Jumoke Olasunkanmi
The Executive Director of the Dangote Group of Companies, Hajiya Fatima Aliko Dangote, has frowned at insinuations and statements linking the current hardship being faced by Nigerians and which is caused by hike in prices of food items to Dangote companies. The spiraling increase in the price of food items, household equipment and building materials has generated concerns across the country with many Nigerians blaming Dangote companies for the current price increase and high cost of living.
Some Nigerians called on the federal government to reevaluate the tax freedom granted to the Dangote Group if the company was not doing anything about price reduction.
But speaking in an interview with the BBC’s Hausa Service, the executive director expressed surprise at reports of cement retailing at N15,000 in the markets. She clarified that the actual price of a 50kg bag should be between N7,000 to N8,000, contingent on the geographical location. She added, “We’re not comfortable with the way prices are hitting the rooftop, which the group cannot control while hoping that things will stabilize soon.”
She further disclosed that the Dangote Group divested its food processing arm to the Olam Group half a decade ago.
She added that the products are still produced by the Dangote group. She stated that the rising food prices were due to global market dynamics. According to her, the increment is a result of the Dollar rise.
“We’re not responsible for the price hike… we buy the raw sugar in dollars from Brazil; they don’t sell to us in naira. The same thing with the crude salt and every other thing, that’s the issue.”
The conglomerate, renowned for its influence in various sectors, including food items and cement production staunchly refuted any involvement with the prevailing price surge.
Highlighting the intricacies of their operations, the executive director elaborated, “It’s only cement that we get its raw materials in Nigeria. But its processing chain lies in dollars; the trucks that ferry the product, gas, tires, and spare parts are all in dollars.”
However, she expressed hope for stability in the market soon.
