Cement, paint, pipes: Will construction relaxation aid these sectors?

With the demand likely to remain tepid even after the lockdown is lifted, analysts suggest picking stocks from long-term perspective and focus on firms with low debt levels and a healthy order book

Even as India prepares for an extended lockdown to fight the coronavirus (Covid-19) pandemic, construction and allied sector stares at a long and a dull period. In doldrums since early 2018, country’s building-material segment could see further compression with the real estate, its key demand driver, taking longer-than-expected to get its momentum back, analysts say.

Prime Minister Narendra Modi on April 14 extended the lockdown in India by 19 days till May 3, though construction of buildings has been allowed from April 20 wherever labour is available on-site.

“While it is difficult to accurately forecast the extent of disruption, we