Nomura observes a ₹5 per bag month-on-month increase in pan-India cement prices for December, driven by strong hikes in Eastern and Northern regions (₹16 and ₹13 per bag, respectively). However, prices remained flat in Southern and Western regions and declined by ₹2 per bag in the Central region.
While the price hike offers short-term relief, Nomura highlights persistent demand concerns, especially in rural areas. The brokerage expects cement producers to focus on operational efficiencies to navigate these challenges.
India’s infrastructure push has led to a pickup in cement demand from government projects. However, private sector demand remains subdued, particularly in real estate, which could weigh on future price sustainability.
