Nath cements a 5% price cut

In response to Union Commerce and Industry Minister’s tough stand at a recent meeting on high cement prices, the Cement Manufacturers’ Association today reasoned with the minister about the causes behind the high price levels and promised to create an additional capacity of 30-35 million tonnes in the next 4-5 years.

The cement makers also threw in a sop for cement purchases made by the central government, offering a 5 per cent discount on the ruling prices.

After receiving industry’s exhaustive response today, Nath said the cement industry has ‘‘agreed to maximise production and dispatches to improve cement availability and ensure that retailers do not indulge in profiteering.’’

In the current liberal regime, market forces tend to determine the price, the cement manufacturers told the Commerce Minister.