Jan. 3 (Bloomberg) -- India's Burnpur Cement Ltd. more than doubled on the first day of trading on the Bombay Stock Exchange as increased spending on roads, ports, bridges and other infrastructure lifts demand for the building material.

The shares added 20.15 rupees, or 168 percent, to 32.15 rupees at 10:46 a.m. local time in Mumbai, after rising to as much as 33.5 rupees earlier. The Burdwan, West Bengal-based company sold shares at 12 rupees apiece last month.

Demand for cement, along with other building materials, is rising as Prime Minister Manmohan Singh's government embarks on a $500 billion infrastructure-building program over five years to sustain economic growth. Burnpur plans to use the funds to build an 800 tons-a-day plant in the eastern Indian state of Jharkhand.

``Cement stocks are rising as demand outstrips supply substantially,'' R.K. Gupta, who manages the equivalent of $100 million at Credit Capital Asset Management Ltd., said in a telephone interview in New Delhi. ``Cement is in huge demand due to the increased infrastructure and housing activities in the country.''

Indian companies completed record share sales last year as the world's second-fastest pace of economic growth lured investors to stocks. Sales of cement increased every month for the past year.

India's cement market, the second-largest in the world, grew at an average rate of 9 percent in the past three years, according to Cimpor-Cimentos do Portugal SGPS SA, Portugal's biggest cement maker, which bought a local cement maker from Grasim Industries Ltd.

To contact the reporter on this story: Gautam Chakravorthy in Mumbai at chakravorthy@bloomberg.net.

Last Updated: January 3, 2008 00:30 EST