Publish Date: | Thu, 03 Mar 2022 10:54 AM (IST)
Lokesh Solanki, Indore. Iron has turned red due to the heat of inflation. The prices of bars in the city have reached an all-time high. The prices of bars TMT have crossed Rs 75000 per tonne. This is the highest level ever. Due to this heat of inflation in iron, along with the real estate sector, the iron traders themselves are also moaning. Both the construction budget and the business are spoiling the increased prices.
Branded bars were being sold in Indore market on Thursday morning at a price of Rs 75,200 to Rs 75,500 per tonne. The price hike did not stop even after this. According to barber trader Atul Turkhia, the price of Moira is 75200. Tata, SAIL are also at this level. The unbranded bars of small mills are being sold for two and a half thousand rupees less than this. There has been an increase of Rs 1 to 1500 in a day, while the price has increased by Rs 5,500 per tonne in a week. Not only this, three months ago the same bar was being sold at the level of Rs 46000. Even with the increased prices, there is a shortage of goods in the market. Mills do not have sufficient stock. Mills are citing rising cost of coal and raw materials as the reason.
everyone’s loss
Lessons are being lost due to the inflation of iron bars. Credai member and developer Niket Mangal says that the cost of iron in a common building is 10 percent. The proportion of iron steel in multi-storey and sky scraper increases. Builders who have taken construction contracts at old rates or have taken booking of deals are confused. Their cost has increased but the customer will not give them the increased money. Many projects have come to a halt. Iron merchant Atul Turkhia says. That the trade has decreased at the increased prices. Clients are less or less, the trader’s capital is also getting stuck. Now for ordering a car, five to six lakh rupees more have to be paid. In the same proportion, the tax has to be paid more, while the profit of the trader is the same. That is, even after investing more capital, less profit and business became slow.
government by reducing taxes
Iron trader and president of Congress Industry and Trade Cell, Mohammad Peethawala, also blamed the government’s policies for rising iron prices. He said that in the last months, the government has increased the rate of GST on bars and iron products to 18 percent. The increased GST on the increased price is going to be very heavy. The government is filling its coffers by pushing people and business into inflation. With the reduction of GST, monopoly of producing mills should be curbed. Further, the price of diesel and petrol is also to increase, in such a situation another wave of inflation will come and the prices will go up.
Posted By: Sameer Deshpande