The Federation of Andhra Pradesh Chambers of Commerce and Industry (Fapcci) proposes to discuss with the cement dealers and manufacturers, the impact of the recent excise duty hike of 10 per cent by the Centre.

It plans to represent to the Central and State Governments to take appropriate actions to save the industry. The cement manufacturers have increased cement prices abnormally as a result of the Central Government move.

Due to this, the real estate and infrastructure businesses are getting affected very badly. Already in Hyderabad, the business is impacted due to political insatiability and disturbances.

The additional price increase will be a serious blow to the realty and infrastructure businesses in future, the Fapcci said in a press release.

The issue was discussed at the fifth meeting of the Urban Infrastructure and Telecom Committee of Fapcci, which met today with Mr. Shekhar Agarwal , President, Fapcci; Mr Gowra Srinivas, Chairman, Co–chairman, advisor of the committee and builders being present.

Apart from the cement price increase , the Govt of Andhra Pradesh issued G.O. Ms. No 88 amending the Rules 9, 10 and 11 removing the cap on property tax imposed earlier for residential and non- residential buildings i.e. a maximum limit of 75 per cent and 100-150 per cent of the existing tax as on 31-3-2002 respectively.

This has in a way opened the flood gates for possibility of increase of property taxes with no limits which will again be a severe blow to the realty and Infrastructure businesses which is already operating with thin margins, the release added.

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