Economy & Market
Milestone event of the last century
Published
7 years agoon
By
admin
The author has long experience and exposure in the industry at executive level and has worked with ILO as Senior Employers’ Specialist for South Asian Region. He has taken stock of the situation in view of the present Covid-19 pandemic, its antecedence and impact on enterprises today.
There were three milestone events of the last century that impacted people, nations and enterprises. The first milestone event of last century was end of First World War in 1918. The end of the First World War saw the spread of Spanish flu pandemic in various countries of the world including India. The Spanish flu, also known as the 1918 flu pandemic, was an unusually deadly influenza pandemic caused by the H1N1 influenza A virus. Lasting from spring 1918 through spring or early summer 1919, it infected 500 million people, i.e. about a third of the world’s population at that time. It is estimated, that in India, nearly 18 million people which was 6 per cent of the population at that time, lost their lives in this disease, which locally was called plague. This pandemic impacted many families in India. Mahatma Gandhi lost his daughter-in-law and a grandchild in this pandemic, and was himself a victim and was cured and we all know his contribution to India in the freedom struggle.
The second milestone event of last century was end of Second World War in 1945. Second World War was a major conflict in human history, which marked the death of 70 to 85 million people in the world, most of whom were civilians in the Soviet Union and China. Following the end of Second World War, most countries became independent nations between 1945 and 1965 varying from a peaceful to protracted revolutionary process. Also, the end of Second World War led to the birth of the United Nations. Also, the International Labour Organization (ILO), which was born at the end of First World War, became a specialised agency of United Nations. Also, at the end of Second World War, countries in Europe gradually lost their colonies.
Hence, the European countries opened their economies with reference to movement of people, currency, goods and information by becoming open economies. At the same time colonies that became independent nations, took an approach of being closed or open or mixed economies depending upon their choice. India on independence in 1947 chose to be a mixed economy, with the core sector such as cement, steel, coal, electricity, interstate bus transport, railways, airlines, etc. being price controlled or/and state controlled; and also setting up a large number of public sector undertakings later and also nationalising sick private sector units plus the banks and insurance business plus the oil companies. We in India had strict control on movement of foreign currency in terms of a monitored exchange rate, high import duties coupled with Rupee trade with USSR, strict rules with reference to visas on employment of foreign nationals.
The third milestone event of last century was end of Cold War in 1989. The Cold War finally came to an end in 1989 with the fall of the Berlin Wall and the collapse of the communist regimes in Eastern Europe as well as USSR, a former communist country in eastern Europe and northern Asia. This led to all countries in the world that were closed or mixed economies becoming to varying degree open economies including India. It is in 1991, that India shifted gear from a mixed economy to an open economy, by devaluing the currency, permitting flow of foreign direct investment plus foreign institutional investment, reducing and rationalising the import duty based on WTO tariffs and permitting foreign made goods to be easily imported and available, relaxation on movement of persons from foreign countries to work in India.
The impact of the opening up of the economy in India was that large number of domestic enterprises post 1991 restructured their product portfolios as well as resources, including the permanent workforce working for the enterprise through voluntary retirement scheme (VRS), as labour laws did not go through change. The restructuring exercise of enterprises led to enterprises getting various activities, which were done inhouse being outsourced and/or subcontracted resulting in substantial growth of ancillaries, as well as the supply chain. Certain enterprises got acquired under new ownership and in certain cases also closed down.
New milestone event
In the present century, we had SARS (Severe Acute Respiratory Syndrome) coronavirus (SARS-CoV) "identified in 2003 infecting humans in the Guangdong province of Southern China in 2002. Then Middle East Respiratory Syndrome (MERS) a viral respiratory disease identified in Saudi Arabia in 2012. Then Ebola Virus Disease (EVD), formerly known as Ebola haemorrhagic fever outbreak in 2014-2016 in West Africa covering Guinea, Sierra Leone and Liberia, but none of these impacted the world and the enterprises of every country.
However, Coronavirus disease 19 (Covid-19), which is a highly transmittable and pathogenic viral infection caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2), emerged in Wuhan in 2019 has affected 212 countries and territories around the world. Covid-19 has impacted every country of the world, and this pandemic is a mile stone event of the current century which is impacting life, livelihood, enterprises and the economy of every country in the world.
There is no easy solution to preventing the spread of the Covid-19, unless the citizens fully cooperate in implementing the lockdown guidelines laid by the government of the country. Countries will have to review their public health expenditure percentage to country’s GDP for the future and bring it to at least three to five percent and this is not easy.
