CREDAI TO IMPORT CEMENT TO ARREST RISING CEMENT PRICES

Confederation of Real Estate Developers Association of India (CREDAI) has decided to take a tough stand on the unscrupulous pricing by Cement companies. Speaking to the media about the mindless price hike adopted by cement companies CREDAI Telangana State President Mr. Ramreddy expressed his worry and disappointment. While presenting his views, he highlighted that cement being a necessary part of building construction, it cannot be allowed to become abnormally expensive. Despite being within accessible distance from the State capital, some cement companies had started inflating the prices since past few days. This has led to a negative impact on the real estate industry. In some cases the prices have reached Rs. 350; whereas up till a few days ago a bag of cement was costing a hundred rupees cheaper. He added that even at the earlier price point cement companies were making good profits.

The current situation can be categorized as unethical practice adopted by cement players. In order to arrest the price rise, the State chapter of CREDAI has warned cement companies that if the prices are not brought under control then the industry body could look at other alternatives, including import of cement.

The real estate sector is grappling with challenges for a while now, be it sluggish demand or DeMo. The road ahead doesn't appear to be smooth either, be it RERA or other policy changes. Turbulence in the prices of a key raw material like cement is something that the sector cannot afford to get entangled in at this point in time.