Cement: STC its Claws

This process will allow STC to know the real price of cement in the world market. In the event that the price would be lower than that prevailing in the local market by the two main suppliers, including Holcim (Mauritius) Ltd and Lafarge (Mauritius) Ltd, the STC will re-enter the market to stabilize the price.

Stabilize prices

The decision of the State Trading Corporation (STC) to import cement will stabilize the price of the products on the local market, says a source close to the matter.

Right now Holcim sells 50kg bag of cement at Rs 211.60 and Kolos than 25kg to Rs 106. Ecocem practice almost the same price. Lafarge sells cement Baobab offers cover from 50kg to Rs 195.50 Rs 97.75 and the cover of 25kg.

The State Trading Corporation wants above all to ensure that the prices currently on the market are not "artificial" since the liberalization of the import of cement. If the STC realizes that she has the ability to import cement at a price significantly favorable than those imposed by the two importers, it will once again enter the cement market. However, the liberalization of the import of cement does not mean that the price of cement will fall on the market.

From time to time in the State Trading Corporation conducted an audit on the prices of some products on the market has supported our interlocutor. "We need to see if the prices that the two operators are reasonable practice or not. We have just seen that an operator has revised its prices up. It is also the second time that the STC will launch a tender for the supply of cement since the liberalization of this product. If the STC receives the cement at a better price then this is the organization that will provide the cement to two operators so that they can sell to individuals, "stated the proposed.