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Continuing upward streak

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Prices continuing to spike, steeply at times, for the last four months is highlighting the pricing power of the industry, but their sustainability at these levels is being doubted.

Cement prices are spiralling up continuing their rising streak in May 2019, that had a nascent beginning in February 2019, though some pressure points are visible in certain regions later in May 2019.

The ET Cement Index that tracks cement price movements across the country was up by 5.83 per cent to 2431.1 points in end- May 2019 from 2297.2 at the beginning of May 2019, close on the heels of supernormal rise of 13.07 per cent seen in April. The price momentum upwards continued to firm up since February 2019, setting a clear tone for the prices.

Sharp pricing recovery since February 2019 has already aided cement companies to report healthier operational performance in the quarter ended March 2019, as well as in ensuing quarters, say analysts.

After the underperformance in 2018, cement stocks are up 10-30 per cent year to date (YTD/May 29, 2019) (vs +10 per cent for Nifty) led by cement pricing rebound; factors such as strong demand, stable government and lower inputs are also helping. 4QFY19 (January-March quarter of 2018-19) was the sixth consecutive quarter of double-digit volume growth. While realisations missed forecasts, lower costs helped,’ says Vivek Maheshwari, Investment Analyst of the leading broking firm CLSA. The readings are limited to the group of stocks that CLSA is tracking in its portfolio.

"With exit prices higher, 1QFY20 seems like a blockbuster, but our checks suggest higher discounts in the last two weeks due to weak construction activity. With elections behind, a clear picture should now emerge," Maheshwari added.

Volume growth momentum stayed strong and for the sixth-quarter in a row remained in double digits at 11 per cent in 4QFY19, while for the full-year volume growth too was in double digits. Despite a high volume base, industry feedback on volume growth stayed positive led by government’s focus on infrastructure along with affordable housing, says CLSA.

Sabyasachi Majumdar, Senior Vice President, ICRA has predicted that the domestic cement demand is likely to grow by eight per cent during the current fiscal. The demand push will result in the capacity utilisation rising to 71 per cent from 65 per cent in FY18 (2017-18), ICRA said in a report. It also predicted that the growth in demand will be driven by a likely 18-20 million tonnes per annum (MTPA) of additional production capacity during the fiscal.

Though the cement prices have made a big leap matching the decadal levels achieved before 2010, it may not match in terms of capacity utilisation which was in the range of 85-90 per cent a decade ago, mainly because of huge supplies available at the current juncture.

The cement demand has been improving across the country and as a result cement prices have been heading north. Cement production was higher by around 13 per cent year-on-year (YoY) in FY19, up from 6 per cent YoY growth in FY18. "The double-digit growth rate is likely to get moderated in FY20 to 7-8 per cent," ICRA said.

The recent elections have disrupted construction activity on the ground due to factors like lack of workers and tight liquidity, resulting in higher discounts and rebates offered by channels and players in a bid to clear inventory. "Now that the election is over, we believe a clear trend will emerge on demand as well as pricing as the activity starts to pick-up again," says CLSA.

Markets-wise, Delhi and Bengaluru saw muted demand in May 2019, resulting in easing of wholesale prices by Rs 4-5/bag of 50kg, while on the other hand, demand in Mumbai was good and as such there has been no recent decline in wholesale prices of the building material, according to cement dealers.

Cement prices were hiked twice in Delhi in April, resulting in a huge hike of Rs 60/bag. However, the prices have been on the rise since the beginning of April in Mumbai, with overall hike of Rs 30 in the month. The industry has also witnessed another benefit coming its way in Q4 for stocks in the coverage of CLSA ? Unit costs have declined 4 per cent quarter-on-quarter (QoQ) and stayed flat year-on-year (YoY) at aggregate level, showering benefits even in energy costs. The Q4 exit cement prices were higher than quarter average, signalling a strong 1QFY20, CLSA added.

– Markets-wise, Delhi and Bengaluru saw muted demand in May 2019, resulting in easing of wholesale prices by Rs 4-5/bag of 50kg, while on the other hand, demand in Mumbai was good.

– ICRA said that the industry will also benefit from easing of freight expenses, owing to the increase in the truck axle load norms from Q2, which will result in relatively higher operating profitability for cement companies in the near-term.

Many analysts are predicting that incremental demand will come from the proposed "housing for all" scheme and construction activities of Metro/irrigation projects, besides other infrastructure projects.

"The continued focus on the housing sector and rural economy in the Union Budget for 2019-20 is likely to have a positive impact on the cement industry. On the infrastructure side, the continued thrust on the roads and railways is likely to push cement demand. While the healthy demand is likely to support the recent price increase, the supply side pressure on prices in some regions cannot be ruled out completely," Majumdar of ICRA said.

