Cement shares trade firm; UltraTech, ACC, Ambuja Cements gain up to 2%

The significant pick up in the infra activity backed by the NIP is likely to see healthy traction in terms of new project awards and execution medium term, which is expected to boost cement demand.

Shares of cement companies traded on a firm note in an otherwise weak market on expectation of strong demand outlook. While short-term demand has got impacted due to Covid induced restrictions, the long-term growth trajectory of the sector remains healthy on strong infra pipeline of government across roads, metros and irrigation segment and upcoming state and general elections. Pick-up in urban housing, commercial real estate to fuel demand further.

UltraTech Cement, Ambuja Cements, Prism Johnson, ACC, India Cements, Dalmia Bharat, Orient Cement and Birla Corporation from the S&P BSE 500 index were up between 2 per cent and 4