Cemex holds off 5% price hike

MANILA, Philippines - Cemex Philippines decided to hold off their planned five percent increase in the price of cement while the other two big players pushed through with their price adjustment, the Department of Trade and Industry (DTI) said yesterday.

In a press conference, Trade Undersecretary Zenaida C. Maglaya said that Cemex wrote to them last Monday, saying that they will not push through with their price increase.

However, Lafarge Cement Services Inc. increased their cement prices by P2 to P3 last December while Holcim had a selective increase in North Luzon and Mindanao wherein cement prices went up by five percent. 

Earlier, Vice President Noli de Castro expressed dismay over the alleged over pricing of cement manufacturers because it has an adverse effect on the housing sector which he heads.

De Castro told reporters that contrary to reports, it is not only the retailers who have increased the price of cement. He said that manufacturers have likewise increased their price.

“We will file a case against them (three cement manufacturers),” De Castro said. He lamented that the three firms have insisted that they have no cartel but the price increase has been implemented by all of them.

De Castro said that they are open to filing profiteering case against the manufacturers. Profiteering carries a maximum penalty of P2 million with imprisonment.

Likewise, De Castro said that any move to increase the prices must be justified. He said that the notice of the increase in prices must come with sufficient reason why there is a need to implement an increase.

DTI reported that there is no more shortage of cement but there are still reports that it is being sold above the suggested retail price of P205 to P210 per bag.