Real Estate Set to Surge after GST Cut on Cement, Construction Materials

Dharmender Tuteja, CFO, Dalmia Bharat Ltd.,

“The reduction of GST rates for goods and services of mass consumption and particularly on Cement from 28 percent to 18 percent is a very positive step, both for consumers and industry. It will set in motion a virtuous cycle of creating higher purchasing power in the hands of wider cross section of population leading to higher consumption of goods & services and GDP growth in the economy leading to higher demand for cement also. Reduced prices of cement and higher purchasing power specially increase the affordability of housing for middle- & lower-income groups spurring the demand for cement. Reduced prices also improve affordability of premium categories of cement leading to likely shift of demand towards these categories.  Dalmia Bharat welcomes this move and will meet the expected rise and shift in cement demand responsibly and sustainably.”

Sandeep Chhillar, Founder & Chairman, Landmark Group, said, “The real estate market stands to benefit from the recent GST simplification, and the relief will surely reach buyers. Developers will certainly see healthier margins from lower input taxes. They now have greater room to maintain world-class standards at more competitive costs. With the festive season ahead, when the demand is at its peak, we see this as a chance to convert tax reform into consumer confidence. This balanced benefit across segments makes the reform highly impactful for the sector’s growth story.”

Salil Kumar, Director – Marketing & Business Management, CRC Group, said, “Reducing GST on construction materials is a reform that resonates with both domestic and global stakeholders. For developers, it lowers input costs; for buyers, it signals affordability; and for investors, it demonstrates policy stability and responsiveness. Commercial assets like offices, malls, and hospitality will see improved viability, while residential projects become more competitive in pricing. This balance strengthens India’s attractiveness as a safe, high-growth real estate market, building confidence across the board, from local communities to global capital providers.”

Sanjay Sharma, Director, SKA Group, said, “The GST rate cut on cement and construction materials is a welcome move that will ease project costs and enable developers to pass on benefits to buyers. This will strengthen homebuyers’ purchasing power, improve affordability, and boost demand across housing segments, especially in the festive season.”

Rajjath Goel, MD, MRG Group, said, “ The new two-slab GST will simplify compliance, lower costs for consumers, and boost festive demand—helping us drive stronger sales from Diwali onwards. Rationalisation will also bring transparency, ease of doing business, and renewed confidence among homebuyers. This reform is a win-win for both businesses and the common man, setting the stage for sustained growth in the real estate sector."