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Cement Prices May Hike From April: Crisil Report

Cement companies have indicated to increase by Rs 40-50 per sack of cement from April across the country

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The price of cement is likely to increase further due to the rise in the prices of raw materials amid increasing demand in the country and the world. The price of cement may increase in the month of April. CRISIL has expressed apprehension about this in its report. The report said that the manufacturers have started passing the burden of cost escalation due to the Russia-Ukraine war to the customers.

CRISIL estimates that the price of cement in the domestic market may increase by Rs 25-50 per bag this month. It has been said in the report that during the last 12 months, the price of cement has increased to Rs 390 a bag. Manufacturers have now started passing the burden of cost escalation on to the customers. Due to this, cement may become more expensive by Rs 25-50 per bag.

At the same time, it has been told in media reports quoting dealers that the price of cement in South and Central India has already increased by Rs 15 to 20 per bag. Whereas, in the eastern, northern and western regions, the price of cement has increased by Rs 5 to 10 per bag.

Cement companies have also indicated to increase by Rs 40-50 per sack of cement from April across the country.

At the same time, H Gandhi, director of CRISIL Research, says that in the first half of the financial year 2021-22, the demand for cement grew by 20 per cent on an annual basis. But in the second half, due to reasons like unseasonal rains, non-availability of labor, there was a reduction.

He said that in the financial year 2022-23, the cement quantity is likely to increase by 5-7 per cent. The reason for this is the emphasis on affordable houses in small towns with basic infrastructure. However, due to increase in construction cost, there will be some restraint on the uptick in demand.


(Input From Agencies)


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crisil cement production Cement price hike