Cement stocks under pressure as UltraTech announces Rs 12,866 cr capex plan

Shares of cement companies like UltraTech Cement, Dalmia Bharat, JK Cement, The Ramco Cements and Shree Cement were down in the range of 2 per cent to 6 per cent.

Shares of cement companies were under pressure as they fell up to 6 per cent on the BSE on Friday in an otherwise firm market. The fall comes after the sector major UltraTech approved a new capital expenditure (capex) plan of Rs 12,886 crore to tide increased competition in the sector.

The capex is aimed to increase capacity by 22.6 million tonnes per annum (MTPA) through brownfield and greenfield projects. With this, it would enable set-up of integrated or grinding units as well as bulk terminals across the country. The company said that the commercial production from these units will