Cement Prices Expects To Rise Until Mid-November

The cement prices are likely to continue rising until mid-November. The company will raise its prices from time to time as it did in the previous year. It will start from this week continuing till November with a hike of Rs. 10 to Rs. 20 per cement bag. The companies follow this trend after monsoon until the winter begins. The expectations are that the prices will see an upward move in the first half of the year starting already from second quarter. While it will fall in the second half of the year.

Why Are Cement Companies Raising Their Prices Post Monsoon?

Cement prices all over India will continue to rise till mid-November. The price of a single cement bag will increase by Rs. 10 to Rs. 20 per bag starting from this week. However, the previous year recorded the same trend with a rise in the prices by Rs. 30 per bag on average. The upcoming few months will only have a price hike. However, the second half of the year is most likely to have a fall in the prices. The ups and downs in the cement price continue during a financial year.

It fell by Rs. 3-4 per bag during the summer months this year highlighting a fall in May and June. The main reasons behind the fall in cement prices during the summers include the heatwave, climatic conditions, high rainfall, and elections in the beginning. Apart from that if we talk about the demand, it is also going to increase. As the rule of demand and supply says, an increase in demand increases the price and a decrease in demand decreases the price.

Thus, the cement demand is going to increase as the government is investing in a lot of activities related to infrastructure building. The industry is so big that it produces 24% of the cement demand. While Amravati is also going to be the capital of Andhra Pradesh leading to a lot of development at that place. There will be a lot of cement requirements in all these projects going on. The PM is also focusing on building 3 crores additional rural and urban houses under Pradhan Mantri Awas Yojna requiring a lot of cement for the construction.

As India is moving towards becoming a developed country, it needs more resources and infrastructure. Thus, the industry has a wide and never-ending scope, especially in the ongoing decade. Stay tuned for more information on our website.