India real estate faces margin squeeze as oil prices surge
Brent crude oil prices surged past $100, impacting India's real estate sector with construction costs rising 10-15%. Aluminum and steel prices have also reached multi-year highs, further squeezing developers' margins.
pre-market1 source ↓written by the desknot a recommendation
- a barrel
- $100
- on 23 Mar
- $102.61
- month-on-month
- 44.99%
- due to higher
- 10-15%
- per tonne
- $3,000
Geopolitical tensions have pushed Brent crude oil prices past $100 a barrel, reaching $102.61 on 23 Mar 2026. This surge, up 44.99% month-on-month, is significantly impacting India's real estate sector as construction costs rise by 10-15% due to higher prices for materials like aluminum and cement.
Developers are now weighing cost hikes against project budgets, with aluminum prices soaring above $3,000 per tonne and steel prices at a 26-month high of $1,070.01 USD/T. The implications for the sector could be substantial as these costs continue to escalate.
Not investment advice. For informational purposes only.