Status of Granite Exports

Almost a Month has passed after GST was implemented. 28 % on on sawn slabs , polished and monumental and tile materials of Granite is not helping any one to run the business let alone grow,

Exports are down drastically in July. Environmental problem are not yet solved. Restriction on transporting big granite blocks over 30-35 MT continues. Together they are contributing enormous pressure on Industry.

Giving below list of quarries affected by Environmental Issues(EC )

• Paradiso- 80 % Quarries
• Absolute black -PP4 ,PP2  and K1/K2 type -80% of Quarries
• Bengal Black (from Tamilnadu side) 80% quarries
• Imperial Gold-100%
• Amba white - 100%
• colonial white -50
• Multi colour red -70%
• Premium black -50%
• Ruby Red -75%
• Red wave-100%
• Fox Brown-100%
• Giblee -50%

Quarries which has not been affeted  By EC

• Vizag Blue
• Aurora
• Chida white
• Tan brown
• Black galaxy
• Steel grey
• Black pearl
• Nimbus Black
• YKD Black
• Hacks's eye
• Viscont white
• Kuppan Green
• Kashmir Gold
• Shivakashi
• Colombo Juparana
• Warangal Black
• G40

The cost of operation has gone up under GST. since teh GSTN network is not yet ready, we are not even able to see if the GST we pay to suppliers are actually emitted to Government on time.  We have piled huge amout as GST with quarries /processors . need to keep our fingers crossed until we get the refund .......when and how much  ?? It is a Million Dollar question

are we able to pass on this additional burden to customer ?? Largely not. In  many cases customer agree for a paltry 2 % hike in prices which is any case we need to rise due to unfavourable currency situation  G40/G20 block prices have gone up by 10-15 % at quarry level. How to pass this huge price ?? we are saved partially by year long contract with TAMIN quarries and few private players.This situation too may not last for long. Ultimately we need to succumb to the pressure and rise the price 

Over all the situation continues to be still turbulent. the condition may change  only if

1) Government acts fast and clears EC to quarries

2) GST refund is done quickly

otherwise this year could be one of the toughest years for Indian granite Industry. Much worser than 2008-09