Indian cement makers may try to raise prices after Aug rollback, Nomura says

Ramco Cements

02/09/2024 08:31

** Indian cement firms are expected to attempt a price hike
in September after mid-August hikes were rolled back amid weak
demand, brokerage Nomura says 
    ** Hike per bag of 14 rupees ($0.17) expected pan-India but
dealers wary of absorption - note
    ** Brokerage prefers Shree Cement  SHCM.NS , Ambuja Cements
 ABUJ.NS  and Ramco Cements  TRCE.NS  within sector    
    ** Monsoons, upcoming festival period to keep demand
subdued; see uptick in November - Nomura citing dealers 
    ** Avg pan-India cement prices at 3-yr lows; note adds hikes
"desperate attempt" to halt moderation of prices rather to lift
them
    
 Company  Day's move  YTD
                               
 SHCM     up 0.4%     fell ~11%
 ABUJ     up 0.7%     rose 19%
 TRCE     up 0.6%     lost 18%
 
($1 = 83.8520 Indian rupees)

 (Reporting by Hritam Mukherjee in Bengaluru)
 ((Hritam.Mukherjee@thomsonreuters.com;))