Connect with us

Environment

Challenges Facing the Cement Industry

Published

on

Shares

The cement industry will have to gear up to meet fresh challenges in the future, such as upgrading its technologies for carbon capture and storage, says SAILESH MOHTA, PRESIDENT – MARKETING, WONDER CEMENT.

India is the second-largest cement producer in the world and accounts for 6.7 per cent of the world’s cement output. If you look at the statistics, cement production capacity is estimated to touch 550 million tonnes (MT) by FY20. Of the total capacity, 98 per cent lies with the private sector and the rest with the public sector.

While construction activities will keep driving demand, the Indian cement industry will need to control costs and continuously upgrade technology to stay globally competitive. The Indian cement industry has realised that strong business growth can be achieved by sustaining manufacturing in an ecofriendly manner.

There is a vital need for the cement industry to bring in new technologies and processes to achieve higher energy efficiency and to drive sustainability. In a due process of moving ahead to embrace green technologies, we should be aware of the pros and cons of greenhouse technology.

Cement Industry Analysis
Many years of industry experience have shown that the use of wastes as alternative fuels by cement plants is both ecologically and economically justified. Alternative fuel utilisation in the cement industry started in the 1980s. Starting in calciner lines, up to almost 100 per cent alternative fuel firing at the pre-calciner stage was very quickly achieved.

Energy costs and environmental concerns have encouraged cement companies worldwide to evaluate to what extent conventional fuels can be replaced by waste materials, such as waste oils, mixtures of non-recycled plastics and paper, used tires, biomass wastes, and even wastewater sludge. The clinker firing process is well-suited for various alternative fuels; the goal is to optimise process controls and alternative fuel consumption, while maintaining clinker product quality. The potential is enormous, since the global cement industry produces about 3.5 billion tonnes that consume nearly 350 million tonnes of coal-equivalent fossil and alternative fuels. This study has shown that several cement plants have replaced part of the fossil fuel used by alternative fuels, such as waste-recovered fuels.

The traditional fuels used in traditional kilns include coal, oil, petroleum coke, and natural gas. The substitution of fossil fuels by alternative fuels in the production of cement clinker is of great importance both for cement producers and for society, because it conserves fossil fuel reserves and, in the case of biogenic wastes, reduces greenhouse gas emissions. In addition, the use of alternative fuels can help to reduce the costs of cement production.

Cement Schematics
Cement entrepreneurs have to face many challenges while setting up new cement manu-facturing plants on greenfield sites. Emphasis on sustainable development is a new dimension to consider while designing the plant. The cement industry is committed to reducing the emission of Greenhouse Gasses (GHG) and to save limestone reserves and fossil fuels, while simultaneously maintaining the quality of the ambient air. All new cement plants are adopting green processes. This means they would be making blended/composite cement, using alternate fuels, using waste gases to co-generate power or to even make cement using renewable sources of power like wind and solar.

New dimension
Though not mandatory now, the industry is expected to monitor emissions of greenhouse gases. These stipulations are to be met by all proposed cement plants, green or gray. Since the cement industry is committed to the principle of sustainable development, it will willingly comply with these stipulations and do necessary planning in advance.

Green buildings
Norms have been developed for green buildings that make maximum use of sun and wind to reduce dependence on lighting and air- conditio-ning. Though not mandatory, adopting them would make the existing plants greener. The Bureau of Energy Efficiency has issued norms for lighting fixtures and cooling media to be used in refrigerators and air- conditioners. It would be best to keep these in mind right from the planning stage.

meeting these challenges
There are several real and tangible benefits of accepting the challenges and in greening the cement plants. GHG emissions can be reduced from ~0.76 t/t for OPC to 0.30 t/t for slag cement with Alternate Fuels (AF) and Waste Heat Recovery Systems (WHR). Substantial savings can be achieved by conserving reserves of limestone and fossil fuels. Capital costs of annual capacity can come down by 30 to 40 per cent even after allowing for additional costs for AF and WHR. Costs of production of naked cement excluding works also come down by 20 to 25 per cent in case of blended cements with AF and WHR.

Renewable energy
Power plants based on renewable sources such as wind and solar power will soon become an integral part of a new cement plant, making them greener as these sources of energy are totally free of GHG emissions. The necessary technology to meet these goals is now available and very reliable.

