There is a bad news for people who are planning to build their house. After a few months of relief, cement prices have started increasing once again. A significant increase was seen in the price of cement during the September quarter. Due to this, the cost of building a house has also increased continuously. This bullish trend is expected to continue in the coming days.
Such a bullish trend in just one month
According to an analysis by brokerage firm Jefferies India Private Limited, in the month of September During this period, the average prices of cement increased by 4 percent as compared to a month ago i.e. August. If we talk about the entire quarter, the price of cement in the September quarter was 0.5 percent to 1 percent higher than the average price of the previous quarter i.e. April-June 2023.
For this reason, the companies increased the prices.
Jefferies India analysts believe that this rise in cement prices is mainly due to the increase in cement prices in Eastern India. Instead of bearing the burden of increased cost, cement companies are now passing a part on the customers. Energy cost has increased the costs of cement companies. To reduce the impact of this, retail prices of cement are being increased.
Highest price increase in Eastern India
According to Jefferies India, cement prices are highest in Eastern India. Has increased more. The prices of cement which were prevailing at the end of August, increased to Rs 50 to 55 per bag at the end of September. Whereas in other parts of the country the price of cement has increased comparatively less. Analysts say that in other parts the price per bag has increased by Rs 20 during this period.
Due to these reasons the rise will continue
Let us tell you that till a few months ago the price of cement was There was a sharp decline. The price is still low for the long term. Cement had become quite cheap in the month of July. However, the bullish trend has returned since last two months. The bullish trend is expected to continue in the coming months. The demand scenario in the sector is strong due to emphasis on government spending before the elections next year. At present, there is no possibility of cost reduction.
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