cement prices to go up by 6% yoy: icici securities
A report said today that despite the decline in production in the southern and central regions, the national average cement price is expected to rise by 6 percentage points year-on-year and 7 percentage points from QoQ.
However, the company said demand for key building materials in the eastern region could grow strongly. \"Average pan-
Indian cement prices may rise by 6 percentage points year-on-year, and QoQ will rise by 7 percentage points, of which prices in the western region may rise by 10 percentage points year-on-year and QoQ will rise by 15 percentage points.
Prices in other regions may rise by 3-
\"YoY and QoQ both accounted for 7 per cent,\" ICICI Securities reported . \".
The average price of cement in the north Indian market is 283 rupees per 50 kg bags.
In other markets, the price of cement per bag is 292 rupees in the east, 268 rupees in the West, 298 rupees in the middle and 322 rupees in the southern market in the fourth quarter of the previous fiscal year, reported.
\"We estimate that the number of industries grew by 1 year on year because strong demand growth in the eastern region is expected to be offset by the decline in the number of southern and central regions,\" the brokerage said . \".
The report noted that the cost of raw materials is also likely to rise this year.
Due to price increases such as pet coke, diesel, slag and packaging materials, the total cost per ton is expected to increase by 7 year on year.
It says the flow and price may remain moderate with the monsoon coming.
Cement production in the southern and central regions may decline in the same period, due to weak supply
Due to political issues and Uttar Pradesh, the issue of sand mining continues to affect the surrounding areas in Tamil Nadu
Accept, the report said.
The number in the eastern region is likely to grow by a significant 20 year on year, mainly due to strong demand in Bihar, jakhande and Odisha, as well as the government\'s securities on roads, housing and hospitals.