Indian cement capacity seen reaching 349.6Mt in FY13

Indian cement production capacity is expected to rise to 349.6Mt in the current fiscal year (FY13) from 336.1Mt reached in the last fiscal.

"The projected demand and capacity to be created during 2012-13 are 265.4Mt and 349.6Mt, respectively," Minister of State for Commerce and Industry Jyotiraditya Scindia said in a written reply to Parliament

According to the report of the working group on cement industry for the 12th Five Year Plan, the installed capacity of cement production during 2011-12 was 336.10Mt, he said.

The minister also noted that there is no intention to introduce a cement regulatory authority in line with other sectors to control cement prices.

"The complaints relating to market dominance, under utilisation of capacity and artificial scarcity as well as cartelisation are best addressed through competition and entry of new players. The CCI looks into such complaints and takes appropriate action," he added.