Gambiaj.com – (BANJUL, The Gambia) – The Gambia’s ongoing cement shortage has exposed deep structural flaws in the government’s protectionist policies toward dominant local suppliers, most notably Jah Oil.

While Trade Minister Baboucarr Joof insists that recent supply disruptions are rooted in global market dynamics, his own revelations have inadvertently confirmed what critics have long suspected: the state’s cement policy is dangerously reliant on a fragile cartel that cannot withstand external shocks.

In an exclusive explanation to The Standard, Minister Joof disclosed that Jah Oil’s supply chain collapsed after its contract with an Egyptian supplier was abruptly terminated—an issue he attributed to global market shifts triggered by U.S. tariffs on Vietnamese exports.

These tariffs, Joof explained, redirected international cement demand toward Egypt and Turkey, overwhelming the suppliers and severing Jah Oil’s pipeline.

“It is the impact of US tariffs placed on Vietnam that shifted attention to Egypt and Turkey, which are our main sources,” Minister Joof explained. “Jah’s arrangement with their supplier was terminated. But renegotiation is on, and we are doing everything, including the involvement of the state.”

While the minister’s comments aimed to dispel accusations of government bias toward Jah Oil, they instead confirmed that the state’s preferred supplier lacked a robust, diversified supply strategy—thereby making the entire market vulnerable.

Adding to the confusion, Jah Oil’s General Manager, Momodou Hydara, failed to acknowledge the contract termination when speaking to The Fatu Network.

Instead, he blamed the shortage on external economic pressures: U.S. tariffs, the weakening Gambian dalasi, and the search for cheaper alternatives. Hydara also asserted that Jah Oil continues to offer the most competitive prices in the region, selling cement at D415 per bag, compared to over D450 in Senegal and Nigeria.

However, beneath this price comparison lies a broader question: at what cost does this “competitive pricing” come when it fails to meet national demand?

This crisis arrives on the heels of a controversial tax hike imposed last year on imported cement from Senegal—raising duties from D30 to D180 per bag.

The measure, framed as a strategy to boost local production, effectively incapacitated small-scale importers who had historically filled supply gaps. In return, the government granted monopoly-like control to four major companies—Jah Oil, Gacem, Salam, and one other—arguing that such consolidation would stabilize the market.

That rationale now appears hollow.

Despite holding a dominant market share (Jah Oil supplies over 50% of the nation’s cement), none of the cartel members have proven capable of maintaining consistent supply levels.

Instead, the government’s decision to curb competition in favor of a few domestic giants has resulted in rising prices, frequent shortages, and growing public frustration.

Yet, Minister Joof remains defiant.

“The government has no regrets with the decision,” he asserted, arguing that long-term benefits would soon materialize.

But that optimism stands in stark contrast to the lived reality of contractors, builders, and ordinary Gambians struggling to access cement—a critical material in the country’s development efforts.

As the state scrambles to support renegotiation between Jah Oil and its former Egyptian supplier, broader questions loom: Should national construction be held hostage by a handful of companies? Is protecting a cartel truly a path to market stability? Or is it time to revisit policies that stifle competition and expose national infrastructure to external market whims?

The cement crisis may have begun with a terminated contract, but its roots lie in policy decisions that concentrated power and failed to anticipate the consequences. The Gambia now finds itself paying the price—one bag at a time.