Economy & Market
South-based cement cos maintain growth
At a time when most cement companies are struggling to maintain growth in their cement realisations, south-based cement companies have shown consistent growth for the past four quarters ended September 2015. As opposed to this, cement realisation of companies in the rest of the country has been erratic and in most cases, it has fallen. After following operational discipline due to overcapacity for a long time, south-based cement companies increased cement prices given the scope of new demand following the creation of two new states -Andhra Pradesh and Telangana. It is anticipated that there would be an incremental cement demand of 23 mn t which is higher than 20 mn t which united Andhra Pradesh had during peak cement cycle.