BAI reiterates demand for cement regulator
Builders’ Association of India (BAI), the apex all-India body of engineering construction contractors and real estate companies, has urged the government to appoint a Cement Regulatory Authority for curbing alleged malpractices in the sector. “Our priority is to address the burning issues impacting the construction industry, said Sachin Chandra, the newly-appointed president of BAI. “The Cement Regulatory Authority can rein in the unabated increase in cement prices. Such an abnormal price hike causes huge losses to the real estate developers as also to the government as well as private contractors,” he said.
“The MRTP Commission, Competition Commission of India and National Company Law Appellate Tribunal have repeatedly found clear-cut evidence against cement manufacturers indulging in cartel- type arrangements to create artificial shortage of cement to jack-up prices with the purpose of profiteering,” Mr. Chandra said, adding “the appointment of a regulator would help in curbing such malpractices.”
BAI has also sought measures for improvement in the output of construction workers and implementation of Unified Standard Contract Document for hassle free execution of contracts.
Mr. Chandra said since the output of a construction labour in India is abysmally low compared to the other countries, steps need to be taken to improve it through skilling.
According to BAI, since the age-old Contract Act, enacted in 1882, creates a lot of litigation at various courts of law, a Unified Standard Contract Document must be adopted by all works authorities to facilitate smoother and hassle free execution of contracts.
“These reforms will bring in lots of transparency in the industry and spur the natural growth it deserves,” he said.
