With the relaxation of the lockdown rules, demand will increase, due to which the sale of cement is expected to increase.
Credit rating agency ICRA (ICRA) has said that the domestic production of cement in the country has decreased by 35 percent on a monthly basis.
New Delhi. The cement industry of the country has been badly affected by the second wave of the COVID-19 pandemic. Cement sales have been affected in the April-June quarter. Credit rating agency ICRA (ICRA) said on Monday that sales declined by 25 percent during April-June on a quarterly basis.
According to a report by ICRA, sales are expected to increase with demand picking up in the July-September quarter. In April this year, when the second wave of Kovid 19 was at its peak, domestic production of cement decreased by 35 percent on a monthly basis. Production is four percent lower than in April 2019 before the pandemic.
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Demand will increase with the relaxation of lockdown rulesIn comparison to Kovid-19 last year, this time the rural areas of the country were also affected by the second wave. Last year, most urban areas were affected by the disease. ICRA said, “Rural areas are expected to improve gradually.” However, the agency also said that once the lockdown rules are relaxed, demand will increase, which is expected to increase sales.
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Impact on real estate to infrastructure
CA Harigopal Patidar explains that the decline in the cement industry shows that there has been a decline in the real estate and infrastructure of the country. During the lockdown, works like roads, bridges were closed. However, he also said that in the second wave of Corona, the focus of the companies was on oxygen supply. So production got affected.