Sri Lanka’s Trade Minister Malin Fernando said the country was considering the introduction of price controls on cement. The step followed cement companies’ announcement that they would be reducing prices by LKR150 (US$0.50) to LKR2250/bag.
Mr Fernando said: “I don’t accept this reducing the price by 150, I want the maximum retail price to be 2000-2500.” “We will announce a maximum retail price as soon as the companies discuss,” Fernando said. “If they do not comply, the consumer affairs authority can give a maximum retail price. But I hope they will act to the benefit of the consumer.”
Sri Lanka has in the past imposed price controls on cement when global clinker and energy prices went up creating shortages and disrupting construction activity, while keeping high import taxes on steel and tiles to give profits to domestic producers.
