Economy & Market
GST regime is full of challenges and needs resilience
Published
8 years agoon
By
admin
Endorsed as "Good & Simple Tax", Amman Devralia, Executive Director, KHD Humboldt Wedag, has a high expectation that it will buoy the Indian economy and bring the informal sector into the formal sector. In an interview with Nitin Madkaikar, Devralia reiterates its success will depend on the readiness of the entire supply chain (suppliers, distributors, retailers, logistics partners etc.) to adopt the regime. Is the GST regime conducive as it described before the launch on July 1, 2017?
GST has been endorsed as "Good and Simple Tax". ‘Good’ because it minimises the cascading effect of taxes (i.e., levying of tax on things that have already been taxed), thereby reducing the cost of doing business, and ‘Simple’ as it replaces multitude of indirect taxes, thereby increasing ease-of-doing business.
There are huge expectations that the biggest indirect tax reform will boost the Indian economy in the long run and huge shift will be seen from unorganised to organised sector. However, a period of three months is too short to come to a conclusion.
The fundamental aspect of GST is the seamless flow of input tax credit along the entire value chain, wherein credit of taxes paid on inputs at each stage is available in the subsequent stage of value addition, thereby making GST essentially a tax only on value addition at each stage. The ability to claim input tax credit under the GST regime depends on timely compliance and matching of data filed by the parties along the entire supply chain. Any lapse on part of the supplier may lead to denial of input tax credit in the hands of the recipient, thereby casting an additional burden on the recipient to ensure timely compliance by the supplier. As a safeguard, two-stage payment mechanism is being followed by the recipient wherein the basic portion is paid upfront to the supplier and tax portion only after reconciliation of data filed in the respective GST returns.
Some of the concerns includes:
a) readiness of the entire supply chain;
b) un-interrupted connectivity to GST Network;
c) increased level of compliance and reporting on a monthly basis. Reports say that three returns have to be filed each month. Is this posing any operational problem/s in the supply chain?
Large entities were filing at-least three returns each month under different indirect tax laws (i.e. excise return, first stage dealer return, VAT and CST return) under the erstwhile tax regime as well. The real pain area under the GST regime as compared to the erstwhile tax regime is the level of compliance and reporting required to be done on a monthly basis. Entities are required to enter invoice level details in the monthly GST returns, which is a cumbersome process. Smaller entities without the required infrastructure are finding it difficult to manually enter invoice level details and large entities are facing infrastructural bottlenecks in uploading huge volume of data. In some ways, the government has outsourced the tax compliance to businesses in order to ensure compliance along the entire supply chain. Are you satisfied with the procedures that came into force after July 1?
The design of a single IT platform – GST Network – as a common interface between the tax payers and tax authorities for the core functions of administration (like, registration, filing and processing of returns, payments and refunds), is definitely a step towards paperless regime. However, provisions with respect to self-invoicing and payment vouchers for inward supplies from unregistered vendors, issuance of advance receipt vouchers on receipt of advances from customers, etc., entails additional paper work. Further, the ongoing glitches in the GST Network has been disappointing and raises doubts about the operational capacity of the GST Network, which is the foundation for paperless regime. The three months being seasonally weak for the industry, what was the impact on business compared with the past weak seasons?
As per industry reports, cement production witnessed a decline of 3.9 per cent in Q1FY17. Cement production stood at 72.67 million tonne (MT) in Q1FY17 as compared to 75.7 MT in Q1FY16. The decline was due to low inventory addition in the real estate and housing sector (accounting for about two-third of the total cement consumption in India), as the regulations and compliances under newly implemented Real Estate (Regulation and Development) Act, 2016 – RERA, made the developers cautious. With RERA implementation to be completed by the end of Q2FY17, clarity on the impact of GST on the real estate and housing sector coupled with government’s initiatives towards building affordable housing should eventually drive the demand for cement from the real estate and housing sector. Also, public infrastructure development lead by execution of smart cities and national highways projects across the country should drive the demand for cement from the infrastructure and construction sector in the next quarters. Has the need for working capital risen, given that refunds are still locked with exchequer?
Yes, under the erstwhile tax regime, exporters enjoyed upfront tax exemption on purchases against concessional tax forms, which is not available under the GST regime. Under the GST regime, GST paid on inward supplies is required to be claimed as refund by the exporters. However, due to glitches in the GST Network, the deadline for filing GST returns for July 2017 (the first month under the GST regime) has been extended twice, with GSTR-3 now required to be filed as late as November 10, 2017. The extension in filing GST returns for the first and therefore subsequent months means delay in processing of refunds by the authorities thereby increasing the requirement for additional working capital. Do you think GST regime will attract investment in your end use industry?
