Maharashtra prices rise, North may follow suit, India
Cement prices in Maharashtra have been increased by INR10 per 50kg bag (US$0.2) in the wake of a spike in demand.
Industry officials feel that the rise in price would soon be reflected in the Northern market though similar chances are remote in Southern and Eastern markets.
"Cement prices in Mumbai and Maharashtra have increased by an average of INR10 per bag... The Northern region may follow suit soon, but it has not effected any hike," an industry official told PTI.
Cement price in the retail market is now hovering around INR250 per bag in Mumbai, INR210 in Delhi, INR255 in Chennai and INR240 in Kolkata.
While the Southern market is already ruling high, despite an over-capacity situation, there is no apparent reason for the prices to go up in the Eastern region, the official said.
Confirming the development, North India’s leading player Shree Cements today said it has not effected any rise in prices, but strongly feel that the prices should go up in the coming days.
"We have not increased the price. Nor anybody I know in the sector in North India has done so... But, I strongly feel the cement price should go up in the market, as cement makers are bleeding in view of the rising raw material costs," he said.
Input costs like coal have become dearer in recent times, escalating pressure on the cost of production. Coal price has gone up to US$225/t from US$210/t a quarter earlier.
Published under Cement News
