Cement prices are likely to remain high in the coming months. The growth is expected to moderate as the base effect sets in. Prices are expected to recover & rise by 6.4 % in 2011-12, after falling in the previous year.
The cement prices are expected to average 3.8% in 2012-13
Highights of CMIE Report..!
# During the 3rd quarter of 2011-12, power & fuel cost rose by 10.7% year on year due to twin effects of higher coal prices (Both Domestic & Imports) & cheaper rupee Vs the dollar.
# Freight costs were also higher by 12.5% year on year due to increase in diesel costs and surcharge levied by Railways.
# The cement price in Mumbai, one of the largest markets, shot up by Rs. 42 per 50 kg bag, from Rs. 248 in January. 2011 to Rs. 290 in January 2012. The average price of cement bag was Rs. 292 in January 2012.
# The demand of cement is expected to improve in the coming months and growth in despatches is likely to be modest at about 4% during March 2012 quarter, the research outfit added.
# ACC said its production for February 2012 stood at 2.14 million tonne per year as against 1.97 million tonne in the corresponding period in 2011. The despatches increased from 2 million tonne in February 2011 to 2.15 million tonne last month.
# Ambuja Cements' output shot up from 17.91 lakh tonne in February 2011 to 19.93 lakh tonne in February 2012. The despatches rose from 17.74 lakh tonne in February 2011 to 20 lakh tonne in February 2012.
# Cement production of UltraTech moved up by 3.02% at 357.28 lakh tonne for the period April to February 2011-12 as against 346.82 lakh tonne during April to February 2010-11. The company's despatches moved up by 3.2% at 357.41 lakh tonne in April to February 2011-12 as compared to 346.33 lakh tonne in the corresponding period last fiscal. Cement output of UltraTech for February 2012 stood higher by 4.96 per cent at 34.68 lakh tonne and despatches at 35.17 lakh tonne, up 5.67 per cent over February 2011.
# The Indian cement industry expansion is set to moderate, with only 31 million tonne per annum of capacity expected to be added this fiscal, much lower than 55 million tonne added in 2010-11.
No comments:
Post a Comment