Insee cement price goes up | Sunday Observer

Insee cement price goes up

11 March, 2018

In view of the increasing cost of raw material and other production expenditure, Insee Cement announced that the company had to increase its MRP (Maximum Retail Price) by Rs. 30 per bag. The retail price of a bag of cement will be Rs. 960 with immediate effect. (The price of a ton of cement has been increased by Rs.600).

These price increases have been approved by Consumer Affairs Authority with effect from February 23, 2018 and will be adopted across Insee Cement’s product portfolio.

Local cement manufacturers and importers of cement had lodged applications for price increases due to increasing costs which the industry had absorbed over the past five years.

Jan Kunigk, Executive Vice President / Commercial Director of INSEE Cement said, “The crude oil prices had doubled over the past two years to US$ 60 per barrel and the coal prices had increased by 30% in 2017 alone.

“Both are essential inputs for manufacturing cement locally and import of cement. In addition to the increase of these cost, the country also increased wages by 10% per annum over the last few years due to rising inflation and depreciation of the Rupee against the US$ by a minimum of -3% every year, all of which have a compounded impact on the company.

Therefore, to remain competitive amidst these tough conditions, it was necessary to make this adjustment to partially compensate the cost increase.

“The price revision will enable Insee Cement to maintain our delivery excellence and technical support to our stakeholders nationwide. As the only fully integrated manufacturer of cement in Sri Lanka, we are committed to provide a continuous supply of cement to individual house builders and to all,” he said.

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