Though there is every reason to believe that demand would be outpacing supply in the months to come, some stakeholders are keeping their fingers crossed over the sustainability of prices at such high levels, particularly citing a price hike of Rs 30-50/bag in a single month – in April 2019, which they claim is unusual.

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Concrete

Filtration Technology is Critical for Efficient Logistics

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Niranjan Kirloskar, MD, Fleetguard Filters, makes the case that filtration technology, which has been long treated as a routine consumable, is in fact a strategic performance enabler across every stage of cement production and logistics.

India’s cement industry forms the core for infrastructure growth of the country. With an expected compound annual growth rate of six to eight per cent, India has secured its position as the second-largest cement producer globally. This growth is a result of the increasing demand across, resulting in capacity expansion. Consequently, cement manufacturers are now also focusing on running the factories as efficiently as possible to stay competitive and profitable.
While a large portion of focus still remains on production technologies and capacity utilisation, the hidden factor in profitability is the efficiency of cement logistics. The logistics alone account for nearly 30 per cent to 40 per cent of the total cost of cement, making efficiency in this segment a key lever for profitability and reliability.
In the midst of this complex and high-intensity ecosystem, filtration often remains one of the most underappreciated yet essential enablers of performance.

A demanding operational landscape
Cement production and logistics inherently operate in some of the harshest industrial environments. With processes such as quarrying, crushing, grinding, clinker production, and bulk material handling expose the machinery to constant high temperatures, heavy loads, and dust, often the silent destructive force for engines.
The ecosystem is abrasive, and often one with a high contamination index. These challenging conditions demand equipment such as the excavators, crushers, compressors, and transport vehicles to perform and perform efficiently. The continuous exposure to contamination across every aspect like air, fuel, lubrication, and even hydraulic systems causes long-term damage. Studies have also shown that 70 to 80 per cent of hydraulic system failures are directly linked to contamination, while primary cause of engine wear is inadequate air filtration.
For engines as heavy as these, even a minor contaminant has a cascading effect; reducing efficiency, performance and culminating to unplanned downtime. Particles as small as 5 to 10 microns, far smaller than a human hair (~70 microns), can cause significant damage to critical engine components. In an industry where margins are closely linked to operational efficiency, such disruptions can significantly affect both cost structures and delivery timelines.

Dust management: A persistent challenge
Dust is a natural by-product in cement operations. From drilling and blasting in the quarries to packing in plants, this fine particulate matter does occupy a large space in operations. Dust concentration levels in quarry and crushing zones often create extremely high particulate exposure for equipment. These fine particles, when enter the engines and critical systems, accelerates the wear and tear of the component, affecting directly the operational efficiency. Over time every block fall; engine performance declines, fuel consumption rises, and maintenance cycles shorten. In this case, effective air filtration is the natural first line of defence. Advanced filtration systems are designed to capture high volumes of particulate matter while maintaining consistent airflow, ensuring that engines and equipment operate under optimal conditions.
In high-dust applications, as in cement production, even the filtration systems are expected to sustain performance over extended periods without the need of frequent replacement. This becomes crucial in remote quarry locations where access to frequent maintenance may be limited.

Fluid cleanliness and system integrity
Beyond air filtration, fluid systems also play a crucial role for equipment reliability in cement operations. Fuel systems are required to remain free from contaminants for efficient working of combustion and injection protection. Additionally, lubrication systems also need to maintain the oil purity to reduce friction and prevent any premature wear of moving parts. The hydraulic systems, which are key to several heavy equipment operations, are especially sensitive to contamination.
If fine particles or water enters these systems, it can lead to reduced efficiency, erratic performance, and eventual failure of the system. Modern filtration systems are designed with high-efficiency media capable of removing extremely fine contaminants, with advanced fuel and oil filtration solutions filtering particles as small as two to five microns. Multi-stage filtration systems further ensure that fluid performance is maintained even under challenging operating conditions.
Another critical aspect of fuel systems is water separation. Removing moisture helps prevent corrosion, improves combustion efficiency and enhances overall engine reliability. Modern water separation technologies can achieve over 95 per cent efficiency in removing water from fuel systems.

