HeidelbergCement: India dispatches below target
Ashish Guha, CEO & MD of HeidelbergCement India, has said cement dispatches have been below target as he spoke to Bloomberg UTV on cement prices, despatches, rising input costs and demand-supply outlook.
“Cement despatches have been lower than targets,” says Guha. Regarding higher input costs, he says that the company has not been able to pass on cost rises to clients. He expects prices to be stable going forward.
The company’s capacity utilisation at 65-70% in Southern India, says Guha. “Current capacity utilisation in rest of India is over 85%”, he adds.
He also strongly denies talks of cartelisation among cement companies.
A soft demand-supply outlook is expected with weak utilisation trends of around 75 per cent compared to a historical average of 85 per cent. Overcapacity in the south is likely to worsen. Input costs are expected to increase close to 18% YoY.
Published under Cement News
