Real estate news on Builders protest rise in sand, cement prices

Builders/ Developers, Building materials, Price Trends, Coimbatore
Posted on Aug 25, 2012
Over 500 people including builders and workers participated in the protest rally by Builders Association of India to voice their disapproval over the soaring prices of cement and sand in the state.

Five associations including Confederation of Real Estate Developers Association, Indian Institute of Architects, Association of Licensed Building Surveyors, Association of Consulting Civil Engineers and Coimbatore Civil engineers Association, joined the protest. They alleged that the cement companies were creating artificial demand and increasing the prices of cement.

R Krishnasamy, chairman, Builders Association of India, said that the competition commission of India has acknowledged that 11 cement companies artificially increased the price by creating demand. They slapped a fine of Rs 6.307crore against the companies, he said.

However, instead of reducing prices, they reduced production and created artificial demand and a hike in prices, he alleged. This is not only affecting consumers but also builders, who are forced to increase the overall prices.

The cement prices per bag has increased from Rs260 to Rs330, a 20 per cent increase in the last six months, while the price of sand per unit had gone up to Rs 5500 from Rs3000, he added.

Krishnasamy said that due to the increase in sand price, the association had asked the government to allow quarries to produce 'manufactured' sand.

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