Construction, real-estate sectors worried by rise in cement prices: Report

Amid the nationwide lockdown, the construction and real estate sectors are concerned about the spike in the cost of cement.

The prices of key raw materials have shot up by 30-50 percent (Rs 120-130 per bag) during the COVID-19 outbreak, The Hindu BusinessLine reported.

Telangana government representatives, cement companies and other stakeholders have conducted meetings to reconsider the price hike, the report said.

Moneycontrol could not independently verify the report.

"The prices of cement have shot up by Rs 120-130 per bag. As against pre-COVID-19 prices of Rs 220-250 per bag, the prices are now ruling at Rs 340-370," G Ram Reddy, Chairman of Credai Telangana told the publication.

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Jayesh Ranjan, Telangana Industries and Commerce Principal Secretary, had an online interaction on the subject with various stakeholders, the report said.

"The representatives wanted the cement manufacturers to consider offering the material at pre-COVID-19 prices as they are not in a position to afford such a huge price hike," C Shekar Reddy of CII-IGBC told the publication.

While construction activity has resumed in orange and green zones, there are challenges related to staffing, since many migrant workers are returning to their hometowns.

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