Concrete

The Curious Business of Concrete

Published

7 years ago

January 2, 2019

admin

If cement was not a global business but a regional business at best, then concrete (or ready mixed concrete, RMC, as one may call the concrete business in some parlances) business can at best be called local, in terms of geographical spread. Some have attempted to use glorified jargons such as "glocal" etc., in respect of cement, to signify its globalisation in the areas of technology and sustainability, but in case of RMC, even such coined adjectives are not applied. Even so, there is sense in looking at the global scenario of ready mixed concrete business, simply because the global trends, and the global learnings, particularly those from Europe and North America provide a window into what may happen in emerging markets like ours, as our construction markets mature, and as our construction practices advance.

But, before we do that, a small introduction of "concrete" itself will be in order. We have always tried to remind our readers that the value chain is cement – concrete- construction, and that if cement is a construction material, then concrete is a construction intermediate. To introduce concrete to the lay person, one may say that the grey powder-like product that we know as cement is but one ingredient, albeit an important one, for making concrete mix. To quote volubly from the report entitled ‘Global Concrete Report 2018, published by Global Cement Magazine:

‘Cement is the main ‘active’ ingredient in a concrete mix, which, when combined with water recrystallises into a hard matrix which solidifies around the other constituents, binding them together. Cement makes up around 15-20 per cent of the weight of the ingredients, which also include water, sand and aggregate. Other ingredients may include special chemicals that delay or accelerate setting, that impart higher early strength or reduced heat of hydration, or which increase the flowability of the unset concrete. Other ingredients may include inert fillers such as ground limestone, or cementitiously-active alternative materials such as ground-granulated blast furnace slag, silica fume, rice husk ash or flyash. Each cubic metre of concrete weighs around 2,400 kg, and includes 350 kg of cement (140 kg/t), 700 kg of sand (280 kg/t), 1,200 kg of aggregate (480 kg/t) and 150 kg of water (60 kg/t).’ This gives us an idea that, clearly, concrete is not just cement, but many other things indeed!

Here are a few conclusions that one can draw from the same report:
Top 25 RMC companies in the world produced 388 million cubic metres of concrete in 2017, which was a mere 10 per cent of the global output. This tells us that the business is local in nature, and is fragmented, if we analyse market-by-market.

There are only two Indian Concrete Businesses figuring in this top 25, namely UltraTech Concrete at seventh, and ACC Concrete at 21st positions. This is an apparent anomaly, given that India is by far the second largest cement producing nation in the world, and this reflects the situation of the Indian construction market – the fact that it is unorganised, non-automated, retail and fragmented.

The list of top 25 has just a few concrete companies, which are not backed by cement manufacturing ventures, and the few that make the grade are in USA, and have aggregate supplies integrated into them. In fact, the top 10 concrete companies are all subsidiaries of bigger cement set-ups. This tells us some things about downstream integration strategies and evolution of cement delivery channels as markets mature.

In India, while the ready-mix concrete market has still a long way to go, we already find instances of cement companies integrating downstream into concrete delivery businesses, as also construction companies finding it useful to integrated upstream into RMC outfits. I am sure that many of these enterprises are discovering the truism that even if the overall value chain is profitable, individual components of that chain may be value- destroying.

Sumit Banerjee Chairman, Editorial Advisory Board

Concrete

JSW Cement Begins Production At Nagaur Plant In North India

New greenfield integrated plant raises grinding capacity to 24.1 MTPA

Published

4 hours ago

March 24, 2026

admin

JSW Cement, part of the JSW Group, has begun production at a greenfield integrated cement plant in Nagaur, Rajasthan, marking its first such facility in north India. The company said this move raises its total cement grinding capacity to 24.1 million tonnes per annum (MTPA) and its clinker manufacturing capacity, including the joint venture, to nine point seven four MTPA. JSW Cement is described as one of India’s leading green cement producers and is positioned to expand its national presence.

The Nagaur integrated plant is equipped with a three point three zero MTPA clinkerisation unit and a two point five zero MTPA cement grinding unit, with an additional one point zero zero MTPA grinding unit under construction. The facility has been positioned to serve the high-growth markets of Rajasthan, Haryana, Punjab and the National Capital Region. The plant is intended to support construction and infrastructure demand across these nearby states.

