Iran-Israel conflict disrupts India's cement and steel lifelines
India's steel and cement industries are feeling the squeeze as the US-Israel-Iran conflict disrupts key shipping routes.
Disruption in the Strait of Hormuz has impacted limestone shipments from the UAE—a mineral crucial for making steel—leaving factories scrambling for alternatives.
Companies are now looking for alternatives
Limestone flux imports grew 13.98% in 2024-25, with major buyers including Tata Steel and JSW Steel.
But with insurers pulling out, companies now have to hunt for pricier limestone from places like Oman or Malaysia.
Cement makers aren't spared either: gypsum import costs are up over 8%, and fuel (petcoke) prices have shot up 11% just this month.
Many companies are digging into their inventories while testing substitutes like fly ash to keep production going.
Infrastructure push may hit roadblocks
With India planning massive infrastructure growth—think new roads, bridges, and buildings—the demand for steel and cement is only set to rise.
But supply risks are higher than ever, so what happens next could affect everything from job sites to everyday prices.