Protest on cement price hike

Protest on cement price hike
Published: 17 December 2003

Andhra Pradesh Builders Association (APBA) is contemplating to ask the builders to declare a "construction holiday" for some time in protest against the rapid rise in the price of cement in the State.  The Chairman of APBA, Mr K. Ravinder Reddy, told news sources on Monday that the Association would convene a meeting of builders next week to chalk out the future course of action against the cement companies increasing the prices.  He said that the cement companies were abnormally jacking up prices by curtailing production and controlling the despatches of cement from the factories. The price had increased from Rs 85 per bag of 50 kgs six months ago to Rs 160 at present. As a result, the cost of building construction had increased steeply.  The cement producers, however, maintain that the current prices were not abnormal. They refer to a three-year old Crisil report that pointed out the price should be Rs 175 per bag if the cement units have to be viable.