India: cement industry likely to regain positive growth
Positive sales growth of ACC, Ambuja coupled with UltraTech’s flat growth is likely to bring the industry back in positive territory in December.
Though, the sector’s overall statistics will be released next week, analysts said the industry would not slide further for the second consecutive month and might bounce back. “It would not be a high growth as demand was not strong across the country. But according to our estimates, cement sales would be around 2-3 per cent in the month,” said a Mumbai-based research head who monitors the cement industry.
ACC’s sales growth was 2.13 per cent while its sister concern Ambuja Cements posted a growth of 5.61 per cent. Jaiprakash Associates reported 28 per cent rise in its dispatches while Shree Cement saw a decline of 3.38 per cent in its sales figures on a year-on-year basis.
Except ACC, cement majors have reported a slide in November. UltraTech’s sales had dramatically plunged 9.25 per cent during the month resulting in a negative growth of six per cent in the month.
According to a industry note from India Infoline, this would be another month of moderate growth with 0-3 per cent rise in sales. “Demand from the infrastructure segment has improved marginally,” said the note. Published under Cement News
