The Indian cement market has seen significant pricing movements in June 2025, led by a substantial hike in South India, according to a cement dealer check by brokerage firm Nomura. While other regions witnessed mild moderation or flat trends, the southern market has recorded a sharp increase, shaping the pan-India average cement price.
As of early June, the pan-India average trade price has risen by ₹2 per bag, currently at ₹358 per bag.
This hike is largely driven by a ₹19 per bag increase in South India, particularly following mid-May hikes in Tamil Nadu and Kerala.
Conversely, prices in Central, Western, and Southern regions outside the primary spike areas have moderated slightly by ₹3, ₹5, and ₹2 per bag respectively.
Dealers across regions warn that the early arrival of the monsoon could suppress demand through June. Historically, monsoon months bring a slowdown in construction activities, thereby impacting cement consumption.
Regional Cement Price Trends – June 2025
Eastern India
- Minor price corrections of ₹3 to ₹5 per bag were noted in Kolkata and Bihar.
- Despite the correction, month-on-month demand improved in May.
- No further price hikes are expected by dealers in June, signalling a period of stability.
Northern India
- Trade prices remain flat, with companies implementing token hikes of ₹2 to ₹4 per bag just to defend price levels.
- Demand in Rajasthan was up 15% Month-on-month in May.
- Dealers anticipate steady prices and consistent demand through June.
Western India
- Average prices declined by ₹5 per bag in May.
- Dealers foresee weak demand continuing in June, with prices expected to hold steady without further reductions.
Southern India
- The region experienced the most notable increase: ₹19 per bag MoM.
- However, this pricing strength was not backed by robust demand; dealers reported flat to slightly lower volumes in May.
- The outlook for June remains uncertain due to the monsoon, which could temper further pricing momentum.Early indicators suggest that average trade prices are up quarter-on-quarter (QoQ) across all regions except Central India. This aligns with Nomura’s observations that price discipline remains intact in most regions, although monsoon-related demand concerns are likely to dominate dealer expectations in the near term.
