After an increase of approximately Rs 3–4 per bag last month, cement makers aim to increase the price by between Rs 10 and Rs 30 per bag in November, according to Emkay Global Financial Services Ltd.
In a recent sectoral research, Emkay Global stated that in October 2022, the average cement price increase throughout all of India would be around Rs. 3–4/bag.
According to the report, prices increased by 2% to 3% month over month (MoM) in the East and South and by 1% in the West, while falling by 1% to 2% in the northern and central regions.
Due to a high base and the fact that the holiday season fell in October and November of last year, industry volumes are projected to have decreased by a high single-digit YoY and a low double-digit MoM on October 22.
A delayed monsoon exit and a labour scarcity brought on by holiday celebrations,affected demand on October 22.
The demand is anticipated to increase in the coming weeks as the big events come to a conclusion and the bustling building season begins.
According to Emkay Global, as expenses peak, cement prices rise, and building activity picks up in the upcoming quarters, the cost pressure on industry players is anticipated to lessen and industry margins to bottom out in Q2.
