Cement production volumes increased by 13.1% year-on-year (YoY) in July 2026 to 42.3 million metric tonnes (MT) and by 9.9% in 4M FY2027 to 172.6 million MT. In FY2026, volumes were 8.6% higher than FY2025. ICRA expects cement volume growth to moderate to 6-7% in FY2027 on a higher base (especially in H2 FY2026) as it remains exposed to the downside risks with GDP growth anticipated to be softer than the earlier estimates.

Average domestic cement prices moderated by ~2% in July 2026 to Rs. 345/bag on a month-on-month (MoM) basis. While in 4M FY2027, prices moderated by ~2% YoY to ~Rs. 350/bag, they were up in Q1 FY2027 by ~4% QoQ. In FY2026, prices had increased by 2% to Rs. 345/bag YoY.