The cement sector is currently facing a problem of low demand with dispatches growth in the current financial year expected to be ~5-6%. The low demand scenario has resulted in a fall in cement prices. Efforts by cement manufacturers to increase prices have not succeeded, as price hikes could not be absorbed due to low demand. The industry is also facing cost pressures due to hike in diesel prices. The hike in diesel prices has pushed up both, the rail and road freight charges. This has affected the profitability of cement manufacturers.
The sector has been witnessing dwindling demand in the last three years as a result of slowdown in construction activities. The budget move will help assured sufficient off-take of cement by giving fillip to the infrastructure and housing sector.
IS Advisors takes you through the impact analysis of Union Budget 2013-14 on the Industry in this report. The report provides useful and comprehensive information about the industry expectations from the budget, proposed measures in the budget and their impact on industry and its players.
SCOPE OF THE REPORT
Industry at a glance
List of key Budget expectations
Analysis of the various budget provisions affecting the industry
Summarize impact on key players of the industry
REASONS TO BUY
To understand the impact of key government policies on the overall industry and key players