Ensuring reliability across the value chain
Filtration plays a critical role across every stage of cement logistics:
• Quarry operations: Equipment operates in highly abrasive environments, requiring strong protection against dust ingress and hydraulic contamination.
• Processing units: Crushers, kilns, and grinding mills depend on clean lubrication and cooling systems to sustain continuous operations.
• Material handling systems: Pneumatic and mechanical systems rely on clean air and fluid systems for efficiency and reliability.
• Transportation networks: Bulk carriers and trucks must maintain engine health and fuel efficiency to ensure timely deliveries.
Across these operations, filtration plays a vital role; as it supports consistent equipment performance while reducing the risk of unexpected failures.
Effective filtration solutions can reduce unscheduled equipment failures by 30 to 50 per cent across heavy-duty operations.

Uptime as a strategic imperative
In cement manufacturing, uptime is currency. Downtime not only delays the production, but it also greatly impacts the supply commitments and logistics planning. With the right filtration systems, contaminants are kept at bay from entering the
critical systems, and they also significantly extend the service intervals.
Optimised filtration can extend service intervals by 20 to 40 per cent, reducing maintenance frequency while maintaining consistent performance across demanding operating conditions. Filtration systems designed for heavy-duty applications sustain efficiency throughout their lifecycle, ensuring reliable protection with minimal interruptions. This leads to improved equipment availability, lower maintenance costs, and more predictable operations, with well-maintained systems capable of achieving uptime levels of over 90 to 95 per cent in challenging cement environments.

Supporting emission and sustainability goals
With the rising environmental awareness, the cement industry too is aligning with the stricter norms and sustainability targets. In this scenario, the operational efficiency is directly linked to emission control.

Air and fuel systems that are clean enable
much more efficient combustion. They also reduce emissions from both the stationary equipment and transport fleets. Similarly, with a well-maintained fluid cleanliness, emission systems function better. Poor combustion due to contamination can increase emissions by 5 to 10 per cent, making clean systems critical for compliance.
Additionally, efficient and longer lasting filtration systems significantly reduce any waste generation and contribute to increased sustainable maintenance practices. Extended-life filtration solutions can reduce filter disposal and maintenance waste by 15 to 20 per cent. Smart and efficient filtration in this case plays an important role in meeting the both regulatory and environmental objectives within the industry.

Advancements in filtration technology
Over the years, there has been a significant evolution in the filtration technology to meet the modern industrial applications.
Key developments include:
• High-efficiency filtration media capable of capturing very fine particles without restricting flow
• Compact and integrated designs that combine multiple filtration functions
• Extended service life solutions that reduce replacement frequency and maintenance downtime
• Application-specific engineering tailored to different stages of cement operations
Modern multi-layer filtration media can improve dust-holding capacity by up to two to three times compared to conventional systems, while maintaining consistent performance. These advancements have transformed filtration from a basic maintenance component into a critical performance system.

Adapting to diverse operating conditions
The cement industry of India operates across diverse geographies. Spanning across regions with arid regions with higher dust levels, to the coastal areas with higher humidity, challenges of each region pose different threats to the engines. Modern filtration systems are thus tailored to address these unique challenges of each region.
Indian operating environments often range from 0°C to over 50°C, with some of the highest dust loads globally in mining zones.
Additionally, filtration technology can also be customised to variations which then align the system design with factors like dust load, temperature, and equipment usage patterns. Equipment utilisation levels in India are typically higher than global averages, making robust filtration even more critical. This approach ensures optimal performance and durability across different operational contexts.

Impact on total cost of ownership
Filtration has a direct and measurable impact on the total cost of ownership of equipment.
Effective filtration leads to:
• Lower wear and tear on critical components
• Reduced maintenance and repair costs
• Improved fuel efficiency
• Extended equipment life
• Higher operational uptime
Effective filtration can extend engine life by 20 to 30 per cent and reduce overall maintenance costs by 15 to 25 per cent over the equipment lifecycle. These benefits collectively enhance productivity and reduce lifecycle costs. Conversely, inadequate filtration can result in frequent breakdowns, increased maintenance expenditure, and reduced asset utilisation.

Building a more efficient cement ecosystem
With the rising demand across various sectors, the cement industry is expected to expand at an unprecedented rate. This growth is forcing the production to move towards a more efficient and resilient system of operations. This requires attention not only to production technologies but also to the supporting systems that enable consistent performance. Filtration must be viewed as a strategic investment rather than a routine consumable. By ensuring the cleanliness of air and fluids across systems, it supports reliability, efficiency, and sustainability.

The road ahead
The future of cement logistics will be shaped by increasing mechanisation, digital monitoring, and stricter environmental standards. The industry is also witnessing a shift towards predictive maintenance and condition monitoring, where filtration performance is increasingly integrated with real-time equipment diagnostics.
In this evolving landscape, the role of filtration will become even more critical. As equipment becomes more advanced and operating conditions more demanding, the need for precise contamination control will continue to grow. From quarry to construction site, filtration technology underpins the performance of every critical system. It enables equipment to operate efficiently, reduces operational risks, and supports the industry’s broader goals of growth and sustainability. In many ways, it is the unseen force that keeps the cement ecosystem moving, quietly ensuring that every link in the value chain performs as expected.

