Government measures to boost cement demand

Mon Dec 17, 2012 1:57pm IST

A labourer unloads cement sacks from the wagon of a train at a yard in Kolkata June 25, 2012. REUTERS/Rupak De Chowdhuri/Files

A labourer unloads cement sacks from the wagon of a train at a yard in Kolkata June 25, 2012.

Credit: Reuters/Rupak De Chowdhuri/Files

Related Topics

Stocks

   

Reuters Market Eye - India's cement industry will witness a sharp recovery in cement prices in fiscal 2013-14, on improving supply-demand dynamics and the government action to fast track infrastructure projects, analysts say.

Deutsche Bank believes cement companies such as UltraTech Cement(ULTC.NS) and Shree Cement (SHCM.NS) that have potential to increase capacity and have a bigger presence in western and northern India will witness "disproportionate benefits".

Bank of America Merrill Lynch upgrades Ultratech Cement and India Cements (ICMN.NS) to 'buy' from 'underperform' in reports dated on Friday.

Morgan Stanley maintains an 'attractive' view on the sector, and recommends investors to buy cement stocks on weakness because on expectations of easing capacity addition and pickup in cement demand, in a report dated Friday.

Mid-cap cement companies outperform large caps: India Cements (ICMN.NS) gains 0.7 percent, JK Cement (JKCE.NS) is up 1 percent while Madras Cement MSCM.NS rises 1.8 percent.

Ultratech Cement shares are down 1.2 percent, ACC (ACC.NS) gains 0.1 percent.

The Thomson Reuters construction materials index down 0.08 percent as of 1.25 pm.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Canada Shooting

Canada Shooting

Attack on parliament, killing of soldier stun Canada's capital.  Full Article 

Earnings Season

Earnings Season

Wipro sees rosier end to year as U.S. clients spend.  Full Article 

Business Climate

Business Climate

Fears for tough penalties grow as India cleans up business  Full Article 

New Email Service

New Email Service

Google launches new email service dubbed "Inbox".  Full Article 

DLF Appeals

DLF Appeals

DLF seeks interim relief from capital market ban  Full Article 

Falling Oil Prices

Falling Oil Prices

Indian consumers respond to softer oil, food prices  Full Article 

Book Keeping

Book Keeping

RBI fires warning shots on companies' lack of FX hedging.  Full Article 

Policy Repo Rate

Policy Repo Rate

Most external members suggested rate cut in RBI's Sept review.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage