Sri Lanka, July 8 -- Sri Lanka's cement industry is showing early signs of a resurgence, with domestic demand rising to 4.71 million metric tonnes (mn MT) in the past year, up from 3.96mn MT a year ago, according to Tokyo Cement Group.

The increase was attributed to the "latent demand and low base effect of the previous year", the company said in a statement, as the broader construction sector begins to regain momentum after a prolonged slump.

However, Tokyo Cement noted that the market dynamics have shifted with intensified competition. The entry of a new local grinding operator and multiple cement importers, capitalising on the relaxed import restrictions, have added pressure to an already saturated market, it said.

Still, Tokyo Ceme...