Cement demand was also adversely affected in the second quarter of monsoon

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Mumbai, Ta. 08 October 2019, Tuesday

The September quarter also is not expected to be particularly encouraging for the country's cement industry, after facing a decline in volume growth in the June quarter of the current fiscal year. Demand for cement has been weak in September, due to excessive length of monsoon withdrawal.

Demand for cement was weak in September and prices were softening in some markets, sources in the cement industry said. Usually, the demand for cement is slow during the first two months of the September quarter, ie July and August, as monsoon continues.

This year, monsoon demand has not gone out in September, with the monsoon continuing for a long time. In the first six months of the current financial year, the demand for cement has increased by only 2 to 5 percent, sources said.

Demand for cement from the construction sector did not drop even in April-May this year. Demand for cement is coming down from the construction sector before the monsoon in April-May. In the first quarter of the current fiscal year, construction activity was slowed due to the election of the Lok Sabha and lack of labor.

In addition to the monsoon long run, the economic downturn has also led to the demand for cement. Rainfall in many districts of Tamil Nadu, Maharashtra, Telangana and Kerala resulted in the demand for cement.

The impact of slowing demand was also reflected in the price of cement. In some markets, cement companies tried to raise prices but were forced to withdraw due to lack of demand.

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