A second term for Narendra Modi-led Government means continuity of policy and opportunity to push tougher reforms, particularly - land and labour

The organised segment continues to focus on innovative special concrete, quality and timely delivery, while the unorganised players tend to reduce the operating costs by lower compliances tax evasions and employing unskilled labour at cheaper costs, says Atul Desai.

Indian cement industry is among the best in the world when it comes to energy efficiency. However, specialised training is essential to face and overcome certain unique challenges of the Indian cement industry.

“Cement production continues to do well with the low base effect helping growth. Also it is indicative of advance in infra spending on roads by the government and housing – especially affordable housing,” said CARE Ratings in a recent report.

The performance of 3,292 companies in Q1 FY19 over the last year (Q1 FY18) reveals an improvement, with net sales registering a double-digit growth during the quarter over Q1 FY18 performance.

GST has scored a few goals – subsuming multiple taxes and a common rate structure – over the last one year. But for achieving simplification and reaping its full efficiency, it has a long way to go.

If the exit quarter of FY 18 is an indication of things to come, we are going to have a bumper FY 19 for the cement industry this year. In fact, the last quarter was so good in terms of demand, that it pulled the yearly growth number to an impressive 6 per cent as against a dismal minus 1 per cent in the previous year.

The Indian Meteorological Department’s (IMD) second-stage forecast of ‘normal’ South-West monsoon (June-September 2018), augurs well for cement demand in rural areas.

India has miles to go in terms of cement consumption and there is enough headroom for strong cement demand.