Cement industry scores double digit growth

Shedding the shadow of recession far behind, the Indian cement industry is factually back on the fast track by recording a double digit growth largely due to the sterling performance of the northern and western markets of the country. The cement manufacturing giant including UltraTech, ACC, Ambuja, Shree Cement and JP Associates had recorded a robust sales in December last year thereby helping the industry dispatching 300 million tons to clock 14 percent growth year on year basis consecutively for the straight second month. In fact the industry sold 19.78 metric tons as against 17.35 mt during the corresponding period in the preceding year.

According to market watchers the emerging trends in the cement sector would help the industry to record about 7 percent growth, which would be better performance during the current financial year as against the prior estimates of about five per cent. In fact, the UltraTech Cement, which is a part of Aditya Birla Group has bitten the predictions and recorded Rs. 619cr as net profit during the quarter. Apart from robust demand in the northern and western markets recording an alarming surge in demand, rural demand for the product is fast reviving in areas including Punjab, Haryana, Rajasthan, Gujarat and Maharashtra and the eastern parts have also started showing signals of revival, they said.