Page 15 - Construction Vision Sep-Oct 2017 issue

revenue of 1.5 billion pounds (over Rs 12,000
GRANITE INDUSTRY CALLS “For our India business, this has been a very
FOR REDUCTION IN 28% GST strong quarter for us. We achieved a net sales crore) in the next three years from two ongoing
of Rs 2,300 crore and a collection of Rs 2,600
housing projects in central London.
The Granite industry today urged the crore. We delivered about 2,000 units during
government to lower the GST rate of 28 per the quarter," Lodha told PTI.
Lodha Group had forayed into the London
cent on granite polished slabs as higher taxes
realty market in 2013 with the acquisition of the
would impact the labour- intensive sector. The sales have grown by about 70 per cent
landmark MacDonald House at 1 Grosvenor
from the same quarter of last fiscal, when the
Square in prime Central London from the
According to JIGANI Granite Industries Owners company did business of about Rs 1,300 crore.
Canadian government for over GBP 300 million
Welfare association, prices would go up after
(Rs 3,100 crore).
the implementation of the Goods and Services Lodha said the company has been able to
Tax (GST) from July 1 achieve healthy sales bookings because of
The group acquired another site in central
strong focus on project execution.
The industry has cut down the production by London, New Court at 48 Carey Street for 90
million pounds in 2014.
about 50 per cent in May and June, anticipating "Our construction spend for the June quarter
lower granite demand with rise in price for end was Rs 1,100 crore. The focus on execution of
Lodha UK launched first project 'Lincoln
user post the GST rollout, it said in a statement. projects is helping in huge employment
Square' last year and the second project 'No 1
generation. At present, we have about 26,000
Grosvenor Square', located in the heart of
"The GST Council has announced a tax of 28 workforce at our various project sites," Lodha
Mayfair, last month.
per cent on granite polished slabs, which was said.
earlier 14.5 per cent," the association said.
Privately-held Lodha Group is currently
"We are strongly focused on delivery, which is a
Granite sector is a labour intensive sector and developing around 41 million sq ft area and has
critical reason why customers are happy and
employs over 75,000 people directly and 31 ongoing projects in London, Mumbai
investing in our projects," he said, adding that
indirectly in and around Jigani and Bangalore Metropolitan Region, Pune, Bengaluru and
the overall investment on construction would be
area, it said. Hyderabad. It has a land bank of 350 million sq
in the range of Rs 4,000-4,500 crore this fiscal.
ft for future development .
"We request the government to lower the rate
Asked about new launches, Lodha said the
of GST to flat 12 per cent on granite slab
company launched two projects during the first
products," it said.
quarter of this fiscal and plans to have 8-10
projects more by March next year.
Spokesperson Lalit Rathi said majority of
factories are of small scale and several granite On London business, he said the company's
units are already struggling to sustain sales bookings crossed 200 million pounds till
operations following the decline in exports due June quarter.
to global slowdown and demonetisation.
Lodha's MD had recently pegged a sales
LODHA GROUP SELLS
PROPERTIES WORTH RS 2,300
CR IN APR-JUNE QUARTER

Realty major Lodha Developers sold properties
worth Rs 2,300 crore during April-June period,
its highest quarterly sales, beating demand
slowdown in the real estate market, according
to a top company official.

The Mumbai-based firm invested Rs 1,100
crore on construction of ongoing projects and
achieved a record quarterly collection of Rs
2,600 crore during April-June period of 2017-18
fiscal, Lodha Group MD Abhishek Lodha said.
SEPTEMBER - OCTOBER CONSTRUCTION VISION 13