Cement Prices Set to Rise Nationwide in April, Despite Sluggish Demand Ahead of Elections

Cement companies are planning to increase prices starting this April. They’re looking at raising prices by about Rs 10-15 per bag, even though demand is a bit slow due to the upcoming elections.

In some parts of the country, especially in the south, the price hikes could be even higher. However, dealers think these hikes might not last long, and expect prices to go up by only Rs 10-20.

Cement prices have been going down for the past five months. Compared to last December, prices for the March quarter are 5-6% lower, especially in the east and south of India.

Even though more cement was sold from January to March, which is usually a strong time for sales, companies couldn’t increase prices.

Experts say that competition among big cement companies and lower costs have caused prices to drop.

By raising prices in April, cement companies might be able to make up for some of the losses from selling less cement. But it’s important to see if these price hikes will last. If demand stays low, companies might have to lower prices again.

Ravi Sodah, an analyst at Elara Securities, says that with the elections coming up, demand might slow down even more. So, cement companies might keep prices in check to protect their profits.

In southern India, prices might go up by Rs 30-50 per bag, while in central India, it might be Rs 15-20 per bag. In the north, prices could go up by Rs 10-15, and in the west, it could be Rs 20-25. In the east, prices might rise by about Rs 30 per bag.