HBM Nigeria Plc has opened a fresh nationwide drive for cement distributors, requiring prospective dealers to have at least ₦250 million in working capital as the company expands production and seeks to strengthen its position against Dangote Cement and BUA Cement.
The company, formerly Lafarge Africa, is also asking applicants to provide a warehouse covering at least 500 square metres and access to five trucks with capacities of 20 or 40 tonnes. Successful applicants will undergo training through HBM’s Business Development Academy.
The recruitment comes as cement prices remain elevated across Nigeria, with a 50kg bag selling for about ₦12,500 to ₦15,000 in the market, compared with roughly ₦5,500 to ₦6,000 in 2023. At the midpoint of the current range, buying 100 bags would cost about ₦1.375 million, compared with approximately ₦575,000 three years ago.
Brandspur Brand News reports that HBM is simultaneously increasing its production capacity from 10.5 million tonnes per year to 14 million tonnes through expansion projects at its Sagamu and Ashaka plants. Company documents indicate that the expansion is expected to add about 4.5 million tonnes of annual capacity.
The move puts greater emphasis on HBM’s distribution network as the company prepares to place additional volumes in the Nigerian market. HBM currently operates plants in Sagamu and Ewekoro in Ogun State, Ashaka in Gombe State and Mfamosing in Cross River State.
Competition among the three major listed cement manufacturers is already significant. An analysis of their half year 2026 financial statements by Proshare put Dangote Cement’s share of the combined Nigerian revenue reported by the three companies at 56.2 per cent, compared with 22.7 per cent for BUA Cement and 21.1 per cent for HBM.
Also read: https://brandspurng.com/2026/07/20/bua-targets-completion-of-200000bpd-akwa-ibom-refinery-project/
Those figures should not be interpreted as direct market shares based on tonnes of cement sold. They represent each company’s proportion of the combined Nigerian revenue reported by the three manufacturers and can therefore be affected by differences in prices and product mix.
HBM’s expansion is taking place against a wider capacity challenge in the industry. Installed capacity among the major producers is estimated at about 62.75 million tonnes annually, while domestic consumption has been estimated at between 25 million and 30 million tonnes. Announced projects could take total capacity to about 75.25 million tonnes.
That growing gap between production capacity and domestic demand makes distribution increasingly important for manufacturers seeking to move additional volumes. Housing construction, public infrastructure projects and exports are among the potential outlets for increased production.
For Nigerians building homes or undertaking construction projects, however, the immediate concern remains the price of cement. The cost of the material has become a significant component of construction expenses, particularly for households purchasing cement in large quantities.
The Federal Competition and Consumer Protection Commission has also intensified scrutiny of the sector. In August 2026, the commission said findings from a three month investigation indicated possible manipulation of cement prices, following complaints about the high cost of the product. The commission noted that Nigeria has substantial limestone resources and significant domestic production capacity despite the elevated prices.
HBM’s latest distributor campaign therefore comes at a critical point for the industry. As the company prepares to add millions of tonnes of production capacity and compete more aggressively with Dangote and BUA, the size and efficiency of its distribution network will be central to how much of that additional cement reaches Nigerian buyers.
