Notwithstanding the blanket ban on cement exports, cement prices appear to stay at the present levels of Rs 200 to Rs 240 per bag. According to industry sources, the demand for cement is estimated to grow over 11%, which leaves a supply shortage of 2% to 5%. Hence, there is no reason for the prices to fall in the near future.
KC Jain, senior president Kesoram Cements and managing director Mangalam Cements, said that cement prices may show a moderate fall of Rs 10 to Rs 15 per bag only in 2009.
He anticipates a ?supply-more? kind of situation by the end of 2009. ?While the demand is growing at 11%, the capacity is being added at 25% annually,?Jain told FE on the sidelines of Green Cementech 2008 in Hyderabad.
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