New Delhi: With infrastructure development in the country on an active track, there has been a huge jump in cement consumption. In the next financial year (2023-24), consumption is expected to increase by 7-9 percent to 425 million tonnes. This is the third consecutive year of growth in consumption.
In the first 10 months of the current year (2022-23), there is an 11 percent increase in consumption. The central government’s push for infrastructure development, the recovery of the real estate sector and the growth of rural housing schemes are believed to have contributed to the increase in cement consumption. The project costs of the Union Ministry of Road Development and National Highways Authority have increased from 14 percent to 25 percent in the current year.
The Pradhan Mantri Awas Yojana (Grameen) scheme has grown by 12 percent and cement sales have also benefited. In the 2021-22 and 2022-23 economic years, there is a growth of 68 million tonnes in consumption. Expected growth for 2023-24 is 30-35 million tonnes. The average annual growth in demand is 30 per cent after 2020-21.