Cement companies fixing prices: MRTPC
25 Jul 2007
The Monopolies and Restrictive Trade Practices Commission (MRTPC), under the Department of Company Affairs, has issued a notice to 14 cement companies for cartelisation to fix prices, including ACC, India Cements, Ambuja Cement, JK Cement and others.
The
MRTPC has ordered a probe into the business practices
of the cement industry. There are allegations that cement
manufacturers have acted in a cartel, and colluded to
hike prices. However, Anil Singhvi, a partner at Notz
Stucki, maintained that there was no substance whatsoever
for the MRTPC notice. R G Bagla, Group Executive President
at JK Cements, has also categorically denied the possibility
of cartelisation. He said JK Cements had not received
any notice from the MRTPC so far.
The case will come up for hearing on 25 October. The government says that it has prima facie proof of cartelisation in the cement industry.