India's Cement Demand : Sluggish in November, 2011

Dispatches of India's leading cement makers like  ACC, UltraTech Cement & JP Associate fell 7 %, 3% and 4% during November, 2011. Main reason was the slowdown in infrastructure spending and 2 consecutive price hikes.
The only exception was Ambuja Cement, which managed a 3% growth, largely due to institutional sales and pick-up in demand in select regions where the company operates.

The rising operational cost had forced many cement companies to hike prices 2 times in November which had resulted in demand tapering off after the first week of November. On an average, cement prices in November, 2011 up Rs . 10 per 50 kg bag.

The eastern region witnessed the sharpest price hike of Rs. 25  per bag to Rs 280 followed by the north where prices rose Rs. 15 per bag to Rs 285. The western region saw a price hike of Rs. 12 per bag to Rs .255. Prices in the southern States remained firm at Rs. 290, despite a fall in off-take due to wet weather conditions.
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