India: Rating agency ICRA has forecast that Indian cement production will rise by 12% year-on-year to 332Mt in 2022. It said that pent-up pre-Covid-19 lockdown demand, rural housing demand and a pickup in infrastructure activity would drive the rise. ICRA predicted that demand would rise by a further 8% year-on-year to 358Mt.
In the first quarter of the 2022 financial year, domestic rose by 44% year-on-year and by 2% compared to the first quarter of the 2020 financial year to 142Mt. ICRA estimated that the top 12 Indian cement producers will record their highest ever average operating profit per tonne of cementitious material in the 2022 financial year. It said that this is likely to occur due to an increase in net sales realisation and cost optimisation measures.