homemarket NewsSouth and West markets in India to see surge in cement price — industry experts analyse the sector trends
South and West markets in India to see surge in cement price — industry experts analyse the sector trends
In an interview with CNBC-TV18, P Radhakrishnan, Whole Time Director and CEO at Kesoram Industries, and Navin Sahadeo, Analyst at ICICI Securities, engaged in an in-depth discussion on the current market conditions in India's cement sector.
On September 25, DAM Capital released a report highlighting the favourable pricing dynamics for cement companies in southern India. While, the industry continued to exhibit pricing strength in September, primarily driven by eastern India.
In an interview with CNBC-TV18, P Radhakrishnan, Whole Time Director and CEO at Kesoram Industries, and Navin Sahadeo, Analyst at ICICI Securities, engaged in an in-depth discussion on the current on-ground conditions in the country's cement sector.
Radhakrishnan began the discussion by announcing a significant development. "We are looking at scaling up the prices by about Rs 30 to 40 in the south Indian market," he revealed.
Highlighting the broader market trends, Radhakrishnan stated, "West India prices have increased by Rs 50." This substantial price hike in the western part of the country underscores the overall bullish sentiment within the Indian cement industry.
Sahadeo confirmed the positive outlook for the cement sector and commented on the specific regions witnessing remarkable price hikes. "There is a substantial hike in cement prices in the south, followed by the east," he noted.
Sahadeo then turned his attention to potential investment opportunities within the industry. "JK Cement in the midcap space is the top pick," he revealed.
One of the key factors driving the cement industry's upward trajectory is the encouraging demand, as highlighted by Sahadeo. "Demand is encouraging given the pre-election year," he stated. Political as well as infrastructure projects often stimulate cement demand, and this observation indicates that such factors are currently at play.
The recent developments in the Indian cement industry, as discussed by Radhakrishnan and Sahadeo, offer a glimpse into the sector's promising future. Price hikes in the south and west, coupled with encouraging demand in the run-up to elections, paint a positive picture for investors and industry players alike. JK Cement's recognition as a top pick in the midcap space reinforces the belief that the cement industry is set to cement its position as a robust contributor to India's economic growth.
For more details, watch the accompanying video
(Edited by : C H Unnikrishnan)
First Published: Sept 26, 2023 2:20 PM IST
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
Who will succeed Modi? Oppn thinks Amit Shah will, but PM said this
May 21, 2024 2:38 PM
1100 villagers boycott Lok Sabha and Assembly polls in Odisha, here's why
May 21, 2024 10:56 AM