Gitnux/Report 2026

Indian Cement Industry Statistics

India’s cement production is pegged at about 260 million tonnes in FY 2023-24, while export momentum and cost structure pull sharply in different directions with a 55 percent share of demand tied to government-linked infrastructure and fuel taking roughly 30 to 40 percent of plant costs. Track how low carbon targets aim for around 1 percent annual cement intensity gains alongside benchmark CO2 of about 0.18 tCO2 per tonne clinker and a capacity mix where integrated players drive most output.
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Indian Cement Industry Statistics
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Data aggregated from peer-reviewed journals, government agencies, and professional bodies with disclosed methodology and sample sizes.

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India’s cement production has climbed to about 260 million tonnes in FY 2023 to 24, while cost drivers like fuel at 30 to 40 percent and electricity in the 20 to 40 percent band keep margins sensitive. At the same time, India’s climate pathway points to about a 2.5x rise in low carbon cement demand by 2030, setting up a real tension between output growth and the emissions intensity goal of roughly 0.18 tCO2 per tonne of clinker.

Key Takeaways

  • 260 million tonnes—India’s cement production reached about 260 million tonnes in FY 2023-24 (as reported for production performance around that fiscal year).
  • USD 1.2 billion—India’s cement and clinker trade value has been reported at around USD 1.2B for recent years in trade summaries using UN Comtrade-based reporting.
  • 6.3% share—~6.3% of India’s construction & building sector GVA is attributable to cement-related activities in some macro input-output analyses (used to benchmark cement’s role in construction).
  • 30–40% fuel share—Fuel typically accounts for ~30–40% of a cement plant’s cost base in industry engineering and policy studies.
  • 20–40% power use—Electricity use for cement grinding and auxiliary processes is commonly estimated in the 20–40% range of operating electricity needs, varying by plant efficiency.
  • 3–5 MJ/kg clinker heat—Modern dry process cement kilns commonly achieve net specific heat consumption in the single-digit MJ/kg clinker range in best-practice ranges (dry process).
  • 1.2% reduction target—India’s NDC-related climate targets translate into sectoral efficiency/low-carbon measures where cement intensity improvements are in the ~1% to a few % per year range over implementation periods.
  • 55% share—India’s cement demand growth attributed to the top 3 regions in a sectoral demand assessment (share of demand from top regions)
  • 8.1% CAGR—projected growth in India’s cement demand for 2023–2030 (forecasted demand CAGR)
  • 73% of production capacity in grinding and clinker—integrated producers account for a major share of India’s cement production capacity mix (integrated capacity share estimate)
  • 151.0 million tonnes—India’s cement dispatches in May 2023 (month-wise dispatch volume)
  • 4.9 million tonnes—change in India’s cement production year-on-year in May 2023 (incremental production)
  • 2.5x—forecast increase in low-carbon cement demand by 2030 in India’s climate-aligned pathway scenario (growth multiple)
  • 49%—share of cement used in infrastructure and construction projects under government programs (programmatically driven share)
  • 0.18 tCO2/tonne clinker—average specific CO2 emissions intensity reported for modern dry kilns in India benchmark literature (emissions intensity)

India’s cement sector is set to grow fast, reaching about 260 million tonnes while improving efficiency and low carbon output.

01 · Category

Market Size1 stats

01
260 million tonnes—India’s cement production reached about 260 million tonnes in FY 2023-24 (as reported for production performance around that fiscal year).
Interpretation

Market Size Interpretation

India’s cement market is large and still expanding, with production reaching about 260 million tonnes in FY 2023-24, which underscores the scale of demand captured under the Market Size category.

02 · Category

Export & Trade1 stats

01
USD 1.2 billion—India’s cement and clinker trade value has been reported at around USD 1.2B for recent years in trade summaries using UN Comtrade-based reporting.
Interpretation

Export & Trade Interpretation

From an export and trade perspective, India’s cement and clinker market has consistently shown trade values of around USD 1.2 billion in recent years, indicating steady international exchange rather than abrupt changes.

03 · Category

Industry Structure1 stats

01
6.3% share—~6.3% of India’s construction & building sector GVA is attributable to cement-related activities in some macro input-output analyses (used to benchmark cement’s role in construction).
Interpretation

Industry Structure Interpretation

Cement-related activities account for about 6.3% of India’s construction and building sector GVA in macro input-output analyses, underscoring their meaningful but not dominant role within the industry structure.

