The CREDAI Andhra Pradesh chapter on Thursday, expressed concerns over the same as it would bring the construction activity to a standstill, and the builders will not be able to meet the additional expenditure being incurred due to rise in the cement price.
The president of CREDAI Vijayawada chapter, Y V Ramana Rao, said that the cement prices have been increased by over 40% within a span of 30 days. “The cement companies announced dispatch holidays by forming a cartel. They did not give any reason for the hike” he added.
Ramana Rao said, “With the existing installed capacity of cement companies, there should be excess stock in the market. If the situation continues, builders will have no option but to stall the constructions.” More than a lakh of people would lose their livelihood if the government does not intervene to regulate prices he said.
Chigurupati Sudhakar the general secretary of CREDAI AP chapter said, “Cement companies has been resorting to similar practices every year, and the state government had formed a cabinet sub-committee earlier to regulate the prices. He appealed the AP government to rescue builders across state.