Economy & Market

Up and Down the Cement Chain

Published

6 years ago

January 11, 2019

admin

The data on growth of core sectors have just come in for September and it shows a decline of -5 per cent, the highest degrowth that this index has seen since the inception of new base year of 2012. Among all round decline of various sectors, cement has reported a back to back decline of 2 per cent on top of a 5 per cent shrinkage in August. It was just a couple of months back that the observers were gung ho about recovery in the sector. While the near term fortunes of the cement sector thus fluctuates up and down, we are covering in this issue of Indian Cement Review, a couple of critical inputs and outputs of cement, up and down the value chain.

This time, we have come with a offering of perspectives around concrete and gypsum. One is a downstream value-added product of cement, with which we all are reasonably familiar, since concrete is almost synonymous with construction, while the other is a vital raw material of cement, which by contrast, is lesser known among the lay persons. With this combination, we move up and down the cement value-chain, and investigate the connected emerging issues.

We like the subject of gypsum because the issues around procurement of this commodity are interesting and complex at the same time. Traditionally, cement has been manufactured by co-grinding of clinker with mineral gypsum. Over the last two decades however, the limited amount of mineral deposits of gypsum in India, predominantly in the state of Rajasthan and a little bit in Jammu, have come under pressure due to increased demand as cement consumption grew. Alongside, the other consuming industries of mineral gypsum, such as Gypboards, finishing plaster materials, etc., also hiked their demands. Slowly, deliveries and prices of mineral gypsum came under strain, and quite obviously, our cement companies started looking at imports of mineral gypsum from Bhutan, Thailand, Oman and Saudi Arabia.

As with all imports, such procurement strategies expose a cement plant to the additional risks of fluctuations in currency and freight rates, over and above the usual risks of elongated supply chain uncertainties.

We believe that these factors led the industry to look for synthetic substitutes of mineral gypsum from fertiliser/copper industry. Now, such chemical substitutes were known previously as well, but did not find favour with process engineers due to adjustments needed to be experimented with, in the raw mix and in the process, to arrive at a stable cement quality. As the old saying goes, "necessity is the mother of invention", the difficulties in procuring indigenous mineral gypsum, and the risks associated with importation of foreign mineral gypsum incentivised the cement sector to learn and assimilate the process tweaks necessary to use chemical gypsum available as by products of other chemical/metallurgical industries. This approach gave the cement plants also a small opportunity of cost reduction.

It is this complex interplay of factors of quality, process, cost and availability, that makes for an absorbing discussion on the topic of gypsum.

Concrete

15th Cement EXPO: A Step Forward in Cement Innovation

Published

3 weeks ago

January 17, 2025

admin

Mumbai

Following the immense success of the 14th Cement EXPO, held on December 14-15, 2023, at the Manekshaw Centre, New Delhi, the next edition of this premier event is set to take place in March 2025. The 15th Cement EXPO will be hosted at Yashobhoomi, Delhi, on 12th and 13th November 2025.

Meanwhile, the Cement Expo Forum 2025 is scheduled for 5th and 6th March 2025 at Taj Krishna in Hyderabad. This exciting 3-in-1 event, organised by FIRST Construction Council (FCC) and Indian Cement Review (ICR), will bring together industry leaders, innovators, and stakeholders to discuss the future of the cement sector.

Building on the Success of the 14th Cement EXPO

The 14th Cement EXPO was widely praised for its strong participation, attracting over 1,500 senior managers and decision-makers from across the cement industry. The event was inaugurated by Dr. Vibha Dhawan, Director General of TERI, and Ali Emir Adiguzel, Founder and Director of the World Cement Association, alongside Pratap Padode, Founder of FIRST Construction Council (FCC). The two-tiered exhibition space featured cutting-edge products and innovations from top companies within the cement industry’s supply chain.

The event also garnered significant support from key government bodies, including the Ministry of Road Transport and Highways, Government e-Marketplace (GeM), and the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, Government of India (GoI).

