Economy & Market

How Indian cement companies can manage the impact of COVID-19

Published

7 years ago

January 6, 2020

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Following flatlining demand growth in FY 20, the impact of Covid-19 is expected to see cement demand contract by anywhere between 10 to 25 per cent according to the latest estimates by CRISIL.

The spread of the coronavirus pandemic and the resulting lockdown across India has created an unparalleled crisis for the Indian cement industry. Manufacturing has been severely disrupted by restrictions on plant operations and the movement of labour, while the suspension of construction activity and the closure of the retail channel has resulted in a precipitous collapse in demand.

Following flatlining demand growth in FY 20, the impact of Covid-19 is expected to see cement demand contract by anywhere between 10 to 25 per cent according to the latest estimates by CRISIL ‘ depending on when and how the Government lockdown eases. This could result in capacity utilisation falling from an estimated 65 to 67 per cent in FY20 to 56 to 58 per cent in FY21. Further, given the high degree of uncertainty about how the pandemic and its economic consequences will unfold, such projections could be subject to major revisions as we progress through the crisis. Given the scale and scope of Covid-19’s impact on the Indian cement industry, executives can be forgiven for feeling overwhelmed. However, by thinking and acting along three time horizons concurrently, it is possible for industry leaders to take steps to mitigate the impact of the lockdown, get their organisations back to work, and build a road to resurgence. By adopting this framework to manage through the crisis, leaders can break down the challenge into more manageable chunks and deploy dedicated organisational resources to tackle them in tandem.

Manage the lockdown
The current lockdown in place across large parts of the country has put severe restrictions on cement plant operations, supply chain logistics and the availability of labour. With the Covid-19 case count rising in many districts, cement companies will have to confront a geographic patchwork of restrictions and stop-start relaxations across their operational footprint. At the same time, cement companies have had to transition overnight from fairly traditional workplace practices to large-scale work from home, creating both technological and cultural hurdles to effective collaboration. In stark contrast to service industries, labour and capital intensive sectors like cement involve high-touch activity during manufacturing, transportation and sale of goods which makes maintaining physical distancing rules a particular challenge.

To manage the business during the lockdown cement companies should first ensure they have put in place an effective Covid-19 team. Within this team one task force should be designated with responsibility for crisis management and business continuity and should comprise leaders from supply chain, production, IT, HR, and government liaison. The priorities for this team should be ensuring the safety of employees and customers, defining and maintaining the minimum viable operation, coordinating with local authorities to ensure compliance and easing of emerging bottlenecks, and making work from home as productive as possible.

Building organisational resilience during this period is key. For example, cement supply chains will need to shift from previous focus on optimisation toward maximum resilience, as issues like inter-state transport bans disrupt previous patterns of movement for both inputs and finished goods. Using tools like visual dashboards can provide companies with a clearer picture of operational status and respond dynamically to changing on-ground situations.

Get back to work
As the lockdown eases, cement companies will be able to run at an increased level of operation but this will not be a return to the way things were. With the Coronavirus likely to persist throughout 2020 and probably beyond, companies will need to adapt to a new normal. Physical distancing rules will need to be maintained, resurgences of the virus may lead to a re-introduction of restrictions, and cement demand will remain below potential as the economic impact of the crisis plays out. Indian cement companies need to start preparing to cross this coming chasm today.

To think and act along this time horizon, a second task force of the Covid-team needs to focus on reviving revenue and ensuring cash conservation. This challenge will require major inputs from sales & marketing, finance, manufacturing and supply chain to help adapt the business model to the new operating climate.

The lockdown and ensuing economic slowdown will lead to acceleration of some earlier demand trends as well as emerging new trends. After years of sluggish growth, construction in the residential real estate sector will likely further retrench as consumer demand for new housing falls. In addition, the commercial real estate market which was an earlier bright spot, is expected to contract sharply. Therefore cement demand is likely to become more dependent on government spending on infrastructure and affordable housing. Demand may also shift geographically away from harder hit urban areas to rural regions where restrictions on activity may be more limited.

As well as identifying and targeting the most attractive customer segments during this period, cement companies will also need to track and tap into emerging trends in construction practices. One leading Indian cement company expects the combination of scarce labour availability in urban areas and the need for physical distancing to accelerate the demand for ready-mix-concrete (RMC). Companies may need to fast-track existing plans or pivot to new opportunities to revive revenues in the coming quarters.

Finally, in light of lower cement demand, companies will also need to review their capital investment and market entry decisions. Many Indian cement companies had earmarked substantial investments for new plant as well as entry into new geographies. Those plans will need to be urgently revisited given lower expected capacity utilisation at existing operations over the next year.

Build a new road to resurgence
Although a post-Covid landscape may seem far away today, cement companies need to start thinking about the new world that will emerge once the pandemic abates – and the challenges and opportunities that will come with it. Cement companies will emerge from the crisis to face a very different scenario in terms of the competitive landscape, customer behaviour, and employee mindset.

