India: Indian cement companies have slashed their prices in May 2012 due to poor demand, event before the monsoon season has started.
Prices declined in all regions, except the south and central regions of the country, where prices have been stable. Demand has slowed, compared with April 2012 levels. Most dealers in India expect prices to decline after mid-June 2012, said Jaspreet Singh Arora an analyst at Anand Rathi.
Vinita Singhania, managing director JK Lakshmi Cement, said that demand in April 2012 has gone 'absolutely haywire' due to a slowdown in construction activities and certain infrastructure projects not being implemented. A senior official of the Indian Cement Manufacturers' Association said that in 2012 cement prices have declined even before the arrival of monsoon due to oversupply. "The price correction has come a little earlier than expected because demand didn't pick up in line with our expectations," the official said.
