The Indian cement industry is set to invest ?1.25 trillion in capital expenditures by FY27, as forecasted by CRISIL. This substantial investment underscores the sector?s robust growth outlook and anticipated rise in demand.
The planned capex is driven by several factors, including increasing infrastructure projects, urbanisation, and housing demands. Cement companies are gearing up to enhance their production capacities and operational efficiencies to meet the growing requirements of the construction and real estate sectors.
The investment will be channelled into expanding existing plants, setting up new production facilities, and upgrading technology to improve sustainability and reduce environmental impact. This strategic spending aims to bolster the sector?s ability to handle rising demand and navigate market challenges.
CRISIL?s report highlights that the sector's financial health and long-term growth potential remain strong, with these investments expected to support increased production capabilities and contribute to the overall development of India?s infrastructure.