Shree Cement says raised bag prices in Feb

Shree Cement says raised bag prices in Feb
Published: 04 March 2009

Shree Cements Ltd has raised prices of cement in the past month in the range of 2-4 rupees per bag because of rising costs, an official said on Wednesday.

"There is no price rise due to shortage but it is done as an effort to cover up cost," said HMBangur, managing director, told television channel CNBC-TV18.

Costs will also pressure the company’s margins in the fourth quarter of the current financial year, he added.

Shree Cement has passed on the benefit of excise duty cut on bulk cement to its customers, but prices of cement bags have risen as there was no relief for those products, Bangur said.

The company’s despatches have risen 7.6 per cent from April 2008-January 2009 and the cement-maker expects a cumulative despatch increase of 8.3 per cent until March.