CEAT increases product prices by 2-10 %

New Delhi, June 16 (UNI) Tyre major CEAT Tyres Ltd today announced a 2-10 per cent hike in the prices of its products including Truck, L Truck, Car C and Car/Jeep R.

The company's truck tyres prices have risen by Rs 1000-1500 per pair subsequent to the hike in truck tyres by 6-9 per cent, L Truck by 6-10 per cent and TR-R by 3-6 per cent.

''A price hike was essential to meet the manufacturing cost which had shot up. This will enable us to stay committed to enhancing the quality of our products and upgrading our technologies,'' CEAT Vice President (Marketing and Sales) Arnab Banerjee said.

Recent months have seen the continuing trend of steep hike in the prices of raw materials, accounting for over 70 per cent of the production cost of tyres, he said adding that price of natural rubber has also increased to Rs 120 per kg from Rs 90 per kg.

Besides rubber, the prices of carbon black, which are key inputs for tyres, have also risen.

The Automotive Tyre manufacturer's Assocaition (ATMA), the industry body, has demanded an embargo on rubber exports and reduction in customs duty on imports from 20 per cent to 10 per cent to ease the supply situation.

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