The fundamental shifts that Coronavirus will bring about require the focus of a dedicated team within the Covid-19 task force charged with thinking along a longer time frame and building a new road to resurgence. This requires a team with an aptitude for visioning, strategic insight and large-scale change management. Topics such as digitalisation, technological and product innovation, sustainability, and cultural transformation will come to the fore as cement companies look to reimagine their business models for a new world. By thinking and acting concurrently along these three time horizons and committing dedicated resources to each of them. Indian cement companies can mitigate the impact of the current lockdown, revive revenues in the coming quarters and chart a new path to sustainable success in the post-Covid world.

ABOUT THE AUTHORS:
Deepak Sharma is Director of Strategy at Kanvic Consulting. His advice is sought by Fortune 500 companies, large owner managed and multi national companies looking to tap growth opportunities and tackle the most complex strategic challenges. He can be reached at deepak@kanvic.com

Shiv Sharma is an Associate Principal at Kanvic Consulting. He works in Kanvic’s strategy team in Gurgaon and manages client engagements across industrial and consumer sectors in the areas of strategy, marketing, sales and organisation. He can be reached at shiv@kanvic.com

Economy & Market

Leonard Unveils Dual-Head Robotic Arm for Hazardous Industrial Demolition

Published

2 days ago

October 30, 2026

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Leonard unveils Descender Duo, a dual-head robotic demolition arm designed to improve industrial safety and reduce shutdown time by up to 50 per cent.

Industrial robotics and refractory services specialist Leonard has launched Descender Duo, a dual-head robotic demolition arm designed to improve safety, accelerate maintenance and reduce shutdown times in hazardous industrial environments. The system made its debut at Lisahally Power Station in Northern Ireland, removing 25 tonnes of slag material within hours.

Developed for the cement, metals, waste-to-energy and petrochemical industries, Descender Duo enables remote-controlled refractory demolition, anchor cutting and welding, and refractory spraying inside boilers, calciners and silos. Its vertical-access design eliminates the need for personnel to enter confined, high-risk spaces during these operations.

Weighing less than two tonnes, the pre-assembled system requires an access opening of just 1.2 m². Supported by an external overhead hoist, it uses electrically operated hydraulic stabilising legs to secure itself inside vessels. The robotic arm offers 360-degree rotation and is suited to vessels approximately 9 m in diameter, with its operating reach extendable through strategically positioned access points.

Equipped with two independently controlled robotic heads, Descender Duo can perform identical or different tasks simultaneously, including refractory demolition, anchor cutting and spraying. Its remote-control system incorporates live camera feeds, allowing operators to monitor operations without entering hazardous environments.

According to Leonard, the technology can deliver time savings of up to 50 per cent compared with manual methods. Its ability to operate at temperatures exceeding 100°C allows maintenance to begin as early as 24 hours after burner shutdown. An all-electric power supply further supports cleaner and more cost-efficient operations.

First Deployment Demonstrates Shutdown Efficiency

The system was first deployed at Burmeister & Wain Scandinavian Contractor’s (BWSC) Lisahally Power Station in Londonderry, Northern Ireland. The facility generates electricity from grade C waste wood, supplying approximately 40,000 homes and businesses.

Leonard and BWSC collaborated to develop a customised solution for the plant’s 26-metre furnace, where extensive external pipework created significant access challenges.

Mark Leonard, Managing Director, Leonard, said, “It required new thinking and rather than step away from the problem we were committed to solving it for the customer, with the customer. We’re relentless in our approach to tackling complex challenges, head-on. We took our years of cement plant experience, coupled with our working knowledge of the BWSC plant, and designed, engineered and tested a completely new vertical solution within just seven weeks from that initial conversation with the customer. That solution was the Descender Duo as we know it today.”

Traditionally, the furnace required a cooling period of up to 36 hours before preparatory work could begin, followed by manual slag removal using rope-access personnel. With Descender Duo, work commenced just 24 hours after shutdown, reducing downtime by up to one day.

The deployment removed 25 tonnes of slag within hours, eliminated the need for at least six workers to enter the hazardous furnace interior and saved 26 hours in the shutdown programme.

“The effectiveness exceeded expectation,” said Martin Doran, Plant Manager at Lisahally Power Station.

“When the Descender Duo concept was first discussed, we had to spend some time with the team from Leonard looking at how it was going to be moved into the furnace. Every site is different and that presented its own challenges, but nothing that the team couldn’t overcome. Once it was installed we were hugely impressed by its efficiency.”

Expanding Industrial Robotics Applications

Descender Duo joins Leonard’s existing portfolio of robotic maintenance solutions, including the Axis horizontal-access arm, Nano confined-space access arm, Charger cement mill media recharging system and Calibre cement mill media grading system.

