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Will the CCI finally decide if the firms are truly guilty?
Cartelization- an issue which the Government has been addressing for quite sometime, an issue which has created quite a furor off late… What with the cement industry fiercely combating the allegations of alliance that the Central Government is entrusting upon them.
While the cement Industry is justifying that of the Rs.14-15 rise in cost of each cement bag only Rs.5-7 is passed on to the consumers, the Central Government is indicting the firms heavily. In fact in December 2007, the MRTP Commission accused 44 cement firms including the L&T, Birla and ACC of setting exorbitant price of cement by resorting to cartelization. However, it is anybody’s guess as to why an issue so dubious in nature is being addressed by the MRTP which itself is in a state of dissolution. However, after inefficiency, Competition Commission of India (CCI) had been conceived in October 2003 with the objective of being a more organised body for addressing cartels and monopoly like behaviour, it remains ineffective as it has not yet been notified by the centre.
Be it energy price hike, food crisis, or now cartelisation in cement and steel industry, its the common man who suffer, while the very purpose of government is to consider active policy measures to curb them. However, delay has become a norm rather than exception.
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