Question : PRODUCTION AND IMPORT OF CEMENT

(a) the details of annual requirement of cement for domestic consumption in India;

(b) the yearly production of cement by all the cement manufacturers put together in our country;

(c) the reason for the short supply of cement to the builders/stockists;

(d) whether the Government has accorded permission to private firms to import cement without any restriction;

(e) if so, the reasons therefor; and

(f) the steps taken by the Government to check the continuous rise in the price of cement in the open market ?

MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI ASHWANI KUMAR)

(a) to (c): As per the Cement Manufacturers’ Association, the total production of cement was 127.57 million tonne, 141.81 million tonne and 155.66 million tonne in 2004-05, 2005-06 and 2006-07 respectively. The data in respect of consumption of cement is not available. However, a spurt in the prices of cement is indicative of a mismatch between demand and supply.

(d) & (e): There is no restriction on the import of cement if it meets mandatory BIS quality standards and carries the standard mark.

(f): Import duty on cement has been reduced from 12.5% to nil. Countervailing duty and special additional customs duty on cement have also been removed, which would facilitate imports so as to stabilize the market prices of cement.