KCCI Rallies Behind JK Cements

KL NEWS NETWORK

SRINAGAR

The Kashmir Chamber of Commerce & Industry (KCCI) in a meeting Monday discussed the implications of the outsourcing the state government undertaking like Jammu & Kashmir Cements Limited.

While taking a serious note of such a decision under consideration of the government, Inc said that the Jammu & Kashmir Cements Limited is a largest state industrial undertaking which has been earning profits till recently.

“The undertaking would have played a price stabilizer role in the highly in demand cement market of the state. The cement factories in the State are earning huge profit margin per bag of cement and there should therefore be no reason that the Jammu & Kashmir Cements Limited even with the comparatively smaller margin should have faced the loss making situation,” KCCI said in a statement.

The body said that instead of “outsourcing” or privatizing the Jammu & Kashmir Cements Limited, the government should initiate a fact-finding process to identify the real factors that spell doom on this otherwise viable state venture and devise efficient ways and measures for its productive remaining and profit making.

“In case the government feels that the factory is too heavy by way of employees, the surplus could be diverted elsewhere or given golden hand shake and way and means should be found out for efficient profitable running of the Cement Factory,” KCCI said.

“Jammu & Kashmir Cements Limited in the meantime be provided with the required technical staff for its factories to run smoothly and profitably.”

KCCI also felt that once on its track the Jammu & Kashmir Cements Limited can help a great way to stabilize and balance the otherwise unbridled exorbitant cement prices prevailing in the market more in the wake of rehabilitation/ reconstruction process after September 2014 floods.

“The reports about privatization become all the more suspicious in view of vigilance enquiries and the recent gutting of JKCL. We wonder why JKCL is running in loss when there is a huge profit margin per bag in the cement as per costing. This is how the Cement Industry is thriving within and outside the State. During the last few months cement prices throughout the country, particularly in North India have witnessed considerable decline. Yet the cement prices for the cement produced in Kashmir keeps soaring. Incidentally the prevailing price per bag of 50 KGs of cement in Delhi is Rs. 253/- despite the fact that Delhi is not a cement producing State and prices in neighboring Punjab are further lesser to note.”

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