Cement makers struggle despite robust growth of construction sector in GDP

The cement industry combined net sales declined to Rs 2.1 trillion in FY25 from Rs 2.22 trillion in the previous year

India’s cement industry is struggling to grow volumes and revenue despite a robust expansion in the country’s construction sector.

 

Combined revenue of cement makers -- both listed and unlisted, with FY25 figures available -- declined 6.9 per cent year-over-year, marking a sharp reversal from 8.7 per cent growth in the previous year. It was the first annual revenue contraction in this industry in two decades.

 

By contrast, the construction sector, based on gross domestic product (GDP) estimates, expanded 9.4 per cent in FY25 at current prices, slightly down from 10.6 per cent growth a year earlier, according to Reserve Bank