Headquartered in Northern Ireland, Leonard provides robotic refractory demolition, installation, inspection and industrial maintenance services across the cement, metals, energy, biomass, glass and civil engineering sectors.

Formerly known as G Leonard, the company has more than 35 years of industry experience and operates across Europe, North America, the Middle East, Africa and Asia-Pacific.

The latest innovation reinforces Leonard’s focus on replacing hazardous manual processes with robotic systems that improve workforce safety, enhance operational efficiency and minimise industrial downtime.

Concrete

Martin Engineering Appoints Ashwini Khunte as India General Manager

Published

2 days ago

October 30, 2026

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Martin Engineering names Ashwini Khunte India General Manager to strengthen operations and drive growth across key bulk material handling sectors.

Pune

Martin Engineering, a global provider of bulk material handling solutions, has appointed Ashwini Khunte as General Manager of its India business, strengthening its leadership as the company expands its presence across the country’s cement, mining, steel, power and infrastructure sectors.

Khunte brings more than a decade of experience with Martin Engineering, having joined its Indian operations in 2013 as a Design Engineer, shortly after the company established its presence in the country in 2012.

A mechanical engineer by qualification, she spent her initial five years developing bulk material handling solutions in collaboration with the company’s operations team. During this period, she gained extensive experience addressing operational challenges in the steel, cement and coal industries. She subsequently moved into project engineering, managing major engineering, procurement and construction (EPC) and original equipment manufacturer (OEM) projects from initial enquiry to commissioning. Her responsibilities later expanded to overseeing Martin Engineering’s conveyor product portfolio in India, involving customer engagement, technical presentations and site visits across heavy industries.

In 2024, Khunte was promoted to Head of Sales & Marketing for the company’s Europe, Middle East, Africa and India (EMEAI) region. The position broadened her international market exposure and strengthened her strategic and commercial leadership capabilities.

Commenting on her appointment, Ashwini Khunte, General Manager, Martin Engineering India, said: “India represents a tremendous opportunity for Martin Engineering. The country’s continued investment in cement, mining, steel, power and infrastructure is creating increasing demand for safer, cleaner and more productive bulk material handling, and that’s exactly what we do. My priority will be to build on the strong foundations already established in India, while continuing to develop our people, strengthen customer relationships and bring practical solutions to the challenges faced by our industry.”

Robert Whetstone, Area Vice President – EMEAI, Martin Engineering, highlighted Khunte’s technical expertise, market understanding and leadership experience.

“Ashwini brings an exceptional combination of technical understanding, customer knowledge and commercial leadership. She has grown as Martin Engineering has grown, and has consistently demonstrated outstanding capability to transform her expertise into practical solutions. Her knowledge of the Indian market, together with her international experience, makes her ideally suited to lead our India business through its next stage of growth for years to come.”

Since establishing its Indian business in 2012, Martin Engineering has expanded its local workforce, manufacturing capabilities and dealership network. The company supplies conveyor products, transfer point solutions, material flow aids, training and technical support to bulk material handling industries. Khunte’s appointment positions the company to further strengthen customer relationships and expand its solutions portfolio in India’s growing industrial and infrastructure markets.

Concrete

Fornnax Wins AIRIA’s Special Export Award for Rubber Machinery in 2025-26

Published

2 weeks ago

October 19, 2026

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Fornnax Technology Pvt. Ltd. has been honoured with the Special Export Award – Rubber Machinery for 2025–26 by the All-India Rubber Industries Association (AIRIA), in recognition of its highest exports of tyre recycling plants to the European region.

With more than a decade of experience in India’s tyre recycling industry, Fornnax has contributed to the development of advanced recycling technologies and infrastructure. The company currently holds a 90% market share in India’s domestic tyre recycling sector, while exports account for 30% of its business, spanning markets such as Europe, Australia and the GCC.

The award marks another milestone for Fornnax, whose tyre recycling lines and advanced shredding technologies are supporting the growth of the circular economy in India and international markets.

Commenting on the recognition, Mr. Jignesh Kundaria, Founder and Director of Fornnax, said:

“This honour from AIRIA is a reflection of an incredible journey we have undertaken over the years. When we started Fornnax, there was no established recycling industry in India to follow. We chose to build for the future instead. Today, when you see India’s tyre recycling sector, it has already transformed into a dynamic, high-growth industry and we are extremely proud to have played our part in building it.”

Unlike standalone equipment suppliers, Fornnax focuses on developing complete, high-capacity recycling infrastructure. Its integrated systems combine multiple stages of shredding and size reduction to enable efficient, continuous operations. This system-level engineering approach helps recycling operators improve throughput, equipment reliability and operational consistency.

The recognition reinforces Fornnax’s commitment to developing engineering technologies that contribute to a more efficient and circular recycling ecosystem.

Looking ahead, the company aims to expand its international presence while continuing to develop advanced shredding and recycling solutions to address the growing volumes and evolving requirements of the global recycling industry.

For more information, visit: www.fornnax.com