Telangana cement manufacturers agree to reduce prices to revive real estate sector

During the meeting, the ministers told the manufacturers that the real estate sector had ground to a halt due to the Covid-19 lockdown and unless cement prices are slashed, it might not be able to revive, the report added.

Cement may soon be available at a lower price in Telangana following an agreement between manufacturers and the state government to reduce prices to help revive the real estate sector affected by the lockdown imposed on March 25 to curb the spread of coronavirus pandemic.

The decision on the quantum of reduction in price of cement bags will be taken at a meeting of the heads of cement companies. (Himanshu Vyas / HT Photo)

At a meeting with ministers KT Rama Rao and Prashanth Reddy on Thursday, representatives of the cement industry also agreed to continue supplying cement at the existing rate of Rs 230 per bag for the next three years for various state government projects including the “2BHK Dignity Houses” scheme.

The state government has been getting cement at this price since 2016, while the price of a cement bag in Hyderabad open market is Rs 350 per bag, according to report in hansindia dot com.

During the meeting, the ministers told the manufacturers that the real estate sector had ground to a halt due to the Covid-19 lockdown and unless cement prices are slashed, it might not be able to revive, the report added.

The final decision on the quantum of reduction in price will be in a week’s time after a meeting of the heads of the industry.

Meanwhile, the state government agreed to set up a training centre at Huzurnagar that would create skilled manpower by training local youth, according to an official press release. A large number of cement industries are located in the Huzurnagar area, reports news agency PTI.

The industry representatives said they would support the centre, the release added.

(With inputs from PTI)