Synopsis
Cement prices are expected to hold steady in July, with the monsoon and sluggish demand dampening prospects for significant hikes. While June saw a slight uptick due to delayed rains and quarter-end sales, dealers anticipate continued pricing pressure. Efforts to raise prices are likely aimed at defending current levels rather than substantial increases, as construction activity remains subdued.
Reuters Stacked cement sacks of cement New Delhi: Cement prices are expected to remain largely flat in July as the monsoon season and weak underlying demand continue to weigh on the sector, according to a report by Centrum.
The report said demand during the first quarter of FY27 remained range-bound and below expectations, with dealers across markets pointing to subdued construction activity, labour shortages, elections, heatwaves and slower execution of government projects as the key reasons behind the weakness.
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According to the report, some recovery was witnessed in June due to the delayed onset of the monsoon and quarter-end volume push. However, dealers do not expect any meaningful increase in cement prices during July.
“Dealers across most markets do not expect any meaningful price hikes in July, as the monsoon and weak underlying demand are likely to keep prices under pressure,” the report said.
Centrum noted that while some markets may witness attempts to raise prices, dealers believe such efforts are primarily aimed at protecting existing price levels rather than pushing through significant increases.
The report highlighted that the sharp corr
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