Star Cement expects cement prices, per bag, to firm up further post-Diwali, Sanjay Gupta, chief executive officer (CEO), told CNBC-TV18.
The company reported a weak set of earnings for the September-ended quarter as margin contracted and volumes weakened.
"Prices have gone up in October; northeast has seen an increase of Rs 6-7 a bag, the east has seen volume increase of Rs 10 a bag depending upon which market we are operating. We do expect the prices to firm up post-Diwali because the entire cement industry is reeling under a lot of cost pressures,” Gupta said.
Also Read: Brigade Enterprises sees K-shaped recovery in real estate sector; bets on residential, retail segments
"In order to pass on the cost, the prices have to move up, at least 10-12 percent, in coming months,” he said.
On demand, Gupta said, “We hope that demand will continue to go up from hereon and Q3 and Q4 onwards will be much better in terms of volumes. We hope to maintain our overall topline growth of around 20 percent.”
For the entire management interview, watch the video