Black Galaxy Granite Revival in demand lifts granite barons’ spirits .

Granite barons in Prakasam district of Andhra Pradesh are hoping for sunny days as the demand for the construction material has picked up in China, a major importer of rough granite blocks.

“There has been a revival in the demand, especially for the fancied black galaxy granite,” says Ye Hui Hui, General Manager, Xiamen Kangwang Stone Co. Ltd in Fujian province of China, identifying rough blocks selectively for shipment from the black galaxy granite town of Chimakurthy, near here.

Shipments had dipped to 20,000 cubic metres (CBM) per month in the last six months from the earlier 30,000 CBM, fuelling concerns.

“We are hoping to step up exports to at least 27,000 CBM per month from now,” Galaxy Granite Owners Association (GGOA) general secretary M.A. Azeem said.

Focus on quality

Profit margins have also come under pressure with importers becoming more quality conscious.

“Buyers from China, who used to take all the granite blocks offered, now accept only 60% of blocks at about $900 per CBM against $1,050 earlier,” says Mr. Azeem, also Chairman of Shaheen Granites. The rough granite blocks sourced from here are processed in China before export to the U.S. and Europe from there.

The Centre’s move slashing GST from 28% to 18% has come as a relief to over 1,000 granite units in the district. AP State Small-Scale Granite Industries’ Association president Y. Koteswara Rao says the units were in trouble after demonetization, and GST only added to their woes.

Source:S. Murali ONGOLE, JANUARY 20, 2018 01:01 IST

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