ISLAMABAD, Feb 13: Federal Minister for Industries and Production Jahangir Khan Tareen has convened a meeting of cement producers, builders and contractors to work out long-term cement price strategy.

The meeting to be held on February 20 would be attended by All Pakistan Cement Manufacturers Association (APCMA), Association of Builders and Developers (ABAD) and All Pakistan Contractors Association (APCA).

The minister in the first meeting with APCMA on Saturday last had agreed with the negotiated cartelisation price of Rs260 per bag, indicating apparently the failure of the government to break the cartel.

Ironically, just after three days of the announcement of the fixed price, the minister in a statement said the government had not fixed price of cement at Rs260 per bag. However, the minister after the meeting told media person that an understanding was reached that cement price would be brought down to Rs260 per bag from Rs300.

According to the announcement, the government had informed APCMA that it would not allow cartelisation and unjustified price hike of cement. In response, the APCMA had agreed to make available cement at maximum retail price of Rs260 per bag in the market as an immediate first step.

It is expected that with better supply of cement, prices will go down further below the agreed level in the market. Chairman CBR, secretaries commerce and statistics division have also been invited to attend the meeting, added the announcement.