The construction cost of real estate projects is likely to rise 3-5 per cent this calendar year on higher prices of inputs, including labour, according to JLL India.
Real estate consultant JLL on Tuesday released ‘Construction Cost Guide, India – 2026’, which estimated that the construction costs are projected to rise 3-5 per cent across all asset classes in 2026.
In 2025, material costs presented a mixed picture with divergent trends across categories.
“Cement, steel and diesel prices showed a mild decrease of 1-2 per cent, 3-4 per cent and 5-6 per cent, while aluminium and copper costs experienced more significant increases of 8-9 per cent and 9-10 per cent respectively, driven by global demand pressures and supply chain dynamics,” JLL said.
Labour costs increased 5-6 per cent across all categories, driven by skilled labour shortages and infrastructure demand.
The consultant noted that the government’s GST 2.0 initiative delivered a critical 10 per cent tax relief on cement, …​The construction cost of real estate projects is likely to rise 3-5 per cent this calendar year on higher prices of inputs, including labour, according to JLL India.
Real estate consultant JLL on Tuesday released ‘Construction Cost Guide, India – 2026’, which estimated that the construction costs are projected to rise 3-5 per cent across all asset classes in 2026.
In 2025, material costs presented a mixed picture with divergent trends across categories.
“Cement, steel and diesel prices showed a mild decrease of 1-2 per cent, 3-4 per cent and 5-6 per cent, while aluminium and copper costs experienced more significant increases of 8-9 per cent and 9-10 per cent respectively, driven by global demand pressures and supply chain dynamics,” JLL said.
Labour costs increased 5-6 per cent across all categories, driven by skilled labour shortages and infrastructure demand.
The consultant noted that the government’s GST 2.0 initiative delivered a critical 10 per cent tax relief on cement, … ​Latest News [ SOBAN NEWS: International and National ]
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