Builders seek MoHUA intervention on rising cement, steel prices
Real Estate

Builders seek MoHUA intervention on rising cement, steel prices

The real estate developers sought the Ministry of Housing & Urban Affairs (MoHUA) to intervene through their pan-India National Real Estate Development Council (NAREDCO) to restrict the rise in the cost of raw materials, including steel and cement.

NAREDCO has suggested that import duty on steel would be eliminated from 7.5% for two years, and steel exports will be prohibited for two years until the issue of high pricing information in domestic markets is solved.

It announced that steel and cement prices should be regulated till restoring domestic supply and that both cement and steel should be categorised as low-end Goods and Services Tax (GST). Moreover, the council proposed allowing the use of imported cement.

Housing Minister, Hardeep Singh Puri, said that the rising input material prices would be a major setback for the Housing for All mission of the government, making affordable housing a distant dream.

Cement prices had nearly quadrupled to Rs 360 per bag of cement, up from Rs 250 in January 2020, and steel prices had tripled to about Rs 90,000 per tonne, up from around Rs 39,000 two years ago.

According to the developers, high prices of cement and steel have been a source of concern to the real estate industry, many tech titans and ministers have made their case on various public platforms.

Last year, the Minister of Road Transport and Highways (MoRTH), Nitin Gadkari, warned the steel and cement manufacturers about the irrational price hike and raised the issue with PM Narendra Modi. He added that the government intended to establish a steel and cement regulator.

While the price of vital raw bricks, steel and other raw materials has been rising in recent quarters, developers are concerned that the increased cost will have to be passed on to homebuyers this time.

Housing sales in vital property markets are rebounding due to record-low home loan interest rates, reduction in stamp duty reductions by the government, stable prices, and incentives.

Image Source

Also read: Steelmakers across Europe cut production as power costs surge

The real estate developers sought the Ministry of Housing & Urban Affairs (MoHUA) to intervene through their pan-India National Real Estate Development Council (NAREDCO) to restrict the rise in the cost of raw materials, including steel and cement. NAREDCO has suggested that import duty on steel would be eliminated from 7.5% for two years, and steel exports will be prohibited for two years until the issue of high pricing information in domestic markets is solved. It announced that steel and cement prices should be regulated till restoring domestic supply and that both cement and steel should be categorised as low-end Goods and Services Tax (GST). Moreover, the council proposed allowing the use of imported cement. Housing Minister, Hardeep Singh Puri, said that the rising input material prices would be a major setback for the Housing for All mission of the government, making affordable housing a distant dream. Cement prices had nearly quadrupled to Rs 360 per bag of cement, up from Rs 250 in January 2020, and steel prices had tripled to about Rs 90,000 per tonne, up from around Rs 39,000 two years ago. According to the developers, high prices of cement and steel have been a source of concern to the real estate industry, many tech titans and ministers have made their case on various public platforms. Last year, the Minister of Road Transport and Highways (MoRTH), Nitin Gadkari, warned the steel and cement manufacturers about the irrational price hike and raised the issue with PM Narendra Modi. He added that the government intended to establish a steel and cement regulator. While the price of vital raw bricks, steel and other raw materials has been rising in recent quarters, developers are concerned that the increased cost will have to be passed on to homebuyers this time. Housing sales in vital property markets are rebounding due to record-low home loan interest rates, reduction in stamp duty reductions by the government, stable prices, and incentives. Image Source Also read: Steelmakers across Europe cut production as power costs surge

Next Story
Resources

Ajmera Realty launches tree drive on Environment Day

Ajmera Realty & Infra India marked World Environment Day with a large-scale tree plantation initiative—Plant-with-Purpose—across its projects in Mumbai and Bangalore. The drive was inaugurated at Ajmera Manhattan and Ajmera Greenfinity in Wadala, with senior company officials and residents in attendance. The campaign encourages residents to embrace eco-conscious, self-reliant lifestyles by growing useful plants and trees within their communities. Horticulture expert Devendra Bhekar guided residents on creating and maintaining green spaces. Ajmera Realty planted over 500 trees..

Next Story
Resources

Twaron®-reinforced tyre powers Brunel’s solar race car

Teijin Aramid’s Twaron® with circular content will debut in Bridgestone’s race tyres for the 2025 Bridgestone World Solar Challenge, supporting the Brunel Solar Team’s Nuna 13 car. This marks the first use of the recycled-content aramid in a high-performance race tyre. The Twaron®-reinforced belts help enhance durability, reduce rolling resistance, and maintain lightweight strength—critical for the 3,000-km solar race across Australia. Bridgestone combines this with ENLITENTM tech and other recycled inputs to maximise environmental and performance outcomes. Teijin Aramid, a..

Next Story
Building Material

Kamdhenu Paints launches new wood coating range

Kamdhenu Paints has launched a comprehensive premium wood coating range designed for both interior and exterior applications. The collection includes high-performance solutions like Kamwood 2K PU for a rich matt or high-gloss finish, Kamwood 1K PU for clarity and stain protection, and the Kamwood Melamyne system for a smooth, durable finish. Also featured are Kamwood Wood Stains, which enhance wood grains with vibrant colour, and NC Sanding Sealer for high-build grain filling. The range is supported by Kamwood Thinners for ease of application and optimal finish. Saurabh Agarwal, MD, ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?