The 224-million-tonne cement industry is yet again set to strike a growth of 10 per cent in June. If the initial numbers from the top cement makers are anything to go by, industry analysts said, the continuous robust growth will be maintained.
Since November last year, the domestic cement sector has managed to keep its growth over 8 per cent on the back of good demand for the building material. It struck a growth of as high as 13 per cent in the beginning of the current financial year in April.
The Aditya Birla group, comprising Grasim and UltraTech, posted a rise of close to 22 per cent in its despatches in June at 3.14 million tonnes. Similarly, north major JP Associates clocked a growth of 29 per cent whereas Shree Cement despatched 28 per cent more in June than the corresponding month last year.
Ambuja Cements’ despatch growth rate stood at 8.1 per cent whereas that of its sister company ACC, the growth was almost flat at 1.1 per cent. Industry analysts pointed out that capacity constraint is not letting Holcim group companies in India.
The main factors which kept the momentum going in June as well was the delayed monsoon which gave additional time for construction activities.
Election results were another reason which helped keep the demand robust.
The industry is adding close to 45 million tonne of additional capacities in FY10.
