The present investigation deals with the effect of jute as a natural fiber reinforcement on the setting and hydration behavior of cement. The addition of jute fiber in cement matrix increases the setting time and standard water consistency value. The hydration characteristics of fiber reinforced cement were investigated using a variety of analytical techniques including thermal, infrared spectroscopy, X-ray diffraction, and free lime estimation by titration. Through these analyses it was demonstrated that the hydration kinetics of cement is retarded with the increase in jute contents in cement matrix. A model has been proposed to explain the retarded hydration kinetics of jute fiber reinforced cement composites. The prolonged setting of these fiber reinforced cement composites would be beneficial for applications where the premixed cement aggregates are required to be transported from a distant place to the construction site.