                      K 11, 566.00
            Portland                          Khoma                 22.5N                      K  9, 000.00
                                                 Duracrete               32.5N                      K 14, 000.00
                                                  Superset               42.5N                      K 15, 000.00
          Cement Products              Nkope                   24N                       K 10,252.00
                                                    Njati                    32.5N                      K 11,417.00
                                                 Njati Xtra                42.5N                      K 12,465.50

Given the above prevailing ex-factory prices of cement confirmed by the manufacturers, the Ministry does not expect the price of any type of cement to exceed K16, 000.00.

The Ministry, therefore, calls on members of the general public with information relating to those charging excessive prices for cement, to immediately report to the Ministry or the Competition and Fair-Trading Commission through the following contacts:

                      ● Mr. Mayeso Msokera, Ministry of Trade and Industry on +265999150618; or

                      ● Mr. Innocent Helema, Competition and Fair-Trading Commission (CFTC) on +265880725075.

                                                                                       

                                                                                                                                                          Christina Zakeyo
                                                                                                                                   SECRETARY FOR TRADE AND INDUSTRY
                                                                                                                                                           31st July, 2023