Chennai: realtors oppose steep hike in cement price

Chennai: realtors oppose steep hike in cement price
Published: 01 October 2010

Builders, contractors and real estate developers in the city, who are up in arms against the steep increase in the prices of cement in the last 10 days, have threatened to import cement bags from countries like Pakistan, Ukraine and Iran if the State Government does not take concrete steps to contain the menace on a war footing.

Addressing the media here on Wednesday, T Chitty Babu, President, Confederation of Real Estate Developers Association of India (Credai), Tamil Nadu, said, “In the last 10 days alone, the cement price has gone up from Rs 145 to Rs 265. Noted brands have cited increase in cost of raw materials like coal, fly ash and chemicals for the price hike. This does not augur well for the construction industry, which is just picking up after the setback from the global economic recession.’’ “At this crucial recovery juncture, the sudden increase in prices of cement can impact the construction industry as a whole, besides the ongoing infrastructure projects of the government,’’ he added.

Chennai alone has over 500 builders and developers involved in the construction industry which provides employment to thousands of people.

To protest the cement price hike, Credai, Tamil Nadu, Chennai Real Estate Agents Association, National Association of Realtors of India, Builders Association of India (Southern Centre), Chennai Flat Promoters Association (North), Singara Chennai Flat Promoters Association, Chennai Suburban Builders Association and Flat Promoters Association have come together to make a representation to the State Government so that the latter can take the much needed proactive action to contain any further adverse impact on the construction industry.