The Chairman of Dangote Cement Plc, Alhaji Aliko Dangote, has attributed the recent increase in cement and fuel prices to the rise in foreign exchange rates.

Speaking at the company’s 16th Annual General Meeting (AGM) in Lagos, Dangote explained that most of the company’s inputs, such as gas and spare parts, are imported and priced in dollars.

“Most of Our Inputs Are in Dollars”
“We import most of our inputs, such as gas and spare parts, which are priced in dollars,”

Dangote said. “The only local input is limestone.” He emphasized that the fluctuation in foreign exchange rates has a direct impact on the company’s pricing.

Regarding fuel prices, Dangote noted that crude oil prices are determined by international market forces and are also dollar-denominated.

He cited the ongoing conflict between Israel and Iran as a contributing factor to the recent price hike. “Crude Oil Price Is Determined by International Price”

“The price of crude oil is determined by international price, which is in dollars,” Dangote explained. “The current war between Israel and Iran has worsened the price of crude oil.”

Despite the challenges, Dangote assured shareholders that the company will continue to implement measures that will support the economy.

He expressed optimism that the Federal Government’s policies, such as the “naira for naira” policy for crude oil and the “Nigeria first” policy, will lead to improvements in the economy.

“With the Federal Government’s policy on naira for naira for crude and the Nigeria first policy, things will get better,” Dangote said.