The Nagaur unit was funded through a strategic mix of equity and long-term debt, with 8,000 mn from the fresh issue proceeds of the initial public offering (IPO) allocated specifically towards part-financing of the unit. Company executives indicated that the project was completed within 21 months and that the expansion advances the company towards its mid-term capacity target of 41.85 MTPA and its long-term vision of 60 MTPA. The commissioning was cited as an example of the company’s project execution capabilities.

The plant has been designed as a model of sustainable manufacturing and includes provisions for the co-processing of alternative fuels in the kiln to reduce fossil fuel use. The site features a seven km long overland belt conveyor to transport limestone from the mines, reducing road transport, and will soon include a 16 megawatt (MW) Waste Heat Recovery System to capture and reuse process heat, significantly lowering its carbon footprint. These measures are intended to reduce the environmental impact of transport and to lower the carbon intensity of cement production.

Concrete

JSW Cement Starts Production At Nagaur Plant In North India

Greenfield integrated plant expands northern footprint

Published

4 hours ago

March 24, 2026

admin

JSW Cement, one of India’s green cement producers, has commenced production at a greenfield integrated plant in Nagaur, Rajasthan, marking the company’s first such facility in north India. The commissioning expands the company’s national footprint and takes total cement grinding capacity to 24.1 mn t per annum and total clinker manufacturing capacity, including a joint venture component, to nine point seven four mn t per annum. The move positions the firm to serve high-growth markets across the region. Management said the project is a strategic step towards a pan-India presence.

The Nagaur plant is equipped with a three point three mn t clinkerisation unit and a two point five mn t cement grinding unit, with an additional one mn t cement grinding unit under construction. The facility is strategically located to cater to demand in Rajasthan, Haryana, Punjab and the National Capital Region. An overland belt conveyor will move limestone and reduce reliance on road transport. Project execution was completed within 21 months, underlining the firm’s construction capabilities.

The investment for the Nagaur unit was financed through a mix of equity and long-term debt and the company allocated Rs eight bn from fresh issue proceeds of its IPO towards part financing of the project. The expansion advances progress towards a mid-term capacity target of 41.85 mn t and a long-term vision of reaching 60 mn t capacity. The commencement of operations in the north is expected to support infrastructure growth and provide customers with high-quality, eco-friendly cement while maintaining sustainability credentials.

The plant has sustainability features including provisions for co-processing of alternative fuels in the kiln and a seven km overland belt conveyor to cut the environmental impact of road transport. The facility will include a 16 MW Waste Heat Recovery System to capture and reuse heat from production and reduce carbon emissions. The operation supports the company’s ambition to be among the world’s most sustainable cement producers.

Concrete

JSW Cement Forays Into North India With Nagaur Plant

Nagaur plant raises grinding capacity to 24.1 million tonnes per annum

Published

4 hours ago

March 24, 2026

admin

JSW Cement has commenced production at a greenfield integrated cement plant in Nagaur, Rajasthan, marking its first integrated facility in north India and extending the JSW Group’s national presence. The Nagaur unit will serve high-growth markets in Rajasthan, Haryana, Punjab and the National Capital Region. The company presented the commissioning as a key step in its pan-India expansion.

The commencement increases the company’s total cement grinding capacity to 24.1 million tonnes per annum (mn tpa) and brings total clinker manufacturing capacity, including the capacity at its joint venture JSW Cement FZC, to nine point seven four million tonnes per annum (mn tpa). The firm described these additions as strengthening its supply chain and regional reach. The Nagaur site is positioned strategically to reduce logistics for northern markets.

The Nagaur integrated plant comprises a three point three mn tpa clinkerisation unit and a two point five mn tpa cement grinding unit, with an additional one mn tpa grinding unit under construction. The facility was completed within 21 months, demonstrating the company’s project execution capabilities. Management indicated the combined configuration will improve service levels and product availability across target states.

The plant was funded through a mix of equity and long-term debt and the company allocated eight billion (bn) Rs from the fresh issue proceeds of its initial public offering to part-finance the unit. The financing was presented as part of a broader capital plan to support capacity additions and operational enhancements. The firm said the investment aligns with its mid-term growth objectives.

The site is designed with sustainability measures including provision for co-processing alternative fuels, a seven kilometre overland belt conveyor to move limestone from nearby mines and a forthcoming 16 megawatt (MW) Waste Heat Recovery System to recycle process heat and lower emissions. The company reported the expansion brings it closer to its mid-term capacity target of 41.85 mn tpa and to a longer term ambition of 60 mn tpa.