October 12, 2008

ACC freezes cement prices for next 3 months

ACC Cement said that it is freezing the rates for next 2 to 3 months, mirroring steps taken by steelmakers to complement government's efforts to fight inflation.

A senior official of ACC Cement said that "We have frozen the price for next 2 to 3 months. We have taken the decision in response to government concern about the cement price situation. We are the leading cement company of India and therefore we have assured that we will hold the cement prices at existing rate." He added that it would like to have duologue with government as it is concerned about higher input costs which affect the margins.

The decision to reduce prices by steelmakers and now ACC Cement is expected to soothe the government's concerns on inflation that is at 42 month high of 7.57%.