The apex body for realty sector, CREDAI, has approached Competition Commission of India (CCI) seeking enquiry against artificial shortage of cement and exorbitant price hike by leading manufacturers.
“The Confederation of Real Estate Developers’ Association of India (CREDAI) has reached out to Competition Commission of India (CCI) to intervene against exorbitant price hike by leading cement manufacturers,” CREDAI said in a statement.
The members of CREDAI Executive Board met CCI Chairman H C Gupta on October 5, requesting it to “probe charges of creating artificial shortage of cement by manufacturers in the market.”
“We have filed a written complaint with CCI seeking enquiry against sudden shortage and unprecedented hike of nearly Rs 100 per bag in last one month,” CREDAI Vice President (National) Geetamber Anand, who was part of the delegation, said.
The prices have gone up to Rs 270-280 per bag of 50 kg from Rs 170-180 a month ago, Anand said.
CREDAI noted that the cost of coal and limestone has not increased in the last one year.
“The real estate industry has witnessed an increase of Rs 100 plus per bag in last one month, which is an increase of 75 per cent in the price of cement despite of the constant price of its inputs,” the statement said.
“The gap between demand and supply has been artificially created by the cement manufacturers. However, the cement manufacturers have been maintaining that the production has been less than what the demand is and also that the facilities are closed for maintenance,” it added.
