Summary:

According to Systematix Research, the Indian cement sector is expected to see demand growth of 6 - 7.5% in FY26, driven by consolidation and robust infrastructure and housing development. After a slow start, FY25 ended with an 11% volume increase due to higher government investment and improved project execution. Capacity reached around 655 million tonnes, up 4.8% year-on-year. Price hikes of Rs. 5 - 10 per bag were attempted in May 2025, with mixed results due to early monsoons in the East and heatwaves in the South. Despite a Rs. 46 price increase, demand in the East fell, while demand in the South remained flat, delaying further price hikes. The North saw larger price increases, with the average price rising 1.6% month-on-month to Rs. 367 per bag.

Source: IBEF

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