Cement prices may go up from today

Cement prices could strengthen in the range of Rs 3 to 8 per 50-kg bag in Maharashtra and Gujarat from tomorrow. According to manufacturers, the price hike is likely to be effected in other parts of the country also, depending on market response. Mumbai-based dealers confirmed the move. Sanjay Ladiwala, president, Cement Stockists and Dealers Association of Bombay, told Business Standard that companies had informed the association of a price hike of Rs 3-8 per bag. It will be effective from April 1. When contacted, ACC, the largest cement maker, refused to comment. Amrit Lal Kapur, managing director of ACC’s sister company Ambuja Cements, said, “We have not approved any hike in prices in the recent past. Though demand is good, I do not think it will continue for long.”Presently, in Mumbai, cement prices in the trade segment is Rs 262 a bag which will be raised to Rs 265 whereas in the non-trade segment, the prevailing price of Rs 250-253 a bag will rise to Rs 255-258. Industry analysts pointed out that this price rise may not be restricted to one market. “The eastern market, which is one of the strongest consuming centre, is facing the same situation,” said a city-based manufacturer. Dealers in Kolkata confirmed that there had been a rise of Rs 5-7 a bag in the past one week. Vinod Juneja, managing director of Binani Cement said, “There has to be an increase in prices. In North too, price rise cannot be ruled out.” When contacted, Hari Mohan Bangur, president of Cement Manufacturers’ Association and chairman & managing director of Shree Cement, a dominant player in the North, said a decision on price would be taken after a few days. The northern region has already seen a spate of price increases this year, which has made cement costlier by Rs 10-14 a bag.