However, the main problem associated with these sources is that the generation of wind and solar power is not consistent. The capacity factor is also very low compared to that of thermal power plants. Secondly, it may not always be possible to locate wind or solar power plants close to a cement plant. The plant would have to manage several sources of electrical energy, grid, captive power plant, WHRS and power from renewable energy. A sound strategy must be in place to ensure continuity of power at optimum cost.

Future challenges
The cement industry will have to gear up to meet new challenges in the future, such as upgrading its technologies for carbon capture and storage. GHG emissions cannot be pulled down to the targeted levels merely by making blended cement and by using AF. There are technologies for separating CO2 from waste gases on the horizon. It could be used by other industries or it can also be used for making new cement substitutes such as those made by Calera Corporation.

Several cement substitutes like Calera, Novacem and Aether, are in various stages of development. All the new cement is green. The cement industry should be watchful and examine how these green products can be made in their existing production facilities.

Worldwide, the cement industry is facing growing challenges in conserving material and energy resources, as well as reducing CO2 emissions. Cement producers are striving to increase energy efficiency and the use of alternative raw materials and fuels. Therefore, the use of alternative fuels has already increased significantly, but the potential for further increases still exists. In a modern cement plant, 60 per cent of the CO2 emitted by a cement plant results from the calculations of limestone, 30 per cent from combustion of fuels in the kiln and 10 per cent from other downstream plant operations.

The main part of fuel consumption and consequently CO2 generation takes place in the calciner and clinker forming kiln. The utilisation of low-carbon content fuel with high hydrogen-to-carbon (H/C) ratio instead of conventional fossil fuels can remarkably diminish the rate of CO2 emissions in the process. In addition to producing a smaller quantity of CO2, the use of alternative fuels has been shown to improve refractory life and also reduce pressure drop in preheater tower.

The use of alternative fuels in cement plants also reduces emissions from landfills. Therefore, it has been estimated that the utilisation of this type of fuel will increase at the rate of 1 per cent per year worldwide.

Energy-efficiency improvements (use of energy-efficient equipment, process modifications, etc.), fuel switching to waste as alternative fuel and cement blending using industrial byproducts have helped decrease CO2 emissions associated with energy conversion.

About the author
Being one of the youngest Chartered Accountants in the country during his time, Sailesh Mohta had to wait for only six months to get his CA Membership. That did not stop him from scaling the heights he has reached today. With over 30 years of experience in the cement industry, his experience is not only immensely valuable, but also insightful.

Not only does he come with a strong academic background and extensive management experience, he also strongly believes in teamwork.

Prior to this, Mohta was Head of Marketing of a leading cement brand, and had a fruitful stint. He’s persistent, believes in bringing out the best in others, and is extremely sharp and focused.

He believes in living a balanced life, and truly brings a level of sportsmanship to his work, that defines his entrepreneurial skills.

Cement production in India is growing rapidly
Cement production increased at a CAGR of 6.44 per cent to 282.79 MT over FY07-16.
As per the 12th Five-Year Plan, production is expected to reach 407 MT by FY17.
In August 2016, cement production in the country increased by 3.1 per cent in comparison to 1.4 per cent in July 2016.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Concrete

Need for Reinvention Amid Recovery

Published

on

By

Shares

The cement industry in India has just emerged from one of its most challenging years in recent history. FY25 witnessed the steepest year-on-year decline in cement prices in nearly two decades, driven by a combination of sustained capacity additions and subdued demand across key sectors. Even as volumes remained steady in many regions, profitability took a hit, revealing the fragile balance between supply dynamics and pricing power.
Looking ahead to FY26, industry analysts, including India Ratings and Research, predict demand growth in the mid-single digits. This projection is supported by a series of favourable indicators: a likely normal monsoon, continued infrastructure investments, improving real wage growth and momentum in urban housing. Yet, the central question remains—can cement manufacturers regain pricing discipline to restore margins?
The Cement Expo Forum 2025, recently held in Hyderabad, served as a timely platform to examine these issues. Leaders from across the value chain came together to discuss not only the sector’s growth trajectory but also the pressing need for sustainable practices. As India’s cement consumption grows, the environmental responsibilities of the industry grow with it. Cement companies are increasingly expected to meet rising demand while aligning with global decarbonisation goals. Energy efficiency, alternative fuels and clinker factor reduction are no longer optional—they are integral to long-term competitiveness
and compliance.
What emerged from the Forum was clear: the Indian cement industry stands at a pivotal juncture. Pricing strategy, capacity optimisation and green technology adoption must now work in tandem to secure resilient growth.
The Hyderabad Forum was but a preview. The much-anticipated
15th Cement Expo, to be held on November 12–13, 2025, at Yashobhoomi, Delhi, promises to be the definitive industry showcase of the year. As the sector navigates recovery and reinvention, this event will spotlight innovation, policy alignment and investment strategies shaping the future of Indian cement.

