India’s cement industry is expected to grow steadily, and big companies are likely to keep buying smaller ones, according to Moody’s Ratings. These big companies want to expand and stay competitive. Over the past five years, the top 10 cement companies have bought around 140 million tonnes of yearly production capacity, spending Rs 89,000 crore.

This buying trend will likely continue, with major players like UltraTech and Ambuja Cement leading the way. They are especially looking to buy smaller companies in South India, where there are many small firms and over 200 million tonnes of capacity. The North and East have about 150 million tonnes each.

Cement demand is expected to grow 6–7% every year until 2030 because of rising housing and infrastructure needs. The industry plans to increase capacity by one-third in the next five years. UltraTech and Ambuja will add 30% of this new capacity by 2028, while Shree Cement and Dalmia Bharat will add another 25%.

Even though there are some risks like relying on imported fuel and taxes on mining, the cement sector is expected to stay strong thanks to high demand and more companies joining together.