Huaxin Building Materials Nigeria Plc(HBM), formerly Lafarge Africa, has launched a nationwide recruitment drive for cement distributors which requires prospective dealers to have at least ₦250 million in working capital, This new dealership requirement comes at a time when the company is ramping up production while pushing for a stronger foothold against Dangote Cement and BUA Cement.
Beyond the capital requirement, the company is asking applicants to provide a warehouse of at least 500 square metres and access to five trucks with capacities of either 20 or 40 tonnes. Successful distributors will be trained through HBM’s Business Development Academy.
The recruitment drive comes as cement prices remain elevated nationwide, with a 50kg bag now retailing for between ₦12,500 and ₦15,000, up from roughly ₦5,500 to ₦6,000 in 2023. At the midpoint of the current price range, 100 bags of cement now cost about ₦1.375 million, compared with approximately ₦575,000 three years ago.
HBM is simultaneously raising its production capacity from 10.5 million tonnes annually to 14 million tonnes through ongoing expansion at its Sagamu and Ashaka plants, an addition of about 4.5 million tonnes once the plants are completed. The company operates plants in Sagamu and Ewekoro in Ogun State, Ashaka in Gombe State, and Mfamosing in Cross River State, and the new distributor network is intended to move the additional volumes once the expansion comes on stream.
Competition among Nigeria’s three major listed cement producers is already intense. An analysis of the companies’ half-year 2026 financial statements found Dangote Cement accounted for 56.2 percent of the combined Nigerian revenue reported by the three manufacturers, against 22.7 percent for BUA Cement and 21.1 percent for HBM. These figures reflect revenue share rather than direct tonnage-based market share, and can be affected by differences in pricing and product mix across the three companies.
The expansion drive is unfolding against a backdrop of industry overcapacity. Installed capacity among the major producers currently stands at about 62.75 million tonnes a year, while domestic consumption is estimated at between 25 million and 30 million tonnes. Announced expansion projects across the industry could push total installed capacity to about 75.25 million tonnes.
Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC), has also stepped up scrutiny of the sector. In August 2026, the commission said a three-month investigation had uncovered indications of possible price manipulation in the cement market, noting that consumers continued to pay exorbitant retail prices despite Nigeria’s substantial limestone reserves and strong domestic production capacity.
