India capacity utilisation down to 75% in Apr-Jun 2011

India capacity utilisation down to 75% in Apr-Jun 2011
Published: 12 September 2011

Indian cement firms utilised only 75% of their capacity in April-June period this fiscal, with production of 54.79Mt, according to the official data.

The Ministry of Statistics and Programme Implementation in a review of the country’s infrastructure sector revealed that cement firms’ average capacity utilisation in the first quarter of last fiscal was a little better at 78%.

Capacity utilisation during June this year, however, was even worse at 73% compared to 75% in the same month last year.

Lower capacity utilisation meant lower production, which is indicative of the fact that the pace of infrastructure development was comparatively slower during the period.

Private sector cement firms, which contributes the most to the country’s total production of the building material, clocked 74% capacity utilisation compared to state-run Cement Corporation of India’s 66%.