Cement capacity utilisation falls in H1

Kolkata : While the cement companies have raised prices across the country in the last one week saying the demand is likely to improve post monsoon, the fact is that industry’s average capacity utilisation across the country declined in the first six months of the current financial year. In other words, price rise was due to a fall in the production.

Capacity utilisation has fallen when the industry has been adding new capacities. In the first half (H1), however, cement production has grown in absolute terms. According to the Cement Manufacturers Association (CMA), the country produced 83.24 million tonnes (mt) during April-September this year, as compared to 81.69 mt last year in the corresponding period.