Starting a Cement Business In Nigeria

Interested in small cement business in Nigeria ideas? If YES, here is how to open cement distribution business with no money and no experience. How much does it cost to open one?

How To Start Cement Business In Nigeria

Buying and Selling cement is one of the most lucrative investment opportunities in building materials business. Starting a cement business in Nigeria is profitable with the right information. Whether your are interested in becoming a cement distributor or retailer, starting cement business in Nigeria does not have to be an headache. Many people have become millionaires just by reselling bags of cement in major cities like Ibadan, Lagos, Calabar, Enugu, Abuja, Portharcourt etc.

Business plan for cement distribution

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I will use this post to shed more light on how you can start cement business in Nigeria without much stress.

Start Cement Dealership Business In Nigeria

With N1,000 you can get a bag of Dangote cement from the factory but the minimum order is one trailer load. A trailer load contains 600 units of 50kg bags of cement and this will cost you N600,000 at just N1,000 per bag. Assuming you supply all d bags at a retail price of N1,500 you will end up with a profit of N300,000 giving you a take home N250,000 after subtracting cost of transportation. Selling at a wholesale price of N1,300 with earn you N120,000 as returns on your cement investment.

bags-of-cement-for-business- cement business 320223

How To Start A Cement Distributor Business

Read: Where And How To Get Loans To Start Business

Becoming distributor of cement involves supplying bags of cement in wholesale. You will need to get your cement supply business registered as your supply will be from the factory directly. Business registration should be done after registering a account with your banker and obtaining EFCC clearance against money laundering. Registering your cement business will allow you to put in an application to become a distributor with most cement brands in Nigeria like Dangote, Lafarge, Elephant, Portland, Sokoto etc.

Read: How To Register Your Business In Nigeria

Facilities Needed In Cement Business

==> Get A Storage Unit: It is necessary to construct or rent a warehouse that can contain at least 600 bags of cement which is a trailer load. This can double as your outlet for selling cement if the location is right.

==> Buy A Good Truck: You will need a strong and durable truck for transporting cement from your suppliers and to your buyers. Get a reliable double axle fuel efficient open bucket or flatbed truck for your business. You can offer delivery services to your customers either as incentives or at a fee.

Also Read: 7 Fast Growing Small Business Opportunities In Nigeria

How To Start Cement Retailing Business 

Retailing cement is a business many youth are involved in. It is less capital intensive than becoming a cement distributor in Nigeria. All you need is to get a place (some people use open space and secure their goods with tarpaulin or iron guards) where you sell cement to end users. You can buy cement supply from dealers who are wholesalers/distributors. You can easily make a profit in cement dealership in the range of N250-N300 per bag on this business of retailing cement.

Check This: Top 10 Lucrative Business Ideas In Nigeria

A major reason why cement business is cool is that just one customer can purchase hundreds bags of cement in a single day.


Whether you are in the America or Africa, as long as your business is located where there is enough exposure (e.g developing sites) and you get your marketing right, you are sure to continue making profit in cement business.

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  1. I will love to go into cement retailing, how much will it cost me to start? Can i start with #100,000?

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