About the author
Niranjan Kirloskar, Managing Director, Fleetguard Filters, is focused on driving innovation, operational excellence, and long-term business growth through strategic and people-centric leadership. With a strong foundation in ethics and forward-thinking decision-making, he champions a culture of collaboration, accountability, and technological advancement.

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Concrete

Cement’s Next Fuel Shift

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Jignesh Kindaria highlights how Thermal Substitution Rate (TSR) is emerging as a critical lever for cost savings, decarbonisation and competitive advantage in the cement industry.

India is simultaneously grappling with two crises: a mounting waste emergency and an urgent need to decarbonise its most carbon-intensive industries. The cement sector, the second-largest in the world and the backbone of the nation’s infrastructure ambitions, sits at the centre of both. It consumes enormous quantities of fossil fuel, and it has the technical capacity to consume something else entirely: the waste our cities cannot get rid of.
According to CPCB and NITI Aayog projections, India generates approximately 62.4 million tonnes of municipal solid waste annually, with that figure expected to reach 165 million tonnes by 2030. Much of this waste is energy-rich and non-recyclable. At the same time, cement kilns operate at material temperatures of approximately 1,450 degrees Celsius, with gas temperatures reaching 2,000 degrees. This high-temperature environment is ideal for co-processing, ensuring the complete thermal destruction of organic compounds without generating toxic residues. The physics are in our favour. The infrastructure is not.
Pre-processing is not the support act for co-processing. It is the main event. Get the particle size wrong, get the moisture wrong, get the calorific value wrong and your kiln thermal stability will suffer the consequences.

The regulatory push is real
The Solid Waste Management (SWM) Rules 2026 mandate that cement plants progressively replace solid fossil fuels with Refuse-Derived Fuel (RDF), starting at a 5 per cent baseline and scaling to 15 per cent within six years. NITI Aayog’s 2026 Roadmap for Cement Sector Decarbonisation targets 20 to 25 per cent Thermal Substitution Rate (TSR) by 2030. Beyond compliance, every tonne of coal replaced by RDF generates measurable carbon reductions which is monetisable under India’s emerging Carbon Credit Trading Scheme (CCTS). TSR is no longer a sustainability metric. It is a financial lever.
Yet our own field assessments across multiple Indian cement plants reveal a sobering reality: the primary barrier to scaling AFR adoption is not waste availability. It is the fragmented and under-engineered pre-processing ecosystem that sits between the waste and the kiln.

Why Indian waste is a different engineering problem
Indian municipal solid waste is not the material that imported shredding equipment was designed for. Our waste streams frequently exceed 40 per cent to 50 per cent moisture content, particularly during monsoon cycles, saturated with abrasive inerts including sand, glass, and stone. Plants relying on imported OEM equipment face months of downtime awaiting proprietary spare parts. Machines built for segregated, low-moisture waste fail quickly and disrupt the entire pre-processing operation in Indian conditions.
The two most common failures we observe are what I call the biting teeth problem and the chewing teeth problem. Plants relying solely on a primary shredder reduce bulk waste to large fractions, but the output remains too coarse for stable kiln combustion. Others attempt to use a secondary shredder as a standalone unit without a primary stage to pre-size the feed, leading to catastrophic mechanical failure. When both stages are present but mismatched in throughput capacity, the system becomes a bottleneck. Achieving the 40 to 70 tonnes per hour required for meaningful coal displacement demands a precisely coordinated two-stage process.

Engineering a made-in-India answer
At Fornnax, our response to these challenges is grounded in one principle: Indian waste demands Indian engineering. Our systems are built around feedstock homogeneity, the holy grail of kiln stability. Consistent particle size and predictable calorific value are the foundation of stable kiln combustion. Without them, no TSR target is achievable at scale.
Our SR-MAX2500 Dual Shaft Primary Shredder (Hydraulic Drive) processes raw, baled, or loosely mixed MSW, C&I waste, bulky waste, and plastics, reducing them to approximately 150 mm fractions at throughputs of up to 40 tonnes per hour. The R-MAX 3300 Single Shaft Secondary Shredder (Hydraulic Drive), introduced in 2025, takes that primary output and produces RDF fractions in the 30 to 80 mm range at up to 30 tonnes per hour, specifically optimised for consistent kiln feeding. We have also introduced electric drive configurations under the SR-100 HD series, with capacities between 5 and 40 tonnes per hour, already operational at a leading Indian waste-processing facility.
Looking ahead, Fornnax is expanding its portfolio with the upcoming SR-MAX3600 Hydraulic Drive primary shredder at up to 70 tonnes per hour and the R-MAX2100 Hydraulic drive secondary shredder at up to 20 tonnes per hour, designed specifically for the large-scale throughput that higher TSR ambitions require.

