Economy & Market
UltraTech to focus more on domestic market: Birla
To focus on the domestic market UltraTech Cement is planning to keep its exports flat for the next few years, the company Chairman Kumar Mangalam Birla has said. Robust domestic demand propelled the cement major to take the decision.
Last year, the Birla group company's exports stood at around Rs 371 crore. He said that the outlook for the cement industry remains challenging, but the company is bullish on the sector. It expects a boost in the domestic market as the infrastructure and construction industry is poised to grow in the coming years, he said.
Birla said that at present there is a demand-supply mismatch. With the industry's proposed capacity expansion of around 71 million tonne between FY13 and FY15, it will be no different for the next 2-3 years. I believe the short-term prospects for the industry appear bearish. Regardless, over the medium to long-term, the sector offers good growth potential, Birla said.
The company has also embarked on a Rs 12,000 crore expansion plan to increase its capacity to 62 million tonne by FY14.