Economy & Market
JK Lakshmi, dark horse
Published
8 years agoon
By
admin
Vaibhav Agarwal of PhillipCapital assess the potential of JKLC.
JK Lakshmi (JKLC) currently has a total installed capacity of 12.5 MTPA, which is spread across the geographies of North (inclusive of Gujarat) and East India. North India has a total capacity of 9.8 MTPA of which 1.6 MTPA is at UCWL – JKLC’s 71 per cent subsidiary. UCWL plant has been very recently commissioned and the utilisations of this plant are being ramped up -currently operates at approximately 50-60 per cent. East India has a capacity of 2.7 MTPA (of which 0.9 MTPA of grinding recently commissioned production in Q1FY18). Another 0.6 MTPA of capacity addition (grinding unit) is due to be added in Odisha (East India) and slated to be commissioned by mid FY19. Once this is commissioned, JKLC’s total capacity will increase to 13.1 MTPA – 9.8 MTPA in North India and 3.3 MTPA in East India.
Current capacity utilisation
JKLC’s north unit are currently operating at an average utilisation of 70 per cent versus industry’s capacity utilisation of 68 per cent in this region. Similarly, JKLC’s east India plants are currently operating at 79 per cent utilisations as against industry capacity utilisation of 67 per cent. As per our understanding, UCWL and the newer grinding unit of JKLC in North (Gujarat) and East India respectively are yet to scale up capacity utilisations and currently operate at just about 50-60 per cent capacity utilisations.
Volume growth trajectory and utilisation roadmap is driven by capacity additions over the past few years JKLC’s volume’s has been robust over the past few years (7-17 per cent). As we now see the capacity additions getting muted for JKLC we expect the volume growth to taper down and grow in the range of 5-6 per cent over the next two years. But, we also expect capacity utilisations of newer units of JKLC to ramp up to the existing levels by end of FY19 (a key to drive cost savings) and expect overall utilisations of the company as a whole at approximately 83 per cent by end of FY19/H1FY20.
Contributors to cost savings for JKLC will derive cost savings from multiple factors – power cost, utilisation ramp up and logistics costs. Waste Heat recovery at East India has commissioned commercial production in Q3FY18 and the management has indicated a savings of about Rs 100/tonne already being delivered from this initiative. UCWL is also due to commission a WHR and thermal power plant. In East India, thermal power plants are due for commissioning in H2FY19.
Major chunk of the savings will come from here in H2FY19 and onwards. JKLC has acknowledged that it needs to make its logistics more effective and is working towards a cost saving of Rs 100-150/tonne. Though a major chunk of this will be again from East India operations, North will also contribute to logistics savings as and when we see utilisation ramp up of UCWL and newer grinding units (Surat) in this zone. Utilisation ramp up will help scale efficiencies. As per the interactions, the least which can be expected as a ballpark is about Rs10/tonne of savings with every percentage increase of utilisation ramp up. This can be higher and will vary on case to case basis.
Utilisations and volume roadmap
JKLC currently operates its capacities at an average capacity utilisation of 72 per cent. It estimates for JKLC factor in an overall utilisation improvement of about 10 per cent over the next two years. As nearly 25 per cent of JKLC’s existing capacity is new, we believe this utilisation ramp up is possible. It can also be seen from the graphs below that JKLC is always ahead of industry capacity utilisations in all regions of its operations.
Though the utilisations are being ramped up by nearly 10 per cent over the next two years, but from volume growth perspective, the volume growth will taper down at 5-6 per cent yoy as JKLC exits its capex mode and fall in-line to industry discipline. Low volume growth is largely because of base effect and a more realistic assumption. Despite a low volume growth, JKLC will start deriving all the cost savings in FY19 and onwards as all the support infrastructure such as captive power, better logistics etc. will be available to the company by mid FY19. We will now discuss the cost saving drivers individually.
Cost savings drivers, power
As far as efficiencies are concerned, JKLC is already best placed on consumption parameters. It consumes approximately 70-74 units of power per tonne of cement across all locations, which is largely in-line with best of industry parameters. The key hurdle is absence of power plants in two of its existing locations – East India site and UCWL. Our interactions suggests us that for Eastern operations, the cost of power for JKLC is as high as Rs 7.5-8 per unit as against an internal cost of generation of approximately Rs 3.5-4/unit. This translates to savings of approximately Rs 4 per unit of power and approximately Rs 280-300/tonne for East India operations standalone. At UCWL as well, JKLC is likely to deliver a savings of approximately Rs 2.5 per unit as and when its captive power unit starts generation. This is all likely to be completed by mid FY19.
Waste Heat Recovery at East India has already commissioned commercial production in Q3FY18. Management has indicated a savings of about Rs 100/tonne already accumulating from Q3FY18 for eastern operations. This number has the potential to increase as we see capacity ramp-up of the newer grinding unit at East India. On our current volume assumptions for FY20, JKLC is likely to deliver power savings of approximately Rs 1.16 billion by end of FY20, which converges to an EBITDA/tonne of approximately Rs 110 per tonne at consolidated company level. We are also factoring in a 20 per cent reduction in Waste Heat Recovery savings as the WHR will reach optimum utilisations with ramp up of capacity utilisations.
Utilisation scale up
As a ballpark, the minimum savings expected out of every percentage increase in capacity utilisation is Rs 10 per tonne. This is the least and the savings can be much higher and will vary on case to case basis. At consolidated level, for JKLC, we expect utilisations to improve by nearly 10 per cent . However, the picture looks different on a plant-wise basis.
JKLC’s UCWL plant is likely to see utilisation ramp up of 20-25 per cent while the other two plants in North and East India will see an increase of utilisations of 1-10 per cent. Most of the utilisation ramp up will be a function of recent capacity additions. At Rs 10 per tonne of cost savings with scale efficiencies, JKLC will deliver a cost savings of approximately Rs 920 million by FY20 translating to savings of about Rs 90 per tonne.
Logistics
On logistics front, JKLC has opportunities of installing railway sidings at East India. It is also recalibrating its lead distances and relooking and renegotiating its contracts and arrangements with transporters. As a company, JKLC has guided for cost savings of approximately Rs100-150 per tonne in logistics over the next 12-18 months.
Opportunities will logistics costs savings will become more visible as and when all the newer plants of JKLC reach optimum utilisations.
We will now summarise the potential of cost savings for each of the cost heads on a plant wise basis. Our estimates in the following table are conservative and we have not yet factored in any incremental savings on account of further reduction in power consumption/tonne (which is quite possible as JKLC increases production of blended cement – especially composite cement). We have assumed only Rs10 per tonne of savings with every percentage increase in capacity utilisations which can also be higher. We have factored in only 50 per cent of the minimum targeted savings in logistics by the management (Rs 100-150per tonne). Our calculations suggest that we can remain fairly confident of minimum Rs 250per tonne of cost savings through internal measures.
Economy & Market
RAHSTA Roundtable Sets Agenda for Smarter, Safer Highways
Published
14 hours agoon
March 16, 2026By
admin
Roundtable discussions focus on innovation for safer highways.
Held on 12 March 2026 at Courtyard by Marriott, Mumbai, alongside the Infrastructure Today Airport Conclave, the RAHSTA Roundtable brought together stakeholders from across the highways and infrastructure ecosystem to shape the agenda for the 16th RAHSTA 2026, scheduled for 8–9 July 2026 at the Jio Convention Centre, Mumbai. The session focused on key industry themes including road construction, technology, safety and long-term sustainability.
Opening the discussion, Pratap Padode, Founder, FIRST Construction Council, said the roundtable marked the beginning of a broader consultative process leading up to the July event. The aim, he noted, is to bring together industry stakeholders to refine the agenda for discussions on the future of roads, bridges, tunnels and allied infrastructure.
Padode noted that while central road project awards have slowed in recent years, states are increasingly driving the next phase of infrastructure growth. Maharashtra, with its long-term road development plans and agencies such as MSRDC and MSIDC, is expected to play a significant role in this expansion.
RAHSTA Expo 2026 as a specialised platform dedicated to road infrastructure, covering highways, tunnels, bridges and flyovers along with construction technologies, safety systems and maintenance solutions. He also highlighted the growing importance of rural connectivity and said the organisers are engaging with government bodies to highlight rural road development initiatives.
Tanveer Padode, CIO, ASAPP Info Group, presented insights from IMPACCT, the group’s infrastructure intelligence platform. He pointed to a strong project pipeline despite slower highway awards earlier in the year, noting that states such as Maharashtra, Odisha and Arunachal Pradesh are emerging as key drivers of new projects. The data also revealed that only a small group of contractors participates in large-value infrastructure bids.
Lt Gen Rajeev Chaudhary, former Director General, Border Roads Organisation and Chairman of the RAHSTA Expo Committee, emphasised the need for stronger collaboration across the ecosystem, including policymakers, contractors, technology providers and financiers. He also called for addressing systemic issues within the sector and encouraged greater participation of women in infrastructure leadership.
