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Prices may remain under pressure in Q2: ICRA

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Despite cement prices touching a record level by end-June 2018, they could not sustain these high levels and eased by end-July. ET Index of Cement Prices has fallen about 77 points or 3.77 per cent from 2048 points at end-June to 1970.9 points at end-July 2018, though it has remained at 2011.2-point level till a few days before that. The companies could not hold their prices at a higher level witnessed in end-June 2018 even though their costs have spiked during the last few months. The expectations that the prices will go up further in July was dashed as major players in the industry were focusing more on building volumes by pushing stocks instead of focusing on higher profitability at this juncture.
On an average, cement prices have declined in most markets in April-June 2018 (Q1 FY2019) on a year-on-year (YoY) basis, at a pan India level prices have declined by around 5-6 per cent YoY. Leading rating agency ICRA said in a recent analysis that due to decline in cement prices the profitability of cement companies is likely to be negatively impacted in the first half of FY2019.
‘Also, the prices are likely to remain under pressure in Q2 FY2019 due to the monsoons. Higher power and fuel (increase in coal and pet coke prices) and freight costs (increase in diesel prices) in the near term are likely to continue to put pressure on the profitability margins and debt metrics of the cement companies,’ says Sabyasachi Majumdar, Senior Vice President & Group Head, ICRA.
The demand momentum is healthy, but the rising supplies have not resulted in a significant increase in the cement prices, which remained flat in Q1 FY2019 on a Q-o-Q basis, Majumdar adds.
According to data available with ICRA, in Q1 FY2019, cement prices declined in most markets such as Delhi, Chandigarh, Kolkata and Hyderabad. However, prices in Ahmedabad have been higher by 2.8 per cent on a YoY basis. In Delhi and Hyderabad, they have been lower by Rs. 40/bag, around 12-13 per cent, and in Chandigarh by Rs. 20/bag YoY (5.7 per cent). On the input cost front, coal and pet coke prices in Q1 FY2019 are higher by 21 per cent and 30 per cent on a YoY basis, resulting in higher power and fuel costs. Diesel prices have also been higher by 21 per cent YoY, resulting in higher freight costs.
Monthly production remained in the range of 26?28.5 million MT during the December 2017-May 2018 period, clocking the highest at 28.5 million MT in March 2018. In April 2018, production continued to remain healthy at 27.3 million MT, an increase of 16.7 per cent on a YoY basis. While production declined on a MoM basis by 5.0 per cent in May 2018, it has been higher by 5.2 per cent on a YoY basis at around 26 million MT. The production in the aforementioned period was supported by the demand in Andhra Pradesh and Telangana (driven by irrigation, low cost housing and infrastructure projects), the eastern (driven by low cost housing and infrastructure demand) and the western Indian markets (led by execution of infrastructure projects). Unavailability of sand continued to impact demand in Rajasthan.
However, during their Q1 2019 results announcement quarter, the management of UltraTech Cement was sanguine about the rise in prices in the coming quarter, citing that June exit prices were higher than the quarter’s average.BS Srinivasalu Reddy

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Concrete

Wonder Cement appoints Mahesh Singh as VP Corporate Brand Communication 

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Singh brings 20+ years of brand and marketing experience, and will lead integrated corporate brand communication initiatives at Wonder Cement 

New Delhi

Wonder Cement, a leading cement manufacturer, has appointed Mahesh Singh as Vice President – Corporate Brand Communication. In his new role, he will oversee corporate brand strategy and communication, including digital and performance marketing, public relations, trade, events, exhibitions, sports and experiential marketing. 

Singh brings over two decades of experience across marketing and communications, with roles spanning the automotive industry, agencies and entrepreneurship. He spent more than a decade with Honda Motorcycle & Scooter India, working across integrated communication, media, digital, retail and consumer engagement. His stint also included helping build the company’s digital marketing capabilities. 

He moved to dentsu X India as Vice President – Strategy & Planning, working across categories such as automotive, auto components, electric vehicles, FMCG, consumer electronics, BFSI, apparel and brand consulting. His responsibilities included media and marketing strategy, product launches, content, performance marketing and consumer activations. 

Singh subsequently took an entrepreneurial route with Radiant Brands before joining Shriram Ltd (SPR Autotech) as Head – Marketing & Communications. There, his remit included brand and corporate strategy, communications, PR and ORM, retail identity, loyalty programmes and events. 

At Wonder Cement, Singh will be responsible for bringing together the company’s corporate brand communication initiatives across digital, performance marketing, PR, trade, sports and experiential platforms. The role will focus on creating an integrated approach to communication across consumers, trade partners and other key stakeholders. 

The appointment brings to Wonder Cement a marketer whose career has spanned the brand, agency and entrepreneurial sides of the communications ecosystem. 

