Takoradi, Feb. 26, GNA - Members of the Western Regional Branch of the Ghana Cement Distributors Association have expressed their outmost surprise and indignation at the frequent increases in the factory price of cement by GHACEM within the past three month.

They told the GNA in an interview in Takoradi on Thursday that, since December 2003 the factory price of a bag of cement had been increased thrice from 37, 350 cedis to 42, 750 cedis as at February 24 2004.

Mr. Kofi Afari Appiah, Chairman of the association flanked by other executive members said these increases were often made without notice or explanation thereby causing anxiety and suspicion among retailers and consumers.

He therefore appealed to the government " to look into the matter", especially when the recent budget did not impose additional tax burden on industry or the people.

Mr. Afari-Appiah said the first price increase was effected by GHACEM in the middle of December 2003 from 37,350 cedis to 39,375 cedis, the price jumped to 42,750 on February 24.

" The margin is too ridiculous and unbearable" he said, and insisted that the Government should do something about it." Dr Dawson Ahmoah, Marketing Director of GHACEM, told the GNA in a telephone interview that the Company was forced to increase prices because freight charges have gone up more than 300 per cent since October 2003.

He said clinker; limestone and gypsum used in the manufacture of the high quality Portland cement are all imported.

He explained that shippers have been diverting their attention to the Far East because of the economic boom in China, adding that the few that operate to Africa had, therefore, taken advantage to increase their charges.

Dr Ahmoah said anytime freight charges went down Ghacem would adjust the prices accordingly.

He said the Company had identified a limestone deposit at Yongua in the Eastern Region and was awaiting a mining licence adding that once local raw materials are used prices would be adjusted.