The country’s largest cement manufacturer, GHACEM has promised to reduce the prices of its products if the current stability in the cedi is sustained.                      

The rapid depreciation of the cedi compelled GHACEM to increase its cement prices - currently ranging between 32 and 35 Ghana cedis on retail market in the capital, Accra.  

That is because the company required more dollars to import its raw materials which means an increase in its cost production.

But the Managing Director, Morten Gade, says the prices should be dropping soon if the prevailing stability in the cedi continues. He disclosed this to Joy Business Monday at the company’s Safety Week Best Worker durbar.                                                                                                                  

“The cedi has started appreciating and getting stronger, but that’s only for the last 2 to 3 weeks. The prices of cement were however only increased after about 3 months of seeing how the currency developed. Now, we have seen the cedi appreciating, not for 3 months but 3 weeks. So we need to see a time span similar to what we had earlier to see that it actually stabilizes at this level. And if it does , cement prices will come down . If it stabilizes at a relatively high level, then the reduction would not be that great but If it goes down to a significant level, then we’ll also see a significant reduction in the cement price” Morten Gade noted.

Mr. Gade however says the current economic-situation is really affecting GHACEM’s operations.  

“It’s been tough because, you know, GHACEM as the quality supplier of cement in Ghana, depends also on the purchasing power of Ghanaians and it’s with a heavy heart we’ve been forced to increase the prices of cement 3 times this year. We’d have liked to avoid it if we could. We didn’t increase the prices from May 2012 until January 2014 because we had a stable environment-a stable currency- and we’ll like to continue that practice if we can.           

Meanwhile, Joy Business has learnt the price reduction could happen in the next two weeks – should the cedi’s stability continue.