Indian cement prices expected higher

Indian cement prices expected higher
Published: 30 August 2005

Indian Cement prices are expected to rise sharply in the near future say local analysts. After a good spell of monsoons across the country and increased emphasis on infrastructure development, the demand for cement is likely to pick up smartly. The estimates of GDP growth in the current year have been revised up, indicating higher consumption-driven demand.  As the construction sector is booming and capacity additions in cement sector have not kept pace with the rise in demand, cement producers are experiencing higher pricing power. Higher prices for cement should translate into much better bottom lines for the manufacturers of the commodity. Even south-based cement manufacturers are finding the conditions conducive for a price rise, improving their margins.