According to a UBS report, the capacity in the Indian cement sector is expected to start in areas starting in the last quarter of 2025.
Area-wise, demand in the eastern market fell rapidly due to early rains, although prices remained stable at Rs 353 per bag. In the southern region, the prices increased by Rs 10 per bag despite the monsoon.
The report states that after falling rapidly in FY 25, prices will improve in FY26 and FY27.
Long -term long -term, the report states that prices will be strong due to low players (consolidation) in the industry.
The report said, “We remain creative on demand and expect volumes to grow 1.0–1.2x. The rate of increase in real GDP in the medium period. We see margin tailwind and expect costs to come down in the next two to three years.” Ratio, Given the trend of strong consolidation of the region, “reports. In August, cement prices were flat as compared to last month, but strong on year-on-year basis compared to the previous month.
The monsoon season slowed down construction activity, especially in rural areas and infrastructure projects, which limited the ability of weak offtakes and companies to increase or maintain prices.
According to data released by the Ministry of Commerce and Industry on 20 August, the same period last year increased cement production (weight: 5.37 percent) in the same period of last year by 11.7 percent. Its cumulative index increased by 8.9 percent from April to July 2025-26 in the relevant period of the previous year.