Follow me on twitter @PratapPadode

Continue Reading

Concrete

We are committed to being a trusted partner

Published

on

By

Shares

Hitendra Bhargav, CEO, Klüber Lubrication, discusses how advanced synthetic lubricants are driving sustainability in the cement industry by enhancing energy efficiency, extending equipment life and reducing carbon emissions.

The Indian cement industry is making significant strides toward carbon neutrality while striving to enhance operational efficiency. As manufacturers seek high-performance solutions to optimise critical machinery—such as VRMs and gearboxes—extending equipment life and boosting productivity have become paramount. In an exclusive conversation, Hitendra Bhargav, CEO, Klüber Lubrication, shares how the company is driving innovation and sustainability-focused initiatives to help cement manufacturers achieve their net-zero ambitions.

How is Klüber Lubrication India supporting the cement industry’s sustainability goals?
The Indian cement industry is actively working towards carbon neutrality while maintaining operational efficiency. It is adopting various measures such as improving energy efficiency, clinker substitution, waste heat recovery and carbon capture to achieve its sustainability goals—helping India meet its target of reducing carbon emissions by 50 per cent by 2030.
At Klüber Lubrication India, we support this transition by offering high-performance synthetic lubricants that significantly enhance energy efficiency and reduce carbon emissions. A major portion of a cement plant’s energy consumption is related to its rotary equipment and machinery, such as vertical roller mills (VRM), ball mills, coal mills, bucket elevators, cooling towers and screw pumps. Our state-of-the-art gear oils and other lubricants help these machines consume less energy, optimise efficiency and, in turn, support cement plants in complying with regulatory frameworks like the Business Responsibility and Sustainability Reporting (BRSR), moving them closer to their net-zero targets.

Can you elaborate on Klüber Lubrication’s role in helping cement manufacturers achieve net-zero emissions?
Achieving net-zero emissions requires innovative solutions that minimise energy consumption and carbon footprints. Our Klüber Energy Efficiency solutions are specifically designed to support this goal. By switching from conventional mineral oils to our advanced synthetic lubricants, cement plants can achieve an average of three per cent savings in electrical energy consumption, leading to substantial reductions in CO2 emissions.
Our solutions extend equipment life,reduce downtime and improve overall plant efficiency—making sustainability not just an environmental responsibility but also an economically viable choice.
(Note: One unit of power saved is equivalent to approximately 0.6 kg of CO2 reduction when generated by a coal-based thermal power plant.)

What impact do energy-efficient lubricants have on the performance and longevity of machinery?
Energy-efficient lubricants play a crucial role in optimising the performance of cement plant machinery. Our synthetic lubricants reduce friction, minimise wear and tear, and offer superior thermal stability. This leads to lower energy consumption, fewer breakdowns and extended service life for critical equipment such as various types of mills, cooling towers and gearboxes. As a result, cement manufacturers benefit from improved productivity, reduced maintenance costs and enhanced reliability.

Klüber Lubrication India recently achieved the EcoVadis GOLD certification for the fourth consecutive year. What does this recognition mean to you?
Securing the EcoVadis GOLD certification for the fourth consecutive year is a testament to our unwavering commitment to sustainability and responsible business practices. This recognition places us among the top three per cent of companies worldwide. It underscores our dedication to minimising environmental impact, upholding ethical business practices, and promoting sustainable procurement. Our customers can be assured that our solutions are designed not only for superior performance but also for long-term environmental benefits.

