Railways, roads, housing to up cement demand: Report
Credit Suisse has revealed that roads and railways are likely to drive up demand for cement, albeit at a gradual pace over the next 12 months. The report by Credit Suisse said that Indian cement sector is poised to pick up, albeit gradually during FY 2014 and it is expected that the the next 12 months would be good for the industry as a whole as it provides raw materials to key ancillary industries namely road, housing and railways, all of which are expected to pick up.
Credit Suisse expects accretive price increases for the cement sector in FY14 as demand growth improves to 7 per cent (5 per cent in FY13). The recovery should be driven by strong growth in rural housing and pick-up in roads and railways investment, the investment bank said in a report.