Nirmal Bang: Cement Demand And Pricing Slide Further In September

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.Based on our channel checks, cement demand and prices remained weak during September 2020 owing to seasonality, excessive monsoon, labour shortages in various regions and overall low spending by the public and private sector.All-India cement prices have declined by approximately 3% over the last one month, primarily driven by East and North regions where the pricing decline was the highest at 7% and 3%, respectively.Pricing decline was lower in Central India at approximately 1% despite reduction in demand. The fall in trade prices was higher compared to non-trade prices as the latter were already depressed.Cement demand in September has historically been higher compared to August.However, initial estimates indicate that cement demand during the first fortnight of September 2020 was down 10-12% on month on month basis.We believe that diminishing impact of pent-up demand is getting evident and hence the East region, which had done exceedingly well during the lockdown, is showing some weakness.Demand weakness in central and eastern regions could be due to labour returning back to work in cities. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint. .Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Nirmal Bang: Cement Demand And Pricing Slide Further In September

Nirmal Bang: Cement Demand And Pricing Slide Further In September

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