List Of 2022 Cement Prices In India

India’s recovering real estate market has suffered yet another setback as a result of the ongoing increase in the cost of raw materials like steel and cement. Numerous local and global influences have influenced the growth. Analysis of the causes, effects, and potential futures of India’s rising cement prices. The inexpensive and middle-income residential estate categories have been significantly impacted by India’s rising cement prices. Although the price has varied, the general tendency has been upward. In India, the cumulative increase in cement prices since the epidemic lockdowns is currently between 60 and 70 percent cement prices in India.

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Cement cost about Rs 200 per 50 kg bag prior to the epidemic, but now costs about Rs 350 for the same amount. The conflict between Russia and Ukraine, the lack of coal, and the depreciating value of the rupee are the three main causes of the rising cost.

  • Cement manufacturers are already importing Venezuelan pet coke, an expensive but effective coal alternative, due to the Russia-Ukraine issue. Pet coke is being imported in significant quantities by Indian businesses from Venezuela for use in the power sector.
  • India is experiencing a severe coal scarcity, which is a major factor in the country’s rising cement prices. About 25 tonnes of coal are needed to produce 100 tonnes of cement, which accounts for 20% of the cement’s price. Consequently, the price of cement has been directly impacted by the pricey import of coal or pet coke.
  • In 2022, the value of the Indian rupee fell by as much as 5% compared to the US dollar. As a result, cement producers have to dig deep into their budgets to pay for imports from all over the world.

List of 2022 cement prices in India

Price list for cement in India in 2022

The most typical type of cement used in real estate activities is called Ordinary Portland Cement (OPC). Three grades of this cement are available on the Indian market: Grade 33 (IS:269), Grade 43 (IS:8112), and Grade 53. (IS:12269).

In Grade 33, M20 Grade Concrete is utilised, which is necessary for plastering. Grade 43 is needed for precast, flooring, and plastering. A higher concrete grade, grade 53, is utilised to build multi-story structures, roadways, and bridges.

The cost of Grade 42 OPC cement in India is listed below.

Cement Brand

Price per 50 kg bag

UltraTech Cement

Rs 330

Ambuja Cement

Rs 330

ACC Cement

Rs 375

Birla Cement

Rs 375

JK Laxmi Cement

Rs 390

Dalmia Cement

Rs 410

Jaypee Cement

Rs 390

Shree Cement

Rs 350

Banger Cement

Rs 380

Coromandel Cement

Rs 370

Priya Cement

Rs 270

Ramco Cement

Rs 410

Hathi Cement

Rs 385

Sanghi Cement

Rs 365


Effect of rising cement prices in India

In the Year on Year (YoY) analysis, cement consumption in India has continuously increased. According to Statista, there was an increase in cement use of almost 30 million metric tonnes in FY 2022 compared to FY 2021. Additionally, an increase from 328 million metric tonnes to 379 million metric tonnes may be seen when comparing the pre-COVID period to the current cement demand. The increasing demand for real estate has made it difficult to maintain a balance between the supply and demand for homes due to the rising prices of raw materials.

The current state of the building business is unusual. Market leaders are working at 65 to 75 percent capacity, despite the fact that volumes have climbed in recent quarters. This has been a significant role in the underwhelming financial performance of businesses over the past two to three quarters. In addition to causing project delays, India’s rising cement prices have boosted building costs overall by about 30 to 40 percent.


The viewpoint of the developer

The government has been informed by the Confederation of Real Estate Developers’ Associations of India (CREDAI) that there may be a delay in building due to the sharp increase in the cost of raw materials. A decision like that might put even more pressure on already-delayed deadlines.

CREDAI reports that the price increase has compelled developers to put off the procurement of raw materials while they wait for the market to settle. As a result, delivery of ongoing projects may be delayed. Delivering projects on time and within budget are difficult for builders. In addition to a significant increase in the cost of steel and cement, construction costs have climbed by almost 35%.

The impact on the cheap and mid-segment real estate markets is due to the developers’ decision to start shifting the cost to end users in an effort to balance the situation.


A rise in the cost of real estate

The top eight cities in India have seen a 3–7% increase in property values, according to reports from Australia’s REA Group. The price of real estate has increased as a result of rising raw material costs. The following information is suggested by the report on India’s upscale housing markets:

  • The real estate markets in Hyderabad and Ahmedabad experienced the biggest growth in 2021, at 7% apiece.
  • Bangalore had a 6% increase in housing costs, Mumbai saw a 4% increase, and Pune saw a 3% increase.
  • The price of real estate increased by 5% in Chennai, Kolkata, and Delhi NCR.

List of 2022 cement prices in India

Effect on infrastructure development projects

The real estate industry as well as government-funded infrastructure projects like highways and railroads would be impacted by the dramatic increase in raw material prices, which also includes cement.

Officials from the Ministries of Housing and Urban Affairs and Road Transport & Highways claim that contractors are revising project costs as a result of pricing increases.

Experts estimate that new contracts could cost 15–25% higher. Input costs have increased by 25–30% as a result of retail inflation reaching an eight-year high of 7.79 percent in April 2022 due to the conflict between Ukraine and Russia.

Realtors are hesitant to sign new agreements. The housing & infrastructure development industries are under a lot of strain because most are operating on razor-thin margins.


Government initiatives to lighten the load

To lower the overall cost of building, the Central Government disclosed a number of price reductions on various raw materials. The impact of the Russia-Ukraine crisis is anticipated to be lessened by duty reductions to lower costs for steel, iron, plastic, and coal.

A decrease in the customs tax on intermediates & raw materials, as well as a sharp reduction in the excise duty on fuel by Rs 8 per litre & diesel by Rs 6 per litre, are all expected to mitigate the impact of rising cement prices. Industry groups like NAREDCO & CREDAI have applauded the Center’s efforts to lower the cost of steel and cement. To solve the issue, though, more steps in that direction are needed.



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