The discussion also explored the evolving economics of road development. Phani Prasad Mandalaparthy, Associate Director, CRISIL Intelligence, noted that the slowdown in project awards reflects a shift towards higher-value logistics corridors rather than simple road widening projects. However, private participation through BOT and TOT models remains limited.
From the contractors’ perspective, Sudhir Hoshing, Whole-Time Director, Ceigall, said companies are becoming more selective in bidding, favouring projects with clearer payment mechanisms and efficient processes. While NHAI continues to offer greater operational clarity, states such as Uttar Pradesh and Bihar were cited as relatively supportive environments for project execution.
Durability and sustainability also emerged as key themes. Himanshu Agarwal, COO – Road & Infrastructure, Zydex Group India, highlighted the need to prioritise lifecycle performance and resilient pavements, while participants discussed the potential of alternative materials such as plastic waste, steel slag and industrial by-products in road construction.
Dr LR Manjunatha, Vice President, JSW Cement, emphasised that India has abundant fly ash, slag and other industrial materials that can improve durability and sustainability if integrated into specifications and policy frameworks.
Technology and equipment challenges were also discussed. Dr Lakshmana Rao Mantri, Dy General Manager, Afcons Infrastructure, highlighted the shortage of tunnel boring machines (TBMs), which is delaying several underground infrastructure projects. Participants agreed that developing domestic TBM manufacturing capabilities will be critical for future infrastructure expansion.
The future of concrete pavements was another area of discussion. Dr V Ramachandra, President, Indian Concrete Institute, stressed that the debate should focus on lifecycle performance rather than material choice alone, noting that evolving design standards are improving the feasibility of concrete roads.
Prof Dharamveer Singh of IIT Bombay added that while India has made significant progress in infrastructure development, stronger capacity building and better execution practices are essential to ensure consistent road quality.
The discussion also touched upon technology adoption in the sector. Rushabh Mamania, Partner & CBO, Roadvision, highlighted the growing role of AI in road infrastructure, noting that AI-driven monitoring systems are already being deployed across large stretches of national highways.
Overall, the roundtable underscored that the future of highway infrastructure will depend not only on the pace of construction but also on durability, safety, technology integration and sustainable materials. The discussions offered valuable insights that will help shape the agenda for RAHSTA 2026 and guide future collaboration within the industry.
Economy & Market
CTS Roundtable Charts Tech-Led Roadmap for Construction
Published
14 hours agoon
March 16, 2026By
admin
CTS Roundtable Maps Technology Roadmap for Construction
Ahead of the Construction Technology Show (Con Tech Show) 2026, industry leaders, technology innovators and academia came together in Mumbai to deliberate on how digitalisation, automation and industrialised construction can reshape the sector. The discussion made one thing clear: construction can no longer afford to treat technology as optional.
Held on 12 March 2026 at Courtyard by Marriott, Mumbai, alongside the Infrastructure Today Airport Conclave, the CTS Roundtable served as a precursor to the Construction Technology Show 2026, scheduled for 19–20 August 2026 at NESCO, Mumbai.
A platform to move from discussion to deployment
Opening the session, Pratap Padode, Founder and Editor-in-Chief, ASAPP Info Global Group, said construction technology has long remained close to his heart, especially given the sector’s traditionally slow pace of technology adoption. He noted that over the years, the Construction Technology Summit had steadily built interest, and the next step was now to expand it into a larger, more meaningful platform that could bring together technology providers, users, startups and innovators under one roof.
Padode said the vision for CTS is not limited to software alone. The platform aims to embrace all forms of technology that can improve construction efficiency, quality and execution—from digital tools and project management systems to lean construction, off-site fabrication and startup-led innovation. He also highlighted plans to deepen startup participation and create space for young companies to showcase emerging construction solutions.
Industry at a turning point
Moderating the roundtable, Naushad Panjwani, Chairman, Mandarus Partners, set the context by pointing out that the global construction industry, despite being a multi-trillion-dollar sector, continues to lag in productivity. He noted that while manufacturing has consistently improved efficiency, construction has remained slow to modernise.
Referring to both global and Indian trends, Panjwani underlined that the industry is now at a decisive moment. India, he said, is entering a major build cycle, and delivering the next phase of infrastructure and real estate growth through traditional methods alone is no longer viable. The goal of the roundtable, therefore, was not to debate technology in isolation, but to identify the most critical conversations that would bridge the gap between innovation and implementation.
His central message was clear: CTS 2026 must be shaped around themes that make CEOs, CIOs and CTOs feel they cannot afford to miss the event.
