Cement stocks gain on infra boost: ACC jumps 5 per cent, Shree Cement surges 8 per cent
The shares of cement companies gained post Budget 2021 presentation in Lok Sabha today.
The infrastructure sector has indeed received a big boost from the government in Budget 2021 with the government focussing majority of its spending on the upcoming infra projects.
Currently, around 217 infra projects worth around Rs 1.10 lakh crore under some key Ministries has been completed. Going further, many more projects are to be undertaken and completed to improve the road conditions along with other infra facilities.
The government has set aside Rs 5.54 lakh core for roads & highway projects. It announced highway projects in four poll-bound states of West Bengal, Tamil Nadu, Assam & Kerala.
An increase in the number of projects and works in the infrastructure sector will directly lead to an increased demand for cement. This is a strong point benefiting the business growth of the cement companies and further adding to their revenues.
Following is a list of some the cement companies that gained post the announcement:
||Change (per cent)
|The Ramco Cements
|JK Lakshmi Cement
|Shree Digvijay Cement Company
|Heidelberg Cement India