Price hike of cement affected development projects in NE region.

Cement industries in AssamGuwahati: While the cement industries are getting hundreds of crores of rupees as different incentives under the Special Industrial Promotional Policy, the price of the item in the NE region is the uppermost in the country, which not only affected common people but also increased the expenditures of implementation of different development projects.

Official sources told that over the years, the recent industries in Assam comprising the cement industries are getting considerable amounts of incentives, but that has not been reflected on the prices.

The sources confessed that the raw materials available for cement industry are cheapest in this region and the cost of production per bag of cement should not be over Rs 120, though, the average price is at least Rs 360 per bag after the current price hike. Nowhere in India is the price of cement more than Rs 300 per bag but just in this region, the average price is Rs 360, the sources said.

The price of cement has become a reason of anxiety for the State Governments of the NE region.

CM Tarun Gogoi, in his Budget speech said that “the Government has been providing a series of incentives to the industries under the Industrial and Investment policy. It has urged upon the industries, particularly the cement and steel manufacturing units to pass on the benefits of tax exemptions to the consumers of the state in the form of price reduction. Alternatively, the Government may be compelled to review its industrial policy and may enact the appropriate provision for the benefit of the consumers of the state.”

During a recent meeting assembled by the Centre on the transport subsidy scheme, the Meghalaya Chief Minister Mukul Sangma had also raised the concern and recommended that the State Governments should be given several tools to control the prices of cement, the sources said.

Leave a comment