The Indian cement industry is to see a growth of 10 per cent in June. Using the initial numbers from leading cement makers as a guide, industry analysts forecast that this continued growth will be maintained.
Since November 2008, the domestic cement sector has managed to maintain its growth over eight per cent on the back of good demand. It achieved a growth as high as 13 per cent in the beginning of the current financial year in April.
The Aditya Birla group, comprising Grasim and UltraTech, posted a rise of close to 22 per cent in its despatches in June at 3.14Mt. Similarly, north major JP Associates registered a growth of 29 per cent whereas Shree Cement despatched 28 per cent more in June compared to the corresponding month last year.
Ambuja Cements’ despatch growth rate stood at 8.1 per cent whereas that of its sister company ACC, the growth was almost flat at 1.1 per cent.
The main factors which kept the momentum going in June was the delayed monsoon which gave construction activities additional time. Election results were also cited as a reason for robust demand.