Wonder Cement, part of the RK Group, is a cement manufacturer with roots in Rajasthan and a focus on quality, trust and transparency. The company has grown to six manufacturing plants, and a cement capacity of 21.5 MTPA. With more than 2,000 employees and a network of over 5,000 dealers, its operations span manufacturing, distribution and customer engagement, with a focus on consistent product quality and efficient execution. 

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Concrete

JSW Cement commissions additional 1 MTPA grinding unit at Nagaur

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With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA, 
Mumbai

JSW Cement, one of India’s leading green cement producers and part of the diversified JSW Group, today announced the successful commissioning of an additional 1.00 MTPA cement grinding unit at Nagaur, Rajasthan. The commissioning marks another significant milestone in the Company’s growth strategy.

With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA, while its total clinker manufacturing capacity, including clinker capacity at its joint venture, JSW Cement FZC, stands at 9.74 MTPA.

JSW Cement had commenced operations in North India in March 2026 with the Nagaur Integrated Plant, comprising a 3.30 MTPA clinkerisation unit and 2.50 MTPA cement grinding unit. With the commissioning of the additional 1.00 MTPA cement grinding unit, the plant’s total cement grinding capacity has increased to 3.50 MTPA, enhancing the company’s ability to cater to the growing cement demand across Rajasthan, Haryana, Punjab and the National Capital Region (NCR). The expansion has been funded through a strategic mix of equity and long-term debt.

During the quarter ended 30th September 2026, JSW Cement has also commissioned the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) at the Nagaur Integrated Plant.

Nilesh Narwekar, CEO, JSW Cement, said: “The commissioning of additional 1.00 MTPA grinding capacity at Nagaur is a key strategic priority for us and will accelerate JSW Cement’s expansion into North India. We look forward to servicing the growing needs of the region and contributing to the economic growth of Rajasthan, Haryana, Punjab and the NCR area. I am delighted to share that the company has commissioned this grinding unit within the expected timeline, showcasing our project execution capabilities. Further, the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) are expected to substantially reduce our production costs going forward.”

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Concrete

UltraTech becomes first Indian cement firm to cross 2 GW green energy

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UltraTech Cement has crossed 2 GW of captive green energy capacity, with renewables and waste heat recovery meeting 48 per cent of its power needs.

Mumbai

UltraTech Cement Limited has surpassed 2 GW of installed green energy capacity for captive use, becoming the first cement company in India to achieve the milestone. The Aditya Birla Group company commissioned 116.55 MW of wind capacity at its Inter-State Transmission System-connected wind-solar hybrid project in Barmer, Rajasthan, along with 10 MW of Waste Heat Recovery System capacity at Sarlanagar Cement Works in Karnataka.

With these additions, UltraTech’s cumulative installed green energy capacity has reached 2,024 MW. This includes 1,580 MW of renewable energy capacity and 444 MW of waste heat recovery capacity, together meeting around 48 per cent of the company’s current power requirements.

The company said the milestone reflects the progress of its long-term energy transition strategy. In FY27 so far, nearly one-third of UltraTech’s 76 manufacturing units in India have maintained green energy utilisation above 50 per cent of their electricity requirements, while five units have crossed 95 per cent.

K C Jhanwar, Managing Director, UltraTech Cement Limited, said, “Crossing the 2 GW green energy milestone is the result of a strategy we have pursued consistently over the past decade. Cement is an energy-intensive, hard-to-abate sector, and showing that reliability and growth can go hand in hand with a rapid shift to green energy sets a benchmark for the industry. With nearly half of our power needs now met through green energy, we are significantly less exposed to fossil fuel supply constraints and power price volatility. As we scale up renewables, waste heat recovery and battery storage across our operations, we are building an energy foundation for stable, long-term growth.”

UltraTech commissioned 430 MW of green energy capacity in FY26 and continues to expand its renewable energy and waste heat recovery portfolio.

The company is also progressively integrating Battery Energy Storage Systems across its operations to improve renewable energy utilisation and supply reliability.

In 2025, UltraTech operationalised what it described as India’s first on-site hybrid round-the-clock renewable energy project at Sewagram Cement Works in Gujarat. The project combines solar, wind and battery storage.

As part of its decarbonisation strategy, UltraTech said it has not invested in new captive thermal power capacity for either greenfield projects or brownfield expansions at its integrated units for more than a decade.

The company said its expanding green energy portfolio is helping reduce dependence on conventional grid electricity and fossil fuel-based power, while lowering exposure to fluctuations in coal and electricity prices.

UltraTech aims to increase green energy’s share in its total power mix to 85 per cent by 2030. As a member of RE100, it has also committed to meeting 100 per cent of its electricity requirement through renewable sources by 2050.

UltraTech Cement, the cement flagship of the Aditya Birla Group, has a total grey cement capacity of 210.1 MTPA and white cement and putty capacity of 3.5 MTPA. The company is also a signatory to the GCCA Climate Ambition 2050 and has committed to the GCCA Net Zero Concrete roadmap.

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