Ø Developers say that cement companies are not supplying even after advance payment has been made to them
Ø They say that cement companies are unduly increasing the rates of cement by Rs 20 to 25 after every 10 to 15 days
New Delhi, June 30, 2016: The cement manufacturers have formed a price cartel and have been demanding increased prices for cement. Even after taking advance payment from the builders, these manufactures are not supplying cement which is hindering the construction works. They by forming cartel seemed to be working together in controlling supply and prices. By decreasing the production of cement, it seems cement manufacturers are creating a false shortage of cement in the market. They made a cartel creating an artificial shortage of cement to increase the price and earn unjustified profit.
Suresh Garg, Secretary, CREDAI Western UP (Chapter of CREDAI-NCR), said “It is unfair that the cement manufacturers are indulging in practices that control the prices of cement. In every 10 to 15 days they are unduly increasing the rates of cement by Rs 20 to 25. This has resulted in huge hike in the rates of cement from Rs 190 per bag to Rs 300 per bag in last four months. Another setback is the decision of the cement companies to cut production by up to 70% at a time when developers hard pressed to deliver projects on time. There seems to be no grounds for restricting supply, which is adversely affecting the construction work.
A major part of the housing construction activity in the country is going on in NCR and Western UP – the region is at the centre of affordable housing development. The majority of the work in Western UP is going on in the regions like Noida, Greater Noida, Ghaziabad and Yamuna Expressway. These inappropriate price hike techniques will impact the construction works in these regions severely.
About CREDAI Western UP
Confederation of Real Estate Developers Associations of India (CREDAI) is the apex association of developers and builders in India with more than 11000 member developers / builders through 112 member associations with representation in all the major cities and states of the country. CREDAI WESTERN U.P is the CREDAI NCR chapter of the organization and all the leading developers of the region are its member. The members of CREDAI WESTERN U.P have over the years contributed immensely to the development of WESTERN U.P.
All CREDAI members follow the CREDAI Code of Conduct and respect their customers. The complaints of consumers associated with member developers of CREDAI are successfully resolved at CREDAI’s Consumer Grievance Redressal Forum