Cement sector traits: Quantity rises 9% in Might, common bag worth up 8%, business output seen at 480 MT in FY26

India’s cement business registered a 9% year-on-year development in quantity in Might 2025, reaching 39.6 million metric tonnes (MT), whereas common cement costs rose 8% to Rs 360 per 50-kg bag, in line with a report by ranking company ICRA.The report famous that cement costs within the first two months of FY26 averaged Rs 360 per bag, up 7% over the identical interval final yr. This comes after a 7% decline in FY25, the place common costs had fallen to Rs 340 per bag.Quantity development additionally remained regular. In April and Might 2025, cumulative cement dispatches rose 8% YoY to 78.7 million MT, up from 6.3% development in FY25 when annual dispatches stood at 453 million MT, PTI reported.“ICRA expects cement volumes to develop by 6-7% YoY to 480-485 million MT in FY26, supported by sustained demand from housing and infrastructure sectors,” the report said.Working margins for ICRA’s pattern set of corporations are additionally anticipated to enhance by 80–150 foundation factors to 16.3–17.0% in FY26, largely pushed by worth hikes and a beneficial price surroundings. Coal and petcoke costs remained decrease in June, and diesel costs held regular.“Coal costs in June 2025 had been down 19% YoY to $100/MT, whereas petcoke costs dropped 2% YoY to Rs 10,880/MT. Diesel costs remained unchanged at Rs 88/litre,” the report stated.In Q1 FY26, coal costs had been 6% decrease YoY, petcoke was up 1%, and diesel continued to remain flat.In response to the Cement Producers’ Affiliation (CMA), India’s whole put in cement capability stands at 690 MT.