GST Rate Cut Spurs Cement Industry Growth in India

The Goods and Services Tax (GST) on cement has been reduced from 28% to 18%, a move celebrated by industry experts who anticipate a subsequent slump in cement prices by Rs 25-30 per 50 kg bag.

Neeraj Akhoury, President of the Cement Manufacturers' Association, stated that this adjustment corrects a historic imbalance and aligns cement with other essential construction materials like steel. The change is expected to increase competitiveness and lower construction costs, particularly beneficial for the real estate sector.

Adani Cement CEO Vinod Bahety hailed it as a strategic reform beyond mere tax rationalisation. He emphasized faster infrastructure development, enhanced industrial growth, and greater accessibility to housing, particularly for middle- and lower-income groups. This policy heralds a significant stride towards fortifying the nation's infrastructure backbone.

(With inputs from agencies.)