Cement prices set to rise with 7-8% volume growth expected in H2 FY26

Cement prices in the country are expected to see a strong revival in the second half of FY26, with volumes likely to register a growth of 7 to 8 per cent, according to a report by Systematix Research.

- TBG NETWORK

The report said that despite the near-term seasonal slowdown, the cement sector is set for a recovery in the latter half of the year. This will be driven by strong demand from infrastructure projects and urban housing, lower input costs, and a growing focus on green power. It stated, "As most of the consolidation is over, we foresee a strong revival in prices and a 7-8 per cent volume growth for H2FY26".

The report mentioned that in August 2025, cement prices remained flat compared to the previous month but were stronger on a year-on-year basis. The monsoon season slowed down construction activity, particularly in rural areas and infrastructure projects, leading to weaker offtake and limiting companies' ability to raise or sustain prices.