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Cement cos need price hikes
Mint Mumbai
|November 27, 2024
DEMAND WOES IN Oct and Nov, cement demand wasn't as robust due to labour shortage in the festive season DEMAND-supply mismatch could cap the sector's utilization below 70%
The Indian cement sector is expected to perform better in the second half (H2FY25) compared to the sluggish first half, particularly in terms of demand and prices. Two months into H2, there are positive developments on prices that have been stagnant recently.
Pan-India trade prices rose by ₹8 month-on-month in November to ₹342 per bag, showed a recent dealers' channel check by Nomura Global Markets Research. The trade segment is where cement is sold by companies to dealers. The price hike was led by an increase of ₹23 per bag and ₹14 per bag in the east and north, respectively. Central and south India witnessed a modest hike of ₹2-3 per bag. Pan-India average prices in Q3FY25 have so far risen by mere ₹2 per bag sequentially.
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