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CMA expects fall in cement prices

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Owing to decline in demand amidst ongoing monsoon season, cement prices may ease around Rs 5-10 per 50 kg bag by end of July, reports suggest.Cement Manufacturers Association expects the price revision to come in a week’s time as demand has slowed down across the country. The association expects a sharp price cut in August as demand may decline further.Ambuja Cement said it witnessed steady demand till last month, but with the onset of monsoon, demand in July has declined by around two per cent from previous month.Vinita Singhania, managing director at JK Lakshmi Cement said, the price correction is coming late this year owing to delayed monsoon which helped the construction activities to continue. This month, the monsoon has just set in and companies have started to witness subdued demand.Delayed monsoon helped cement companies to increase prices in June by Rs 10-15 per 50 kg bag as demand continued, but in July, demand has started to decline.Cement companies had cut prices in the month of May to clear their inventory.

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