What is your message to manufacturers looking to enhance their sustainability journey?
Sustainability is no longer an option; it is a necessity for long-term success. Cement manufacturers who proactively adopt energy-efficient solutions will not only reduce their environmental footprint but also improve operational efficiency and profitability. At Klüber Lubrication India, we are committed to being a trusted partner in this journey, providing cutting-edge lubrication solutions that help the industry transition towards a more sustainable and efficient future.
The cement industry is under immense pressure to improve sustainability while maintaining operational efficiency. At Klüber Lubrication India, we support this transition by offering high-performance synthetic lubricants that significantly enhance energy efficiency and reduce carbon emissions. Our solutions for critical machinery, such as VRM and main gearboxes, help manufacturers optimise their operations, comply with regulatory frameworks like the BRSR and move closer to their net-zero targets.

How do Klüber Lubrication’s energy efficiency projects provide a strong ROI?
One of the biggest concerns in adopting sustainability measures is the associated cost. However, our energy efficiency solutions present a compelling business case. With an investment of less than one crore rupees, cement manufacturers can achieve a payback period of less than a year.
For example, by using Klübersynth GEM 4-320 N, a single VRM gearbox with a sump capacity of 6,000 litres and a 6.5 MW motor rating can save over 1.3 million kWh annually. This translates to an average power saving of three per cent, leading to lower operational costs. Additionally, oil life is extended by three or four times compared to conventional mineral oil, contributing to a CO2 reduction of 715 tonnes. This ensures manufacturers achieve sustainability milestones while maximising profitability.

This is an Advertising/Communication Feature

Continue Reading

Concrete

Decarbonising Cement Transportation

Published

on

By

Shares

The Indian cement industry is embracing green logistics through electric and alternative fuel vehicles, digital innovations and sustainable transport strategies to reduce carbon emissions and improve efficiency. Kanika Mathur looks at the collaborative efforts between industry leaders and government initiatives driving this transformation toward a net-zero future.

The Indian cement industry, as the world’s second-largest producer, plays a pivotal role in the nation’s infrastructure development. However, this prominence comes with significant environmental challenges, particularly in logistics operations. Green logistics—integrating sustainable practices into transportation and supply chain management—has emerged as a critical focus area. By adopting eco-friendly transportation methods, optimising supply chains and leveraging technological innovations, the industry aims to reduce its carbon footprint and enhance operational efficiency.
According to Cargo Insights, the cement industry plans to invest around `40,000 crore to add 40 MTPA annually, targeting an increase of 100-120 MTPA over the next three years.
India is the sixth-largest market for medium and heavy-duty trucks (MHDTs), with over 200,000 vehicles sold in 2021 and more than 40 lakh trucks operating on its roads. However, the dominance of internal combustion engine (ICE) trucks, with over 90 per cent running on diesel, presents significant challenges, including high emissions and fuel dependency. In the cement industry, road transport plays a crucial role, with 74 to 76 per cent of cement, 15 to 20 per cent of clinker, and most limestone, fly ash, and other additives being transported by trucks. While coal and slag rely more on rail, the sector remains heavily dependent on road logistics, underscoring the urgent need for sustainable alternatives such as LNG and electric trucks to reduce environmental impact and improve efficiency, informs a report by the Confederation of Indian Industry (May 2024).

