: FICCI recommends govt to allow construction work to resume to minimise impact on cement sector #FinanceIndia #StockMarketNEWS FICCI recommends govt to allow construction work to resume to minimise

@StockMarketNEWS Mon 11 May, 2020

Posted in: #FinanceIndia #StockMarketNEWS

FICCI recommends govt to allow construction work to resume to minimise impact on cement sector #FinanceIndia #StockMarketNEWS
FICCI recommends govt to allow construction work to resume to minimise impact on cement sector New Delhi, May 5 (KNN) Industry body FICCI on Tuesday suggested the government to resume operations of downstream industries like real estate and construction of roads and highways to minimise the impact of COVID-19 pandemic on the cement sector.

"As the demand for cement is expected to drop drastically in this fiscal due to the nationwide lockdown, FICCI suggests that government should promote and resume operations of downstream industries like real estate, development of roads, highways, rivers and canals projects, among others," the industry body said in a statement.

FICCI further recommended fast tracking investment in infrastructure sector by front loading investment in National Infrastructure Pipeline as it would help in rejuvenating the demand for Indian cement sector.

In order to reduce financial burden on the sector, FICCI has recommended for provision of 10% enhancement on credit limit and sanction of additional 25% on current working capital limits.

In addition to this, the industry body has recommended an additional three-months extension of moratorium granted on payment of interest and repayment of loans.

In order to protect the domestic cement manufacturers from possible dumping of imports post-lockdown, the industry body has suggested that prioritisation should be given to domestic value addition for raw materials like limestone, fly ash used in cement manufacturing as compared to export of these items.

Domestic coal prices should be made more competitive by lowering notified prices by Coal India subsidiaries as imported coal prices have reduced substantially, it added.

Stock Market News & Best Intraday tips & Stocks near support

Report