In 4M FY2026, the volumes increased by 9% to 157.3 million MT on a YoY basis.

• Outlook: ICRA maintains a Stable outlook on the Indian cement sector.
• Cement volumes higher by 12% YoY in July 2025 at 37.5 million metric tonne (MT). In 4M FY2026, the volumes increased by 9% YoY to 157.3 million MT. ICRA expects cement volumes to grow by 6-7% YoY to 480-485 million MT in FY2026, backed by sustained demand from the housing and infrastructure sectors.

EXHIBIT 2: Yearly trend in cement volumes

Source: Office of Economic Advisor, ICRA Research; P: Projections

ICRA expects cement volumes to expand by 6-7% in FY2026, driven by a projected pick-up in demand from the housing and infrastructure sectors, following a growth of 6.3% in FY2025. Housing and infrastructure sectors generate nearly 89-91% of cement demand in the country.