TAKING advantage of disparity in prices of cement sold in the Vidarbha region and Chhattisgarh, manufacturers in the adjoining State are dumping huge quantities of the commodity in Nagpur. While the local dealers are selling here cement at a price of Rs 265 per 50-kg PPC grade (including 28 per cent GST), manufacturers based in Chhattisgarh are supplying the same quality of cement at a rate of Rs 255 per 50-kg (including 28 per cent GST and transportation charges). Nandkishor Agrawal, Director of Shri RanisatiTraders and one of the leading cement dealers, said that 20-25 per cent of the total quantity of cement used by the project category customers in Nagpur is arriving from neighbouring Chhattisgarh. Interestingly, even after paying the transportation cost, thecustomers are saving oncement when they buy it fromChhattisgarh based manufacturers.

 

It is important to notethat the demand for cement inthe current season is very poorand thus its prices are fallingall over. During monsoon season, many outstation labourersreturn back to their respectivevillages to engage in agricultural activities. Due to this, workat the projects gets hamperedand demand for cement andsteel comes down. The lowprices of cement are expectedto maintain these levels for nextfew weeks. But as soon as themonsoon season ends, thecement prices are likely to goup. Apart from cement, steelprices have also come downfrom its recent peak.