Construction Sector Gains Momentum with Increased Steel and Cement Demand

The Reserve Bank of India (RBI) reports significant growth in the construction sector, with steel consumption rising by 9% year-on-year in October 2024. Cement production also surged, registering a 7.1% increase in September 2024, signaling heightened construction activity.

Economic activity in the services sector showed robust growth in September and October 2024, supported by the festive season and the retreat of the South West Monsoon. Logistics activity expanded, evidenced by increased e-way bill generation and toll collections.

Despite these positive trends, port traffic contracted during October 2024, primarily due to a decline in the handling of petroleum, oil, and lubricants.

The uptick in construction activity highlights resilience in the sector, as infrastructure projects and real estate developments gain traction. The rise in cement and steel demand underscores the ongoing momentum in India’s growth-oriented sectors.