NewsWhore
10-12-2007, 04:21 PM
The presidents of the College of Dominican Engineers, Architects and Surveyors College (CODIA) and the Cibao Association of Promoters and Constructors (APROCOVICI) say that the increase in the price of cement is negatively impacting the construction industry in the Cibao region threatening jobs. The presidents said that given the low inflation and stability in the currency exchange market, there is no reason for a bag of cement to be sold at RD$206. In Santiago the construction industry produces RD$200 million per year and currently because of the recent increase in costs many projects have been halted.
Hardware store owners are also asking for help and are asking the government for transparency in the production costs of cement so that some producers don't attempt to "dump" goods, or sell the product below the production costs in order to impede the importing of cement that could halt the present price increase of domestically produced cement. Luis Mejia and Luis de los Santos, ex-president and current president of the Hardware Store Owner Association (ASODEFE) said when they meet on Monday with the minister of Industry and Commerce they will present a plan to halt cement price increases. They estimate that cement prices should be 30 to 40% lower.
As a response to the growing concerns over the increase in prices, Industry and Commerce Minister Melanio Paredes said that his department is meeting with the producers and distributors to determine the real cost of cement production to set new stable prices for buyers. Paredes said that according to government policies increase in prices should be justified in order to protect the consumer.
The cement market moves around RD$23.5 billion a year with a production of 117.5 million bags a year, according to the Listin Diario. Hardware stores say consumers would benefit from imports from China. They say the ton of imported cement would cost US$95 compared to US$150 price tag of locally produced cement.
More... (http://www.dr1.com/index.html#9)
Hardware store owners are also asking for help and are asking the government for transparency in the production costs of cement so that some producers don't attempt to "dump" goods, or sell the product below the production costs in order to impede the importing of cement that could halt the present price increase of domestically produced cement. Luis Mejia and Luis de los Santos, ex-president and current president of the Hardware Store Owner Association (ASODEFE) said when they meet on Monday with the minister of Industry and Commerce they will present a plan to halt cement price increases. They estimate that cement prices should be 30 to 40% lower.
As a response to the growing concerns over the increase in prices, Industry and Commerce Minister Melanio Paredes said that his department is meeting with the producers and distributors to determine the real cost of cement production to set new stable prices for buyers. Paredes said that according to government policies increase in prices should be justified in order to protect the consumer.
The cement market moves around RD$23.5 billion a year with a production of 117.5 million bags a year, according to the Listin Diario. Hardware stores say consumers would benefit from imports from China. They say the ton of imported cement would cost US$95 compared to US$150 price tag of locally produced cement.
More... (http://www.dr1.com/index.html#9)