The Ghana Standards Authority (Pricing of Cement) Regulations 2024, aimed at addressing rising cement prices, is now in force following its mandatory 21-day maturation. Minister of Trade and Industry, KT Hammond, clarified that the regulation is not intended to control cement prices but to promote transparency within the industry.
With the average cost of cement reaching GH¢105 per bag, Hammond stressed that manufacturers must publish detailed ex-factory itemised bills of materials, ensuring fair pricing and adherence to quality standards. He acknowledged currency fluctuations affecting production costs but criticized the lack of transparency from manufacturers.
“Our goal is not to cap prices but to ensure fairness in how they are determined,” Hammond said, addressing public concerns over escalating cement prices. The LI establishes a committee to monitor cement manufacturers’ pricing practices, considering factors like raw material costs, exchange rates, taxes, and electricity costs to ensure transparency and fairness.
However, the Chamber of Cement Manufacturers, Ghana (COCMAG), expressed concerns over the lack of proper consultation and warned that the regulation could negatively impact the construction sector. The association argued that 80% of local production costs are tied to currency exchange rates, and regulating prices may not solve the root cause of price hikes.
Despite these concerns, Minister Hammond remains committed to implementing the regulations, emphasizing fairness and transparency in cement pricing without imposing price controls.
