New Delhi: Saying that they were not in a position to absorb increase in taxes, cement manufacturers on Monday were defiant on rolling back prices.
Cement producers have stood firm on their decision on prices despite Finance Minister P Chidambaram's veiled warning.
"I hope they are not acting as a cartel... I am still confident that they will moderate the prices," PTI quoted Chidambaram.
At a meeting with Department of Industrial Policy and Promotion Secretary Ajay Dua, cement manufacturers said they were not in a position to absorb increase in taxes.
Chidambaram, who in his budget speech on February 28 proposed to reduce excise duty on cement by Rs 50 from Rs 400 per tonne for the product priced at Rs 190 per 50 kg bag and raise it by Rs 200 per tonne to Rs 600 per tonne for costlier varieties, said on Monday that Government was not 'reinforcing price control' on this commodity.
On the other hand, steel producers, including SAIL and Tata Steel, agreed to cut prices of TMT bars, galvanised steel and HR coils in response to the Government's appeal as part of efforts to contain inflation.
Steel producers rolled back the hike announced on March 1 on certain products, while slashing HR coil prices by Rs 500 a tonne.
"Considering the concerns of the government on inflationary trends in the economy, steel producers agreed to roll back the increase announced on March 1," Steel Secretary R S Pandey said.
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