Backed by a robust surge in demand from the housing sector in Mumbai and Pune, Maharashtra topped the charts in cement consumption reporting a 24% growth in January, the highest year-on-year growth among all the states (reports The economic Times).
Consumption in the state has shot up to 1.6Mt, accounting for almost 15 per cent of the all-India consumption. The cement consumption in January was 14.8 per cent higher than in December ’04. Mumbai is the largest cement market with a monthly consumption of around 500,000t while Pune, which has seen a major surge in demand in recent months, consumes over 200,000t a month. "There is very strong demand for cement in Mumbai and Pune. That’s what is driving up cement consumption in the state," says Anil Singhvi, executive director, Gujarat Ambuja Cements, a key player in the western region. Retail cement prices in Mumbai have shot up of late on a demand push, and are currently at Rs 180 per bag.
Uttar Pradesh, the second largest consumer of cement, has also witnessed a sharp rise in demand. Cement consumption in the state shot up 12.4 per cent last month to 1.23Mt. The eastern region, the smallest in terms of volumes, posted a 20 per cent growth last month, as consumption shot up 48.8 per cent to 360,000t on election-eve. Consumption in the south also went up in January with robust demand from Tamil Nadu and Kerala.