A vital and adaptable building material that is widely employed in contemporary construction projects is cement. It firmly keeps coarse particles like steel, sand, and gravel together.
Because of its extraordinary strength and longevity, cement is still an essential component of construction projects, even in the face of substitute building materials. Huge cement manufacturing is required even in the infrastructure sectors, which include roads, bridges, dams, and urban utilities.
The Indian cement industry, which is essential to the construction of infrastructure, has grown significantly in the last several years.
Cement Industry: Overview
With more than 7% of the world’s capacity, India is the second-largest manufacturer of cement in the world. The infrastructure, building, housing, transportation, and power generation industries are all greatly aided by the cement business. It actively participates in government programs including housing projects, the construction of concrete highways, the creation of smart cities, and the promotion of cleanliness.
Private enterprises oversee about 98% of cement manufacturing, with the public sector holding the remaining portion. About 70% of India’s total cement production is controlled by the top 20 businesses. The nation has an abundance of resources of high-quality limestone, which presents a tremendous opportunity for the cement industry to grow.
With an anticipated annual growth rate of 4.94% between 2023 and 2028, this industry is predicted to reach 4.83 billion tons. Furthermore, India produced 374.55 million tonnes of cement in FY23, a 6.83% rise from the previous year. In addition, it is projected that the industry would have a 7–8% increase in cement production in FY24, primarily due to investments in residential and infrastructure projects.
Best Cement Stocks in India 2024
This table lists the top cement stocks in India based on ratings from analysts. Because analysts carefully examine the stock market before assigning ratings, we have listed the stocks in accordance with these rankings.
| S.No. | Best Cement Stocks in India (as per analyst ratings) | BUY Analyst Rating (in %) |
| 1. | Dalmia Bharat | 68 |
| 2. | ACC | 66 |
| 3. | UltraTech Cement | 63 |
| 4. | JK Cement | 50 |
| 5. | Ambuja Cements | 43 |
Cement Stocks in 2024 as per Market Capitalisation
| S.No. | Best Cement Stocks in India (as per market capitalisation) |
| 1. | UltraTech Cement |
| 2. | Ambuja Cements |
| 3. | ACC |
| 4. | Dalmia Bharat |
| 5. | JK Cement |
Purchasing cement stocks in India necessitates giving several things considerable thought. The competitive industry in which cement businesses operate is impacted by changes in regulations, raw material costs, and economic cycles. Despite their apparent potential, cement stocks are subject to market and industry volatility that might affect their performance.
Thus, before considering an investment in cement stocks, careful research and keeping up with market trends are essential. Furthermore, making sure your investing plan is in line with your risk tolerance and financial objectives regularly requires reviewing it.
The Bottom Line
Acknowledging the potential of cement stocks is crucial when contemplating investing possibilities. These businesses are excellent options for long-term investment because they are essential to the development of infrastructure.
You may take advantage of the growth opportunities offered by the Indian cement business by keeping up with the latest developments and conducting in-depth research.