Star Cement, having a strong presence in the northeast, is expanding into eastern India with ongoing capacity expansion at Siliguri, West Bengal. Eastern India has been a key focus area for most cement manufacturers, given the expected demand surge. Hence, utilising its strong cash flows from the northeast, expanding in the neighbourhood in eastern India is the logical next step for Star Cement. Star Cement, though, is planning a 2 MT clinker plant in Meghalaya, and is awaiting environmental clearances. Strong growth momentum in its key market of northeast and expected triggers to be provided by expansions in eastern India makes Star Cement the pick of analysts.

Source: Mint January 01, 2021 09:04 UTC