Kajaria Ceramics have cut prices by about 9-10 percent with effect from today, Ashok Kajaria, CMD of the company told CNBC-TV18.
As the economy gears up for the goods and services tax (GST), this change is expected to be a welcome one for the tiles industry by creating a seamless national market for the organised players resulting in the removal of interest rate barriers and an improvement in supply chain.
Speaking to CNBC-TV18, Ashok Kajaria said that Indian manufacturers can win back market share on the back of this reform and Kajaria‘s volume growth will be 2 percent higher due to this duty.
Anti-dumping duty imposed by the government is positive for the company. Expect Chinese tiles to become less competitive, says Vikram Somany, CMD, Cera Sanitaryware.
Ashok Kajaria, CMD, Kajaria Ceramics says says the industry has been suffering due to China‘s aggressive dumping of vitrified tiles in India since 2014 and is expecting anti-dumping duty decision to come by January-end.
In an interview with CNBC-TV18‘s Reema Tendulkar and Mangalam Maloo, Ashok Kajaria, CMD, Kajaria Ceramics, discussed the company‘s quarterly earnings.
Implementation of GST is sure to benefit the tile industry and in case the GST rate is pegged at 20% then would help bring down VAT and excise rates, said Ashok Kajaria, of Kajaria Ceramics.
Speaking to CNBC-TV18, Kajaria says while Gujarat High Court‘s decision to switch to natural gas from coal is a long-term positive for the company, however, in the short-term the company will take a hit.
In three years, March 2013 to March 2016, Kajaria is projecting a turnover of almost Rs 3,000 crore plus and for that the company needs capex of approximately Rs 425-450 crore.
This quarter will be tough for Kajaria Ceramics because its gas prices are based in dollars. As a corrective step, it plans to raise prices from October 1 across all products.
In an interview with CNBC-TV18’s Gautam Broker and Latha Venkatesh where Ashok Kajaria, Chairman of Kajaria Ceramics spoke about the recent happenings in the company and the road ahead.