The demand for cement is driven by real estate and housing sector, accounting for about two-third of the total cement consumption in India. The other major consumers of cement include infrastructure, commercial construction and industrial construction. Given the government’s initiatives towards building affordable housing and public infrastructure development, GST regime will certainly attract investment in the real estate and construction sector. Further, bringing the real estate under the ambit of GST can boost the investment in the sector. Is there any other information you wish to share.
The GST regime aims to widen the tax base by bringing the informal sector under the ambit of formal economy resulting in higher tax revenues for the exchequer, gradually allowing a move towards fewer slabs and lower GST rate. The transition has just started and the ride to make GST a "Good and Simple Tax" will be long and full of challenges requiring resilience on part of government and businesses. The successful implementation of GST will certainly drive the Indian economy offering opportunities for growth across sectors.
SEEPEX introduces BN pumps with Smart Joint Access (SJA) to improve efficiency, reliability, and inspection speed in demanding rock blasting operations.
Designed for abrasive and chemical media, the solution supports precise dosing, reduced downtime, and enhanced operational safety.
SEEPEX has introduced BN pumps with Smart Joint Access (SJA), engineered for the reliable and precise transfer of abrasive, corrosive, and chemical media in mining and construction. Designed for rock blasting, the pump features a large inspection opening for quick joint checks, a compact footprint for mobile or skid-mounted installations, and flexible drive and material options for consistent performance and uptime.

“Operators can inspect joints quickly and rely on precise pumping of shear-sensitive and abrasive emulsions,” said Magalie Levray, Global Business Development Manager Mining at SEEPEX. “This is particularly critical in rock blasting, where every borehole counts for productivity.” Industry Context
Rock blasting is essential for extracting hard rock and shaping safe excavation profiles in mining and construction. Accurate and consistent loading of explosive emulsions ensures controlled fragmentation, protects personnel, and maximizes productivity. Even minor deviations in pumping can cause delays or reduce product quality. BN pumps with SJA support routine maintenance and pre-operation checks by allowing fast verification of joint integrity, enabling more efficient operations.
Always Inspection Ready
Smart Joint Access is designed for inspection-friendly operations. The large inspection opening in the suction housing provides direct access to both joints, enabling rapid pre-operation checks while maintaining high operational reliability. Technicians can assess joint condition quickly, supporting continuous, reliable operation.
Key Features
- Compact Footprint: Fits truck-mounted mobile units, skid-mounted systems, and factory installations.
- Flexible Drive Options: Compact hydraulic drive or electric drive configurations.
- Hydraulic Efficiency: Low-displacement design reduces oil requirements and supports low total cost of ownership.
- Equal Wall Stator Design: Ensures high-pressure performance in a compact footprint.
- Material Flexibility: Stainless steel or steel housings, chrome-plated rotors, and stators in NBR, EPDM, or FKM.
Operators benefit from shorter inspection cycles, reliable dosing, seamless integration, and fast delivery through framework agreements, helping to maintain uptime in critical rock blasting processes.
Applications – Optimized for Rock Blasting
BN pumps with SJA are designed for mining, tunneling, quarrying, civil works, dam construction, and other sectors requiring precise handling of abrasive or chemical media. They provide robust performance while enabling fast, reliable inspection and maintenance.With SJA, operators can quickly access both joints without disassembly, ensuring emulsions are transferred accurately and consistently. This reduces downtime, preserves product integrity, and supports uniform dosing across multiple bore holes.
With the Smart Joint Access inspection opening, operators can quickly access and assess the condition of both joints without disassembly, enabling immediate verification of pump readiness prior to blast hole loading. This allows operators to confirm that emulsions are transferred accurately and consistently, protecting personnel, minimizing product degradation, and maintaining uniform dosing across multiple bore holes.
The combination of equal wall stator design, compact integration, flexible drives, and progressive cavity pump technology ensures continuous, reliable operation even in space-limited, high-pressure environments.
From Inspection to Operation
A leading explosives provider implemented BN pumps with SJA in open pit and underground operations. By replacing legacy pumps, inspection cycles were significantly shortened, allowing crews to complete pre-operation checks and return mobile units to productive work faster. Direct joint access through SJA enabled immediate verification, consistent emulsion dosing, and reduced downtime caused by joint-related deviations.
