Competition Commission of India Initiates Comprehensive Market Study on the Cement Sector Nationwide
TFP Bureau, New Delhi; Nov 4, 2023: The Competition Commission of India (CCI) has announced the launch of a comprehensive pan-India Market Study focusing on the Cement sector.
Cement, being a vital input in fundamental sectors like housing and infrastructure, holds significant importance due to its well-established connections with various other industries. Given its substantial role in shaping the economy, the Cement sector’s functioning and competitiveness hold critical significance.
Recognizing the pivotal role of the Cement industry in several essential sectors and the potential vulnerability to anti-competitive practices, the Market Study has been initiated to thoroughly comprehend the functioning of the cement market across different regions in India.
This fact-finding initiative aims to achieve several objectives:
- Assessing the evolving market structure in the cement sector, examining market concentration, entry/exit patterns, and consolidation across regions.
- Analyzing market trends including cement price fluctuations, cost variations, production changes, capacity utilization, and overall profitability in the industry.
- Investigating pricing dynamics in both trade and non-trade segments and understanding the factors influencing cement price alterations.
- Engaging with all pertinent stakeholders to gather a comprehensive understanding of the sector and identify any potential obstacles to healthy competition.
- Determining the necessary enforcement and advocacy focus areas for the Commission to promote and maintain competition within the cement industry.
The study will encompass an extensive research process integrating secondary and primary data. Information will be collected through qualitative and quantitative research methods involving various sources. The Commission will be overseeing this study with the support of an external agency engaged for its execution. Stakeholder consultations will be conducted nationwide to ensure a comprehensive understanding of the sector.
This initiative underscores the CCI’s commitment to thoroughly examine the Cement sector, aiming to identify, address, and rectify any potential challenges that hinder a competitive market environment in the industry.