From BIM to AI, data to governance
A major theme that emerged through the discussion was the need for better data, better visibility and better decision-making. Dr Venkata Santosh Kumar of IIT Bombay echoed this, saying that the underlying data infrastructure itself needs attention. Construction projects, particularly remote ones, often face issues around connectivity, data collection and data use. Without this foundation, more advanced technologies cannot deliver their full value.
Chandra Vasireddy, CEO & Co-founder, Inncircles, expanded the discussion to governance, arguing that technology must help connect the many moving parts of a construction business. For him, the real value of digital transformation lies in creating better governance, clearer visibility and stronger business outcomes.
Tejas Vara of Inncircles stressed the importance of timely site data for leadership teams, especially in large and remote projects where decisions on materials, machinery and manpower often get delayed because information does not reach headquarters in time.
The role of AI also featured prominently. Rushabh Mamania, Partner and CBO, Roadvision said that while AI and machine learning are now common terms, vision intelligence and language intelligence have still not deeply penetrated the construction sector. He emphasised that startups in India are building relevant AI-led solutions and are already attracting international interest, showing that innovation need not be imported—it can be built locally and scaled globally.
Industrialised construction gains ground
The roundtable also placed strong emphasis on industrialised construction methods. Kalyan Vaidyanathan, CTO – Construction & R&D, Tvasta, called for greater focus on off-site fabrication and the broader industrialisation of construction. Bhargav Jog, General Manager, Dextra, highlighted precast technology and alternative sustainable materials as areas with immediate relevance.
Several participants agreed that modular, precast and pre-engineered approaches are no longer niche ideas. They are increasingly becoming practical responses to the sector’s challenges around labour shortage, timelines, quality control and predictability.
Anup Mathew, Sr VP & Business Head, Godrej, argued that the industry needs a fully integrated approach—from design and procurement to execution and asset management. Unless these are connected, technology adoption will remain fragmented and sub-optimal. He pointed to pre-engineered and modular systems as examples of how industrial thinking can compress timelines, improve quality and reduce dependence on difficult on-site conditions.
Adoption remains the biggest hurdle
While there was broad agreement on the promise of technology, the discussion repeatedly returned to one fundamental challenge: adoption.
Abhishek Kumar, COO, LivSYT, observed that the market is crowded with solutions, but many buyers still struggle to evaluate which technology suits which use case. According to him, the industry needs clearer frameworks to help users select, compare and adopt solutions, rather than expecting a single platform to solve every problem.
Dr Tenepalli JaiSai, Associate Professor, School of Construction(SoC), NICMAR University, noted that isolated technologies will not solve the productivity problem by themselves. What is required is an integrated Construction 4.0 approach, where digital, physical and cyber-physical systems work together rather than in silos.
That concern around silos was reinforced by Subodh Dixit, former Director, Shapoorji Pallonji, who said the issue is not just that technologies are disconnected, but that stakeholders are as well. Clients, consultants, contractors and partners often operate with different priorities. Unless these silos are broken, technology will struggle to percolate across the full project value chain.
Harleen Oberoi, Project Management, Tata Realty shared a practical perspective from the client side, saying that successful BIM implementation requires investment across the ecosystem, not just within one organisation. Trade partners, vendors and other stakeholders must also be trained and aligned if the technology is to deliver its intended results.
Beyond buzzwords
A notable takeaway from the session was that the industry is moving past the phase of treating technology as a buzzword. Participants repeatedly stressed that the real question is not whether technology should be used, but where it creates measurable value and how that value can be scaled.
The conversation also expanded beyond mainstream themes to include repairs and rehabilitation, construction and demolition waste, sustainability, circular economy, green sourcing, carbon measurement, design interoperability, generative design, robotics, and the role of horticulture and greener built environments.
Setting the agenda for CTS 2026
By the close of the session, the roundtable had surfaced a strong set of themes for the upcoming show: BIM and digital twins, AI and data platforms, industrialised construction, startup innovation, governance-led technology adoption, robotics, sustainable materials, and integrated project delivery.
More importantly, the session established CTS 2026 as more than an exhibition. It is shaping up to be a serious industry platform where users, technology providers, researchers and policymakers can collectively define the future of construction.
As Padode noted in his closing remarks, the conversation will continue through further consultations and possibly webinars in the run-up to the show. If the roundtable is any indication, CTS 2026 will aim not merely to showcase technology, but to push the industry towards meaningful adoption at scale.
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
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RAHSTA Roundtable Sets Agenda for Smarter, Safer Highways
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