Recognition and Excellence in the Cement Industry

The 7th Indian Cement Review Awards celebrated excellence by presenting awards to 11 companies in various categories, recognising their contributions to growth and innovation within the industry. Notably, Parth Jindal, Managing Director of JSW Cement, was honoured with the prestigious Indian Cement Review – Person of the Year Award 2023. Meanwhile, Vinita Singhania, Vice Chairman and Managing Director of JK Lakshmi Cement Ltd, received the Lifetime Achievement Award for her outstanding leadership and contributions to the sector.

A Vision for Sustainability

With the theme of “Driving Sustainability Through Technology,” the 9th Indian Cement Review Conference hosted thought-provoking discussions and presentations, highlighting the industry’s commitment to adopting innovative, sustainable practices. The conference served as a platform for dialogue on the latest technological advancements aimed at transforming the cement sector, addressing key challenges, and fostering growth.

What to Expect from Cement EXPO 2025

The 15th Cement EXPO, along with the 10th Indian Cement Review Conference and the 8th Indian Cement Review Awards, is set to be even bigger and more impactful than the 2023 edition. With an expanded exhibition space, greater participation, and more in-depth discussions, the 2025 event will continue to drive the industry forward. This 3-in-1 event promises to be a pivotal moment in the ongoing transformation of the cement sector.

As the industry evolves, the 15th Cement EXPO 2025 will serve as a crucial platform for showcasing innovations, discussing emerging trends, and forging new partnerships to shape the future of cement and construction.

For more details:

Cement Expo Forum 2025: https://cementexpo.in/forum

15^th Cement Expo 2025: https://cementexpo.in/

FOR CONFERENCE SPONSORSHIPS

Sheetal Talreja

Mob: +91 842 2874 030

Email: sheetal@IndianCementReview.com

FOR EXHIBITION/SPONSORSHIPS

Sujoy Gomes

Mob: +91 865 7795 881

Email: Sujoy.g@ASAPPinfoGlobal.com

FOR SPONSORSHIPS

Ratan Rajbhar

Mob: +91 842 2874 021

Email: ratan.r@ASAPPinfoGlobal.com

Concrete

Construction sector growth slows to 8-10% for FY2025: ICRA

Published

3 weeks ago

January 15, 2025

admin

The revenue growth for construction companies in FY2025 is projected at 8-10 per cent, down from the earlier estimate of 12-15 per cent, according to ICRA. This marks the slowest growth in three years, driven by factors such as the Model Code of Conduct in Q1, prolonged monsoons, and milestone-based billing in Q2, particularly affecting road-focused players.
ICRA’s analysis of 19 companies with a combined turnover of Rs.1.28 trillion in FY2024 shows modest revenue growth of 1.5 per cent YoY in H1 FY2025. While execution is expected to improve in H2, FY2025 growth remains below the historical CAGR of ~15 per cent (FY2018-FY2024).
Order inflows in urban transport, water and sewage projects are healthy, but road-focused entities face challenges due to muted inflows and high competition. Operating margins are projected to remain range-bound at 10.5-11 per cent, with debt levels rising to manage working capital needs, though debt coverage metrics remain stable.

Concrete

SANY India expands Pune factory to boost production capacity

Published

3 weeks ago

January 15, 2025

admin

SANY India inaugurated a cutting-edge factory expansion at its 90-acre Pune facility, elevating its production capacity to over 14,000 units annually, alongside a robust fabrication capacity of 100,000 metric tonnes.

The advanced facility reinforces SANY’s commitment to ‘Make in India’ by enhancing localised manufacturing and supporting global exports. Chairman Xiang Wenbo highlighted the strategic importance of India as a global hub, while Vice Chairman Deepak Garg emphasised the expansion’s role in driving innovation and infrastructure development. This investment enhances efficiency, reduces timelines, and strengthens SANY’s leadership in the construction equipment sector.