The Union Budget made little changes to the tax structure and cement was no exception. The increased allocation to rural low-cost housing under Pradhan Mantri Awaas Yojana - Gramin scheme is likely to drive a 2 per cent increase in cement demand. There was also no mention of reduction in excise duties.
After recognising a massive gap of housing in India, the Union Government had announced 'Housing for All' by 2022 in July 2015 to achieve the staggering target of bridging a gap of more 1.9 crore houses. 96 per cent out of these are required for the lower income groups (LIG) and economically weaker sections (EWS) groups.