Buying house to become costlier? Here's how cement price rise will affect the real estate market in India
₹10-15 per bag. In North India, the prices of 50 kg bags will see a hike of ₹10-15, while the Western region may witness an increase of ₹20 per bag. The central and eastern regions are expected to face a more substantial rise, with prices potentially rising by ₹30-40 per bag.
This surge in cement prices has raised widespread concerns within the real estate sector, presenting a significant challenge for future market dynamics. Experts say that the rise in cement prices will directly impact the cost structure for developers and will alter the pricing landscape for consumers alike. “The recent surge in cement prices has sparked widespread concerns within the real estate sector.
This unforeseen escalation not only burdens ongoing projects but also threatens to delay proposed developments. With construction costs on the rise, developers find themselves under significant pressure. The increased cost of housing projects directly impacts affordability, posing a challenge to the government's ambitious 'Housing for All' initiative," said G Hari Babu, National President of NAREDCO.
Over the last five months, the cement market has entered a corrective phase, resulting in a steady decrease in prices. Notably, average prices for the March quarter have seen a significant drop of 5-6 percent compared to the preceding December quarter. The most pronounced decreases in prices have been witnessed in eastern and southern regions of India.
“The recent escalation in cement prices presents a big challenge. Not only do our ongoing projects face the risk of cost overruns and delays, but we're worried about passing on these additional expenses to our valued residents. As stewards of senior living communities, we're committed to finding solutions
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