“The inspection opening gives immediate confidence that each joint is secure before proceeding to bore holes,” said a site technician. “It allows us to act quickly, keeping blasting schedules on track.”
Framework agreements ensured rapid pump supply and minimal downtime, supporting multi-site operations across continents
Concrete
Refractory demands in our kiln have changed
Published
1 week agoon
February 20, 2026By
admin
Radha Singh, Senior Manager (P&Q), Shree Digvijay Cement, points out why performance, predictability and life-cycle value now matter more than routine replacement in cement kilns.
As Indian cement plants push for higher throughput, increased alternative fuel usage and tighter shutdown cycles, refractory performance in kilns and pyro-processing systems is under growing pressure. In this interview, Radha Singh, Senior Manager (P&Q), Shree Digvijay Cement, shares how refractory demands have evolved on the ground and how smarter digital monitoring is improving kiln stability, uptime and clinker quality.
How have refractory demands changed in your kiln and pyro-processing line over the last five years?
Over the last five years, refractory demands in our kiln and pyro line have changed. Earlier, the focus was mostly on standard grades and routine shutdown-based replacement. But now, because of higher production loads, more alternative fuels and raw materials (AFR) usage and greater temperature variation, the expectation from refractory has increased.
In our own case, the current kiln refractory has already completed around 1.5 years, which itself shows how much more we now rely on materials that can handle thermal shock, alkali attack and coating fluctuations. We have moved towards more stable, high-performance linings so that we don’t have to enter the kiln frequently for repairs.
Overall, the shift has been from just ‘installation and run’ to selecting refractories that give longer life, better coating behaviour and more predictable performance under tougher operating conditions.
What are the biggest refractory challenges in the preheater, calciner and cooler zones?
• Preheater: Coating instability, chloride/sulphur cycles and brick erosion.
• Calciner: AFR firing, thermal shock and alkali infiltration.
• Cooler: Severe abrasion, red-river formation and mechanical stress on linings.
Overall, the biggest challenge is maintaining lining stability under highly variable operating conditions.
How do you evaluate and select refractory partners for long-term performance?
In real plant conditions, we don’t select a refractory partner just by looking at price. First, we see their past performance in similar kilns and whether their material has actually survived our operating conditions. We also check how strong their technical support is during shutdowns, because installation quality matters as much as the material itself.
Another key point is how quickly they respond during breakdowns or hot spots. A good partner should be available on short notice. We also look at their failure analysis capability, whether they can explain why a lining failed and suggest improvements.
On top of this, we review the life they delivered in the last few campaigns, their supply reliability and their willingness to offer plant-specific custom solutions instead of generic grades. Only a partner who supports us throughout the life cycle, which includes selection, installation, monitoring and post-failure analysis, fits our long-term requirement.
Can you share a recent example where better refractory selection improved uptime or clinker quality?
Recently, we upgraded to a high-abrasion basic brick at the kiln outlet. Earlier we had frequent chipping and coating loss. With the new lining, thermal stability improved and the coating became much more stable. As a result, our shutdown interval increased and clinker quality remained more consistent. It had a direct impact on our uptime.
How is increased AFR use affecting refractory behaviour?
Increased AFR use is definitely putting more stress on the refractory. The biggest issue we see daily is the rise in chlorine, alkalis and volatiles, which directly attack the lining, especially in the calciner and kiln inlet. AFR firing is also not as stable as conventional fuel, so we face frequent temperature fluctuations, which cause more thermal shock and small cracks in the lining.
Another real problem is coating instability. Some days the coating builds too fast, other days it suddenly drops, and both conditions impact refractory life. We also notice more dust circulation and buildup inside the calciner whenever the AFR mix changes, which again increases erosion.
Because of these practical issues, we have started relying more on alkali-resistant, low-porosity and better thermal shock–resistant materials to handle the additional stress coming from AFR.
What role does digital monitoring or thermal profiling play in your refractory strategy?
Digital tools like kiln shell scanners, IR imaging and thermal profiling help us detect weakening areas much earlier. This reduces unplanned shutdowns, helps identify hotspots accurately and allows us to replace only the critical sections. Overall, our maintenance has shifted from reactive to predictive, improving lining life significantly.
How do you balance cost, durability and installation speed during refractory shutdowns?
We focus on three points:
• Material quality that suits our thermal profile and chemistry.
