Chinese cos 'cementing' ties with India
After flooding the Indian market with cheap electronic items, garments and toys, Chinese firms are now eyeing the cement space with two of them seeking licenses from government authorities to sell the raw material.
By PTI |
NEW DELHI: After flooding the Indian market with cheap electronic items, garments and toys, Chinese firms are now eyeing the cement space with two of them seeking licenses from government authorities to sell the raw material.
Two Chinese companies - Yingde Dragon Mountain Cement Company Ltd and Longkou Fanlin Cement Company - have applied for license from Bureau of Indian Standards (BIS) to sell cement in Indian market, official sources told media.
This follows the government's move to ease cement import norms in May this year to increase supplies and rein in rapidly-rising prices in India, the world's second largest cement producer.
China is the world's largest cement producer and relatively lower per capita consumption in India is believed to have attracted the companies from the neighbouring country to set up shops here.
According to figures for 2006, the per capita consumption of cement in India is estimated to be 150 kilogram per annum, less than one-third of China's per capita consumption.
The government has made it mandatory for sale of ISI-marked cement in India, whether it is manufactured locally or outside the country. BIS is the agency that permits companies after inspecting their manufacturing facilities and testing the samples.
Officials of a Ahmedabad-based textile company, which is acting as the local agent of the Chinese firms and pursuing the matter with BIS, could not be contacted for comments. Queries sent to the Chinese firms were also unanswered.
Two Chinese companies - Yingde Dragon Mountain Cement Company Ltd and Longkou Fanlin Cement Company - have applied for license from Bureau of Indian Standards (BIS) to sell cement in Indian market, official sources told media.
This follows the government's move to ease cement import norms in May this year to increase supplies and rein in rapidly-rising prices in India, the world's second largest cement producer.
China is the world's largest cement producer and relatively lower per capita consumption in India is believed to have attracted the companies from the neighbouring country to set up shops here.
According to figures for 2006, the per capita consumption of cement in India is estimated to be 150 kilogram per annum, less than one-third of China's per capita consumption.
The government has made it mandatory for sale of ISI-marked cement in India, whether it is manufactured locally or outside the country. BIS is the agency that permits companies after inspecting their manufacturing facilities and testing the samples.
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Officials of a Ahmedabad-based textile company, which is acting as the local agent of the Chinese firms and pursuing the matter with BIS, could not be contacted for comments. Queries sent to the Chinese firms were also unanswered.
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