Environmental imperative
Logistics in the cement industry is a major contributor to carbon emissions, primarily due to the extensive use of fossil fuel-powered transportation. With approximately 74 per cent of cement and clinker transport relying on roadways, the environmental impact is substantial. Transitioning to greener logistics solutions is essential to mitigate these emissions and align with global sustainability goals.
“Jassper Shipping is dedicated to reducing carbon footprints, including those of clients. Emission-reduction plans and carbon offset investments aim to achieve net-zero carbon emissions by 2035. Over the next two quarters, the number of EVs in the fleet will increase from 58 to 150. The last-mile delivery supply chain is becoming more sustainable and efficient with EV integration while maintaining high-quality service,” says Pushpank Kaushik, CEO, Jassper Shipping.
According to the Investment Information and Credit Rating Agency (ICRA), cement demand in India may touch approximately 460 million metric tonnes (MT) by 2025, and the sector is projected to grow its capacity by 5 per cent annually until
March 2027.
India’s per capita cement consumption remains below 300 kg, which is only half of the global average, indicating significant potential for growth. However, economic progress often comes at an environmental cost, with the cement industry accounting for approximately seven per cent of India’s total CO2 emissions due to its heavy reliance on coal. During China’s peak growth in 2008, the country produced 113.5 crore MT of cement, emitting approximately 0.46 MT of CO2 per MT of cement. In 2024, while India is producing only 40 per cent of China’s 2008 cement volumes, its specific emissions remain comparable. Additionally, environmental concerns are exacerbated by clinker dust, wastage during manufacturing and packaging, and transportation leaks, all of which contribute to the industry’s overall carbon footprint.
As India works toward its ambitious goal of becoming a net-zero emissions nation by 2070, it faces the challenge of balancing rapid economic growth with sustainability. The cement industry, as a key player in infrastructure development, must integrate green solutions at multiple levels of the value chain. This transformation involves optimising power consumption, improving manufacturing processes, developing eco-friendly products and implementing better preservation methods post-processing. By adopting these measures, the industry can contribute to India’s sustainability goals while maintaining its critical role in economic expansion.

The race for EVS
A significant stride toward green logistics is the industry’s pilot testing of electric trucks (E-trucks). Around 150 E-trucks have been deployed to assess their feasibility in cement transportation. Neeraj Akhoury, President, Cement Manufacturers’ Association (CMA), and Managing Director, Shree Cement, highlighted that while E-trucks can potentially reduce operating costs and emissions, challenges such as high ownership costs, heavy batteries, limited charging infrastructure and range constraints need to be addressed.
Companies like UltraTech Cement are leading the way by expanding their EV fleet. UltraTech has signed contracts to deploy approximately 100 EV trucks, aiming to transport 75,000 metric tonnes of clinker monthly. This initiative is part of a broader strategy to incorporate 500 electric trucks by
June 2025, aligning with the Government of India’s eFAST initiative.
The company has signed a transport service contract to deploy approximately 100 EV trucks, which will transport 75,000 MT of clinker each month. This initiative positions UltraTech as the first Indian cement company to integrate EV trucks on such a large scale for long-distance logistics.
By replacing conventional fossil-fuel-powered
trucks with EVs, the company expects to reduce its transport-related carbon emissions by 17,000 MT annually, making a significant contribution to sustainable logistics.
This large-scale deployment follows a successful pilot project launched in January 2024, which introduced five electric trucks on the same route. The pilot also focused on setting up essential charging infrastructure and implementing driver training programs to ensure smooth operations. Encouraged by the positive results, UltraTech is now evaluating additional routes for EV integration and is preparing for another pilot to facilitate clinker transport between two of its other manufacturing units. This phased approach demonstrates the company’s commitment to expanding green logistics solutions across its supply chain.
In a press release, KC Jhanwar, Managing Director, UltraTech Cement, stated, “UltraTech is fully committed to achieving its Net Zero goal by 2050. We have taken a holistic approach to embedding sustainability in our operations. Scaling up EV trucks in our logistics is a testament to our commitment to advancing sustainable practices in the industry.”
UltraTech plans to scale up its EV fleet to 500 trucks by June 2025 under the Government of India’s eFAST initiative. The company has been a pioneer in sustainable transportation, having introduced CNG vehicles in 2021 and LNG vehicles in 2022 before adopting EV trucks in 2024. Currently, its logistics network operates over 468 CNG and
67 LNG trucks, ensuring a reduced environmental footprint across multiple manufacturing units. This ambitious expansion further cements UltraTech’s leadership in integrating sustainability into its business operations while advancing India’s green energy and carbon reduction goals.