• Installation speed, in fast turnarounds, we prefer monolithic.
• Life-cycle cost—the cheapest material is not the most economical. We look at durability, future downtime and total cost of ownership.
This balance ensures reliable performance without unnecessary expenditure.
What refractory or pyro-processing innovations could transform Indian cement operations?
Some promising developments include:
• High-performance, low-porosity and nano-bonded refractories
• Precast modular linings to drastically reduce shutdown time
• AI-driven kiln thermal analytics
• Advanced coating management solutions
• More AFR-compatible refractory mixes
These innovations can significantly improve kiln stability, efficiency and maintenance planning across the industry.
Concrete
Digital supply chain visibility is critical
Published
1 week agoon
February 20, 2026By
admin
MSR Kali Prasad, Chief Digital and Information Officer, Shree Cement, discusses how data, discipline and scale are turning Industry 4.0 into everyday business reality.
Over the past five years, digitalisation in Indian cement manufacturing has moved decisively beyond experimentation. Today, it is a strategic lever for cost control, operational resilience and sustainability. In this interview, MSR Kali Prasad, Chief Digital and Information Officer, Shree Cement, explains how integrated digital foundations, advanced analytics and real-time visibility are helping deliver measurable business outcomes.
How has digitalisation moved from pilot projects to core strategy in Indian cement manufacturing over the past five years?
Digitalisation in Indian cement has evolved from isolated pilot initiatives into a core business strategy because outcomes are now measurable, repeatable and scalable. The key shift has been the move away from standalone solutions toward an integrated digital foundation built on standardised processes, governed data and enterprise platforms that can be deployed consistently across plants and functions.
At Shree Cement, this transition has been very pragmatic. The early phase focused on visibility through dashboards, reporting, and digitisation of critical workflows. Over time, this has progressed into enterprise-level analytics and decision support across manufacturing and the supply chain,
with clear outcomes in cost optimisation, margin protection and revenue improvement through enhanced customer experience.
Equally important, digital is no longer the responsibility of a single function. It is embedded into day-to-day operations across planning, production, maintenance, despatch and customer servicing, supported by enterprise systems, Industrial Internet of Things (IIoT) data platforms, and a structured approach to change management.
Which digital interventions are delivering the highest ROI across mining, production and logistics today?
In a capital- and cost-intensive sector like cement, the highest returns come from digital interventions that directly reduce unit costs or unlock latent capacity without significant capex.
Supply chain and planning (advanced analytics): Tools for demand forecasting, S&OP, network optimisation and scheduling deliver strong returns by lowering logistics costs, improving service levels, and aligning production with demand in a fragmented and regionally diverse market.
Mining (fleet and productivity analytics): Data-led mine planning, fleet analytics, despatch discipline, and idle-time reduction improve fuel efficiency and equipment utilisation, generating meaningful savings in a cost-heavy operation.
Manufacturing (APC and process analytics): Advanced Process Control, mill optimisation, and variability reduction improve thermal and electrical efficiency, stabilise quality and reduce rework and unplanned stoppages.
Customer experience and revenue enablement (digital platforms): Dealer and retailer apps, order visibility and digitally enabled technical services improve ease of doing business and responsiveness. We are also empowering channel partners with transparent, real-time information on schemes, including eligibility, utilisation status and actionable recommendations, which improves channel satisfaction and market execution while supporting revenue growth.
Overall, while Artificial Intelligence (AI) and IIoT are powerful enablers, it is advanced analytics anchored in strong processes that typically delivers the fastest and most reliable ROI.
How is real-time data helping plants shift from reactive maintenance to predictive and prescriptive operations?
Real-time and near real-time data is driving a more proactive and disciplined maintenance culture, beginning with visibility and progressively moving toward prediction and prescription.
At Shree Cement, we have implemented a robust SAP Plant Maintenance framework to standardise maintenance workflows. This is complemented by IIoT-driven condition monitoring, ensuring consistent capture of equipment health indicators such as vibration, temperature, load, operating patterns and alarms.
Real-time visibility enables early detection of abnormal conditions, allowing teams to intervene before failures occur. As data quality improves and failure histories become structured, predictive models can anticipate likely failure modes and recommend timely interventions, improving MTBF and reducing downtime. Over time, these insights will evolve into prescriptive actions, including spares readiness, maintenance scheduling, and operating parameter adjustments, enabling reliability optimisation with minimal disruption.