The investment case is now
The 2070 Net-Zero target is not a distant goal for India’s cement sector. It starts today, with decisions being made on the plant floor.
The SWM Rules 2026 are already in effect, requiring cement plants to replace coal with RDF. Carbon credit markets are opening up, and coal prices are not going to get cheaper. Every tonne of coal a cement plant replaces with waste-derived fuel saves money on one side and generates carbon credit revenue on the other. Pre-processing infrastructure is no longer just a compliance requirement. It is a business investment with a measurable return.
The good news is that nothing is missing. The technology works. The waste is available in every Indian city. The government has provided the policy direction. The only thing standing between where the industry is today and where it needs to be is the commitment to build the right infrastructure.
The cement companies that move now will not just meet the regulations. They will be ahead of every competitor that waits.

About the author
Jignesh Kundaria is the Director and CEO of Fornnax Technology. Over an experience spanning more than two decades in the recycling industry, he has established himself as one of India’s foremost voices on waste-to-fuel technology and alternative fuel infrastructure.

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Concrete

Dalmia Bharat Cement launches water repellent cement brand Weather 365 in Eastern India

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The company has introduced water repellent cement to target rising consumer demand for weather-resilient housing solutions.

New Delhi, May 15, 2026

Dalmia Bharat Cement, one of India’s leading cement manufacturing companies, has launched Weather 365, a new super-premium water repellent cement brand aimed at addressing growing consumer demand for durable, weather-resistant construction materials in Eastern India. The product is positioned as a high-performance offering for consumers seeking long-term protection against seepage, dampness and moisture damage. The launch marks a strategic push by Dalmia Bharat Cement into the fast-growing premium cement segment, where consumer preference is increasingly shifting from price-led purchases to specialised, performance-oriented building materials.

Reinforcing its super-premium positioning, the product will be available in premium-quality water-resistant and tamper-proof BOPP packaging. ‘Weather 365’ will be introduced across its retail markets in West Bengal and Bihar.

In addition to the product rollout, the company will provide on-site technical support through its engineering and technical services teams to guide customers on best construction practices and improve long-term building performance.

Speaking on the launch, company spokesperson from Dalmia Bharat Cement said: “Weather 365 is a testament to Dalmia Bharat Cement’s relentless pursuit of innovation. Eastern India experiences prolonged monsoons, high humidity and challenging weather conditions that significantly impact the life of buildings and homes. Consumers today are actively looking for solutions that offer long-term protection and lower maintenance costs. Weather 365 is our answer to that need – a differentiated premium product that combines structural strength with advanced moisture protection that safeguards homes at every level, every season. We believe this category will see strong growth in the coming years.”

Weather 365 is a specialised cement product developed to meet the rigorous demands of modern construction in regions exposed to high humidity, heavy rainfall and extreme weather cycles. Designed for roofs, columns and foundations, it delivers end-to-end moisture protection across the entire home from the structure’s core to its visible surfaces. Its proprietary uniform water repellent technology helps reduce water penetration, minimize steel corrosion in RCC structures while preventing efflorescence and damp patches, thereby ensuring stronger concrete, improved paint life and long-lasting structural health. Positioned as a super-premium product in Dalmia Bharat Cement’s portfolio, Weather 365 targets discerning homeowners, contractors and builders who seek the best-in-class protection for their construction investments.

With a strong manufacturing and market presence across Eastern India, Dalmia Bharat Cement continues to strengthen its footprint in one of its key strategic markets. As the company advances towards its vision of becoming a pan-India cement leader, it remains focused on delivering innovative, premium construction solutions tailored to evolving consumer needs.

Dalmia Bharat Cement, a subsidiary of Dalmia Bharat Limited, is a leading player in the cement manufacturing segment and has been in existence since 1939. It is the first cement company to commit to RE100, EP100 & EV100 (first triple joiner) – showing real business leadership in the clean energy transition by taking a joined-up approach. With a growing capacity, currently pegged at 49.5 million tonne, Dalmia Bharat Cement is the fourth-largest cement manufacturing group in India by installed capacity. Spread across ten states and fifteen manufacturing units, the company is a category leader in super-specialist cement used for oil well, railway sleepers and airstrips and is the country’s largest producer of Portland Slag Cement (PSC).

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