Cement Demand to Increase Due to Infra Push: CMA: Rediff Moneynews

New Delhi, July 23 (PTI) The government’s strong emphasis on infrastructure development through several key projects and allocations is bound to boost demand for cement and other construction materials, the Cement Manufacturers’ Association (CMA) said on Tuesday.

The budget is described as “transformative and forward-looking” with a view to fiscal consolidation. There is a strong focus on infrastructure development, employment and energy security, it added.

“The announcement of a capital expenditure of Rs 11 lakh crore shows the government’s commitment to modernise India’s infrastructure through several key projects and allocations. This will undoubtedly boost demand for cement and other construction materials,” said CMA Chairman Neeraj Akhoury.

These initiatives collectively illustrate the Budget’s comprehensive and strategic approach to strengthening India’s infrastructure across sectors, said Akhoury, who is also managing director of Shree Cement.

Parth Jindal, Vice Chairman of CMA, said the Budget’s emphasis on employment, education and urban development is a major step towards inclusive growth.

“The Budget indeed paves the way for a robust and resilient economy, encouraging growth that is both equitable and sustainable. The Prime Minister’s package, with its focus on skills and employment-related incentives, will not only further enhance the capabilities of the workforce but also create new jobs in the cement sector,” said Jindal, who is also Managing Director of JSW Cement.

The Budget also includes a transition plan for ‘hard to abate’ sectors, so that they can move from ‘Perform, Aim and Trade’ mode to ‘Indian Carbon Market’ mode. This is a welcome step.

According to CMA, it is a win-win situation for both the economy and the environment, and the cement industry will play a crucial role in the country’s development journey.

“The roadmap will further boost India’s energy infrastructure and encourage the adoption of renewable energy. Overall, this budget is a win-win for both the economy and the environment, and the cement industry is poised to play a crucial role in the nation’s development journey,” Akhoury said.

The Cement Manufacturers’ Association is the umbrella body of major cement manufacturers in India and accounts for nearly 75 percent of the total installed cement capacity in India.