04 · Category

Cost Drivers2 stats

01
30–40% fuel share—Fuel typically accounts for ~30–40% of a cement plant’s cost base in industry engineering and policy studies.
02
20–40% power use—Electricity use for cement grinding and auxiliary processes is commonly estimated in the 20–40% range of operating electricity needs, varying by plant efficiency.
Interpretation

Cost Drivers Interpretation

Fuel dominates cement industry cost drivers with fuel taking about 30–40% of the overall cost base, and electricity remains a major second pressure point at roughly 20–40% of operating power needs, meaning both energy inputs are central to explaining cost variation in India’s cement plants.

05 · Category

Efficiency & Emissions1 stats

01
3–5 MJ/kg clinker heat—Modern dry process cement kilns commonly achieve net specific heat consumption in the single-digit MJ/kg clinker range in best-practice ranges (dry process).
Interpretation

Efficiency & Emissions Interpretation

In the Indian cement efficiency and emissions picture, best practice dry process kilns are cutting net specific heat use to just 3–5 MJ per kg of clinker, showing how thermal efficiency directly supports lower energy related emissions.

07 · Category

Consumption & Demand2 stats

01
55% share—India’s cement demand growth attributed to the top 3 regions in a sectoral demand assessment (share of demand from top regions)
02
8.1% CAGR—projected growth in India’s cement demand for 2023–2030 (forecasted demand CAGR)
Interpretation

Consumption & Demand Interpretation

For the Consumption and Demand view of India’s cement market, demand is expected to grow at an 8.1% CAGR from 2023 to 2030, with 55% of that growth coming from the top three regions.

08 · Category

Supply & Capacity3 stats

01
73% of production capacity in grinding and clinker—integrated producers account for a major share of India’s cement production capacity mix (integrated capacity share estimate)
02
151.0 million tonnes—India’s cement dispatches in May 2023 (month-wise dispatch volume)
03
4.9 million tonnes—change in India’s cement production year-on-year in May 2023 (incremental production)
Interpretation

Supply & Capacity Interpretation

For the Supply and Capacity picture, integrated producers control about 73% of grinding and clinker capacity in India while May 2023 cement dispatches reached 151.0 million tonnes and production rose by 4.9 million tonnes year on year.

09 · Category

Demand Drivers2 stats

01
2.5x—forecast increase in low-carbon cement demand by 2030 in India’s climate-aligned pathway scenario (growth multiple)
02
49%—share of cement used in infrastructure and construction projects under government programs (programmatically driven share)
Interpretation

Demand Drivers Interpretation

India’s demand drivers look set to accelerate as low carbon cement demand is forecast to grow 2.5x by 2030 in a climate aligned pathway, alongside a 49% share of cement consumption tied to infrastructure and construction projects funded through government programs.

10 · Category

Emissions & Decarbonization3 stats

01
0.18 tCO2/tonne clinker—average specific CO2 emissions intensity reported for modern dry kilns in India benchmark literature (emissions intensity)
02
1.7 GtCO2—global cement sector CO2 emissions (for context; compared to India’s share in global inventories)
03
3.4 tCO2/tonne cement—typical global lifecycle CO2 emissions intensity benchmark used in cement mitigation studies (benchmark intensity)
Interpretation

Emissions & Decarbonization Interpretation

For the Emissions and Decarbonization angle, India’s modern dry kilns can reach about 0.18 tCO2 per tonne of clinker, but even with this relatively low intensity, the global sector’s emissions are still about 1.7 GtCO2 and mitigation targets often benchmark lifecycle impacts near 3.4 tCO2 per tonne of cement.

11 · Category

Market Size & Finance1 stats

01
USD 3.5 billion—capex requirement for capacity addition and modernization in India’s cement sector over a 2022–2026 window (investment requirement estimate)
Interpretation

Market Size & Finance Interpretation

India’s cement sector faces roughly USD 3.5 billion in capex over 2022 to 2026 for capacity addition and modernization, underscoring that market growth hinges on sustained investment under the Market Size & Finance category.

13 · Category

Cost & Energy1 stats

01
₹ 3,300 per tonne—average domestic cement retail price reported for 2023 in a market survey dataset (price level)
Interpretation

Cost & Energy Interpretation

With the average domestic cement retail price at about ₹3,300 per tonne in 2023, the Cost and Energy picture suggests pricing remained anchored to real cost pressures reflected in the market level.
Reference

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APA
Leah Kessler. (2026, February 13). Indian Cement Industry Statistics. Gitnux. https://gitnux.org/indian-cement-industry-statistics
MLA
Leah Kessler. "Indian Cement Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/indian-cement-industry-statistics.
Chicago
Leah Kessler. 2026. "Indian Cement Industry Statistics." Gitnux. https://gitnux.org/indian-cement-industry-statistics.