Nepal: cement prices dip

Nepal: cement prices dip
Published: 02 September 2010

The prices of cement, except the state-owned brands, have dipped by 12 and 10 per cent respectively in the market, as international price dipped and construction sector continued to shrink in the new fiscal year.

Bricks manufacturers, however, have raised the price by Rs 500 per 1000 pieces, citing adverse impact of the season on productions.

People building new houses would also need to pay as much as Rs 15 more for a cubic feet of sand and aggregates, as suppliers citing new traffic rules deliver less sand and aggregates, but are charging prices as much as before.

"As cement and steel occupies some 29 percent weight each in total construction cost, people buying construction materials now will find their cost go down by around 6 percent," said Roshan Dahal, a contractor and also the former president of Nepal Construction Materials Dealers’ Association (NCMDA).

Movement of prices in the market shows that the prices of Indian as well as local cement, except the products of the state-owned Udaypur and Hetauda Cement factory (HCF), stand in a range of Rs 540 to Rs 550 per sack of 50 kilograms.

In mid-July, cement was priced at around Rs 600 per sack.

Prices of Gaida and Hetauda - the two popular brands of Udaypur Cement Factory and HCF - have remained unchanged over the period. Gaida and Hetauda brands of cement are priced Rs 708 and Rs 754 per sack respectively, said Gopal Ghimire, chief of Valley Sales Management of National Trading Limited.