Integrating alternative fuels and renewable energy
Beyond electrification, the industry is exploring alternative fuels to power logistics operations. JK Lakshmi Cement, in collaboration with GreenLine Logistics, has introduced LNG-fueled heavy trucks to decarbonise its road logistics. This initiative marks a significant step toward reducing emissions associated with cement transportation.
Back in 2022, JK Lakshmi Cement had announced its tie-up with GreenLine, an Indian green and smart logistics company. This collaboration introduced LNG-fueled heavy trucks in the company’s logistics protocol. While Arun Shukla, President and Director, JK Lakshmi Cement, had hailed this as their first step towards sustainable transportation in an official statement, the company has come a long way in integrating green logistics in its supply chain over the years. Companies such as GreenLine Logistics are helping the cement transportation industry become more eco-conscious, thereby facilitating the transition towards a more circular economy.
Heavy trucking contributes approximately 10 to 12 per cent of total emissions. Switching to LNG-fuelled trucks can reduce CO2 emissions by 28 per cent, NOx by 59 per cent, SOx by 100 per cent, and particulate matter by 91 per cent, while also cutting noise pollution by 30 per cent. This transition
offers a cleaner, more sustainable alternative for freight transport.
Additionally, the adoption of renewable energy sources within manufacturing and logistics operations is gaining momentum. The Indian cement industry has been proactive in utilising waste heat recovery systems and renewable energy, contributing to a reduction in overall carbon emissions.
Another dimension to consider is improving the supply chain efficiency. The integration of digital technologies is revolutionising supply chain management in the cement industry. Advanced tracking systems, data analytics and the Industrial Internet of Things (IIoT) are being employed to optimise routes, monitor vehicle performance, and reduce fuel consumption. These technologies not only enhance efficiency but also contribute to sustainability by minimising unnecessary transportation and associated emissions.

Challenges in implementing green logistics
Despite the clear benefits, the transition to green logistics is fraught with challenges:

  • High initial investment: The upfront costs for EVs and alternative fuel vehicles are considerably higher than traditional diesel trucks.
  • Infrastructure limitations: The lack of adequate charging stations and refueling infrastructure for alternative fuels hampers widespread adoption.
  • Regulatory Hurdles: Navigating the evolving landscape of environmental regulations and standards can be complex and resource-intensive.
  • Technological adaptation: Integrating new technologies requires substantial changes in existing operational frameworks and workforce training.

“At Fleetronix, we are constantly looking ahead to the future of logistics, and we see a massive opportunity in using technology to make fleet management smarter and more sustainable. Right now, fleet maintenance is often reactive – issues are fixed after they cause downtime. But we envision a future where predictive maintenance becomes the norm. Our goal is to develop a system that identifies potential problems before they turn into costly breakdowns, ensuring trucks run efficiently and reducing unnecessary emissions,” says Anuradha Parakala, Co-founder, Chief Strategy and Product Officer, Fleetronix Systems.
“As the industry moves towards hybrid and electric vehicles, we see Fleetronix playing a key role in optimising fleet transitions – from smart route planning that maximises battery efficiency to integrated tracking for EV charging. Our vision is clear: healthier trucks, lower emissions, and a logistics industry that’s not just efficient, but truly sustainable. And we are actively building the technology to make it happen,” she adds.

Collaborative efforts and government initiatives
Addressing these challenges necessitates collaboration between industry stakeholders and government bodies. The Indian government is facilitating Memorandums of Understanding (MoUs) for new technologies, promoting research and development through incentives, and providing subsidies to encourage the adoption of green logistics practices. Such partnerships are crucial for creating an ecosystem conducive to sustainable logistics.
Furthermore, the Indian cement industry’s commitment to green logistics is poised to yield significant environmental and economic benefits. As technological advancements continue and infrastructure improves, the adoption of sustainable practices is expected to accelerate. This transition not only aligns with global sustainability targets but also positions the industry competitively in a rapidly evolving market.

Conclusion
Embracing green logistics is imperative for the Indian cement industry to mitigate its environmental impact and ensure long-term sustainability. Through the adoption of electric and alternative fuel vehicles, integration of renewable energy, and leveraging technological innovations, the industry is making commendable strides toward eco-friendly operations. Continued collaboration among industry players, government agencies and technology providers will be essential to overcome existing challenges and
fully realise the potential of green logistics in
cement manufacturing.

Continue Reading

Trending News

SUBSCRIBE TO THE NEWSLETTER

 

Don't miss out on valuable insights and opportunities to connect with like minded professionals.

 


    This will close in 0 seconds