
Summary: In a significant development for the construction sector, UltraTech Cement, India’s largest cement manufacturer, has lowered its cement prices. The price reduction, which became effective on September 22, 2025, follows a recent GST Council decision that reduced the tax rate on cement from 28% to 18%. UltraTech has stated that it will pass on the full benefit of this tax reduction to its customers and dealers.
Summary: In a significant development for the construction sector, UltraTech Cement, India's largest cement manufacturer, has lowered its cement prices. The price reduction, which became effective on September 22, 2025, follows a recent GST Council decision that reduced the tax rate on cement from 28% to 18%. UltraTech has stated that it will pass on the full benefit of this tax reduction to its customers and dealers. The price of various cement types has been reduced by up to Rs.50 per bag. For instance, PPC Cement is now priced at Rs.500, down from Rs.550, while PCC Premium LPP has decreased from Rs.600 to Rs.550. The company has instructed its dealers to sell stock at the new rates, and any old stock shipped before the new rates will have both the old and new MRPs on the bags. This move is expected to provide substantial relief to individuals and businesses involved in home construction and other building projects, making the process more affordable. The GST Council's broader decision also consolidated GST slabs to 5% and 18%, while increasing the tax on luxury goods to 40%. Let's explain in simple terms what has happened and what benefits you will get from it.
GST Cut Makes Cement Cheaper
Until now, cement was subject to a 28% GST, but now it has been reduced to 18%. This simply means that the final price of cement has now decreased.
UltraTech Cement stated that the company will pass on the full benefit of this GST cut to its dealers and customers. This means that the tax savings the company has made are directly benefiting its customers.
When did the new price come into effect?
UltraTech stated in an official circular that the new rates have come into effect from September 22, 2025.
The company has instructed all dealers to sell cement at the new rates.
If any stock was shipped from the plant by September 21, it will have both the old and new MRP written on it. However, as soon as the old stock is exhausted, only the stock with the new rate will be available in the market.
What is the new price of cement?
UltraTech has reduced the price of different cement types by up to ₹50.
Similar price cuts have been made on other cement types as well. This means that building a house or carrying out construction work has now become cheaper than before.
GST Council's Major Decision
On September 3, 2025, a major decision was made at the GST Council meeting. Now, only two GST slabs remain:
5%
18%
Tax on luxury and sin products (such as AC cars and costly items) has been increased to 40%.
With this new system, not only cement but also many other items like TVs, clothes, shoes, and boots have become cheaper. However, customers are waiting for new stock to arrive so they can get their goods at the new rates.
Major Relief for Construction
The GST cut and reduction in cement rates will directly benefit those building homes, shops, or building structures. This is a perfect opportunity for those looking to build their own home.
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Conclusion
The price cut by UltraTech Cement is a result of the GST reduction. The new rates came into effect on September 22, and customers can start taking advantage of them.
If you are also involved in construction, real estate, or home building, now is the perfect time to move forward.