A critical success factor is adoption. Predictive insights deliver value only when they are embedded into daily workflows, roles and accountability structures. Without this, they remain insights without action.
In a cost-sensitive market like India, how do cement companies balance digital investment with price competitiveness?
In India’s intensely competitive cement market, digital investments must be tightly linked to tangible business outcomes, particularly cost reduction, service improvement, and faster decision-making.
This balance is achieved by prioritising high-impact use cases such as planning efficiency, logistics optimisation, asset reliability, and process stability, all of which typically deliver quick payback. Equally important is building scalable and governed digital foundations that reduce the marginal cost of rolling out new use cases across plants.
Digitally enabled order management, live despatch visibility, and channel partner platforms also improve customer centricity while controlling cost-to-serve, allowing service levels to improve without proportionate increases in headcount or overheads.
In essence, the most effective digital investments do not add cost. They protect margins by reducing variability, improving planning accuracy, and strengthening execution discipline.
How is digitalisation enabling measurable reductions in energy consumption, emissions, and overall carbon footprint?
Digitalisation plays a pivotal role in improving energy efficiency, reducing emissions and lowering overall carbon intensity.
Real-time monitoring and analytics enable near real-time tracking of energy consumption and critical operating parameters, allowing inefficiencies to be identified quickly and corrective actions to be implemented. Centralised data consolidation across plants enables benchmarking, accelerates best-practice adoption, and drives consistent improvements in energy performance.
Improved asset reliability through predictive maintenance reduces unplanned downtime and process instability, directly lowering energy losses. Digital platforms also support more effective planning and control of renewable energy sources and waste heat recovery systems, reducing dependence on fossil fuels.
Most importantly, digitalisation enables sustainability progress to be tracked with greater accuracy and consistency, supporting long-term ESG commitments.
What role does digital supply chain visibility play in managing demand volatility and regional market dynamics in India?
Digital supply chain visibility is critical in India, where demand is highly regional, seasonality is pronounced, and logistics constraints can shift rapidly.
At Shree Cement, planning operates across multiple horizons. Annual planning focuses on capacity, network footprint and medium-term demand. Monthly S&OP aligns demand, production and logistics, while daily scheduling drives execution-level decisions on despatch, sourcing and prioritisation.
As digital maturity increases, this structure is being augmented by central command-and-control capabilities that manage exceptions such as plant constraints, demand spikes, route disruptions and order prioritisation. Planning is also shifting from aggregated averages to granular, cost-to-serve and exception-based decision-making, improving responsiveness, lowering logistics costs and strengthening service reliability.
How prepared is the current workforce for Industry 4.0, and what reskilling strategies are proving most effective?
Workforce preparedness for Industry 4.0 is improving, though the primary challenge lies in scaling capabilities consistently across diverse roles.
The most effective approach is to define capability requirements by role and tailor enablement accordingly. Senior leadership focuses on digital literacy for governance, investment prioritisation, and value tracking. Middle management is enabled to use analytics for execution discipline and adoption. Frontline sales and service teams benefit from
mobile-first tools and KPI-driven workflows, while shop-floor and plant teams focus on data-driven operations, APC usage, maintenance discipline, safety and quality routines.
Personalised, role-based learning paths, supported by on-ground champions and a clear articulation of practical benefits, drive adoption far more effectively than generic training programmes.
Which emerging digital technologies will fundamentally reshape cement manufacturing in the next decade?
AI and GenAI are expected to have the most significant impact, particularly when combined with connected operations and disciplined processes.
Key technologies likely to reshape the sector include GenAI and agentic AI for faster root-cause analysis, knowledge access, and standardisation of best practices; industrial foundation models that learn patterns across large sensor datasets; digital twins that allow simulation of process changes before implementation; and increasingly autonomous control systems that integrate sensors, AI, and APC to maintain stability with minimal manual intervention.
Over time, this will enable more centralised monitoring and management of plant operations, supported by strong processes, training and capability-building.
World Cement Association Annual Conference 2026 in Bangkok
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Adani Cement, NAREDCO Form Strategic Alliance
Walplast’s GypEx Range Secures GreenPro Certification
Smart Pumping for Rock Blasting
World Cement Association Annual Conference 2026 in Bangkok
Assam Chief Minister Opens Star Cement Plant In Cachar
Adani Cement, NAREDCO Form Strategic Alliance
Walplast’s GypEx Range Secures GreenPro Certification
Smart Pumping for Rock Blasting
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