Cement firms to jack up rates

Retail prices to increase by Rs 5 for 50 kg bag by the next week

Cement makers are all set to hike retail prices by Rs 5 for a 50 kg bag in Gujarat next week with the Lok Sabha polls coming to an end. The ruling prices in the major markets of the state are between Rs 145 and Rs 147 per 50 kg bag.

A leading cement dealer said, "Companies have been pushing for a hike, now that the elections in the state are over, prices are likely to increase." The price increase is likely to be implemented in 2-3 days.

Cement demand in the regions has also been firming up in the last few weeks. A cement analyst said, "Cement demand peaks during April-June. Besides prices have been constant in Gujarat since last month, mainly owing to elections." However, non-trade cement prices will not be affected by this hike in Gujarat, he added.

Prices in Mumbai and other markets could also see a similar rise after elections are held in these regions, analysts said.

"Although cement producers have not indicated any price hike in Mumbai, the market could witness a slight movement upwards towards the end of the next week," a stockist in Mumbai said.

Meanwhile, retail cement prices in the southern markets are in the range of Rs 155-Rs 160 per 50 kg bag. The eastern markets have been witnessing an all-time high price of Rs 175 per 50 kg bag in West Bengal.

Retail cement prices in Delhi, Rajasthan and Madhya Pradesh have also been constant in the range of Rs 140-Rs 155 per 50 kg bag.

Analysts said the markets could also witness a post-election price hike, although the increase will be marginal.

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Concrete gains

• The ruling prices are between Rs 145 and Rs 147 per 50 kg bag.
• Demand in the regions has also been firming up.
• Prices in Mumbai and other markets could also see a similar rise.