Cement, steel prices continue to soar
Uptrend hampering recovery of construction activities in country
Given the current jump in demand, the price of coal has jumped to $90 per ton. PHOTO: FILE
Owing to an expected jump in demand for steel and cement around the globe following the invention of Covid-19 vaccines, the uptrend in local prices for the two commodities has accelerated, which is hampering the recovery of construction activities in Pakistan.
Amreli Steels has announced a hike in the price of rebars by Rs5,000 per ton in addition to an increase of Rs5,000 per ton announced earlier during the month, said JS Global analyst Arsalan Ahmed in comments to The Express Tribune.
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National
December 15, 2020
ISLAMABAD: The drastically increasing prices of raw material are creating a crisis-like situation for the struggling steel sector of Pakistan.
During the last two years, when major players declared heavy losses, largely the steel sector absorbed the impact of increase of inputs without passing it on to the end consumer. However, it is becoming extremely difficult for the steel sector to absorb the latest impact of growing price of raw material internationally.
In this situation, the Pakistan Association of Large Steel Producers (PALSP) urged the government to remove all duties on the raw material to offset the impact of drastic increase in the cost of raw material, which is crossing $400 per ton. Contrary to the misleading statement on the part of a body of developers, the PALSP representatives in a statement said that the domestic steel bar prices have dropped over the past two years by 8pc in dollar terms, from $806 in 2018 to $746 today.