CEMENTING GROWTH: OPPORTUNITIES AND CHALLENGES IN INDIA'S CEMENT SECTOR
- Credit Rating Agency in India
- Industry Report
- CEMENTING GROWTH: OPPORTUNITIES AND CHALLENGES IN INDIA'S CEMENT SECTOR
In 2022-23, the market size of India’s cement industry was 3.82 billion tonnes, and it is projected to reach 5.09 billion tonnes by 2028-29, reflecting a compound annual growth rate (CAGR) of 4.9 per cent during the period from 2024 to 2029. India holds over 8 per cent of the global installed capacity for cement production, with more than 98 per cent of this capacity owned by private entities, while the remaining share is held by the public sector.
The Indian cement industry has a total 341 cement manufacturing units in India, comprising 159 integrated large cement plants, 120 grinding units and 62 mini cement plants. As the Economic Survey of India 2023-24 stated that India has current annual installed capacity of the cement industry in India is about 622 million tonnes, with cement production of around 427 million tonnes in FY24. Most of the cement plants in India are in proximity to the raw material source. About 85 per cent of the cement industry is concentrated in the States of Rajasthan, Andhra Pradesh, Telangana, Karnataka, Madhya Pradesh, Gujarat, Tamil Nadu, Maharashtra, Uttar Pradesh, Chhattisgarh and West Bengal.