Press Information Bureau

Government of India

Ministry of Corporate Affairs

15-March-2012 16:48 IST

Cartelization by Cement Manufacturers

The Minister of State in the Ministry of Corporate Affairs Shri R.P.N. Singh today informed the Lok Sabha that the Competition Commission of India received two information about Cement Manufacturers – one filed by the Builders Association and another on transfer from Director General (IR) of the erstwhile Monopolies and Restrictive Trade Practices (MRTP) Commission, alleging unfair trade practices, controlling prices, limiting production, restricting supplies and collusive price fixing etc.

Replying to a written question the Minister said the SFIO has not looked into the matter of cartelization per se by cement manufacturers but has investigated some cement companies in respect of irregularities/contraventions of various provisions of the Companies Act, 1956.

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ST/-

Cartelization allegations prompt competition scrutiny as firms face probes for price control, output restriction and collusion. The Competition Commission of India received two informations alleging coordinated conduct by cement manufacturers to control prices, limit production, restrict supplies and engage in collusive price fixing, while the Serious Fraud Investigation Office has not investigated cartelization per se but has probed certain cement companies for alleged contraventions under the Companies Act, 1956.