Post Covid-19, the international trade will go through a change, as countries are likely to reduce their dependence on China, which had become a manufacturing hub for a large number of items for many countries after the end of cold war 1989. Countries world over will review their policies on global supply chain, as countries would work on strategies for being self-reliant in certain specific sectors to protect domestic enterprises and reduce dependence on imports and also safe guard jobs for the locals arising from the downturn. International deglobalisation is likely to be an approach by certain countries to reduce dependence of imports in specific areas.
Also, there might be reluctance by countries depending upon their size and economic strength, to abide by the agreed WTO tariffs; and probably WTO itself may get a jolt and be restructured, wherein its role could go through a change. Also, the funding of international agencies like WHO from some of the countries has already gone through a change, though the role of an organisation like WHO becomes vital and relevant, when such a pandemic impacting countries of the world occurs and needs to be reported and acted upon to prevent the spread. Also, WHO will have to do serious introspection with reference to its funding, performance plus its role and this could result in some restructuring of the organisation.
Impact on Indian enterprises
The Government of India adopted the lock down approach from March 25, 2020 initially for 21 days which in phases got extended till May 31, 2020 and may get further extended if needed, so as to reduce the spread of coronavirus disease 19 (Covid-19) amongst the citizens and also to improve the preparedness of the various states and districts in the country medically for tackling the epidemic. The annual public health expenditure by states and union territories together in India amounted to around Rs 1.58 trillion, which is estimated to be around 1.28 per cent of the country’s GDP and this will have to go up in the future.
The Government of India has come forward with an economic package for enterprises, farmers, migrant workers and individuals for reducing the negative impact of the lock down. Enterprises and individuals need to look at the economic package and see how it would benefit them in reducing their financial stress and take benefit of the same wherever possible. The intensity of the impact of the Covid-19 for each enterprise differs based on the sector in which it operates, cash liquidity, profitability and location.
There are certain sectors like aviation, travel, tourism, hotels, restaurants, automobiles, capital goods, film production, movie theatres, entertainment, trade fairs, event management, malls, real estate, etc., where the dip in revenue for enterprises in the financial year 2020-21 is likely to be more than 50 per cent because of substantial fall in demand. If an enterprise in these sectors has a low cash liquidity, coupled with low profitability, then these enterprises are likely to have a tough future for independent existence and in the worst case could lead to continue to be sick or being acquired by interested buyers, unless innovative steps are taken by the management to undertake heavy cut in fixed cost to survive. However, if they have a high cash liquidity and low or negligible debt to equity, then they would be able to sail through the turbulent duration of Covid-19 period, survive and later also grow.
There are certain sectors like pharmaceuticals, hospitals, medical equipment, PPE, IT, mobile networks, mobile phones, app-based platforms doing home delivery, FMCG, agrochemicals, fertilizers, seed growing and processing, dairy and dairy products, food processing, cash crops, tobacco, cigarettes, alcohol, etc. where the dip in revenue for the financial year 2020-21 for enterprises in this sector is likely to be low. Even if an enterprise in this sector has a low cash liquidity coupled with a medium/high debt to equity and low profitability, it will survive in the post Covid-19 period, though there will be some negative impact to enterprises in these sectors if they are located in the red zone.
Situation of enterprises in India
The impact of COVID-19 is that the smooth functioning of every enterprise whether in the informal or the formal sector (micro, small medium or large) in India has been tripped and each enterprise will continue to have a time period of tripping based on which colour zone (i.e. red, orange or green) they are located, as activity and movement will be hampered in red zones. Also, the duration for enterprises to operate before a cure for Covid-19 is available could be from two quarters to six quarters starting April 1, 2020, thus various scenarios will emerge for enterprises.
The duration of the tripping for an enterprise will depend on the sector and zone in which it operates, and this could result in a V shaped curve or a U-shaped curve or a L shaped curve. Functioning of each enterprise has been hampered due to the lockdown; there is a fall in income for practically every enterprise because of the lock down, likely continuation of a certain stagnation of demand for certain time period will be there in certain sectors, and there will be a revival of demand later for all. Every enterprise will have to assess in which curve they fall. For an enterprise falling in a L shaped curve, because of the sector and zone in which it operates, a long duration of low negligible demand will adversely affect them and all-out effort needs to be made to move to a U-shaped curve by innovative strategies.
One thing good on present date is that the number of mobile telecom subscribers in India as of December 2019 is over one billion, that means practically every working individual, including workers in the informal sector have mobile phone connectivity, though everybody will not have a smart phone. Also, internet usage in India has exceeded half a billion people and is estimated to be over 600 million users in end 2019. Enterprises continued their operations by asking employees to work from home wherever possible. The option of working from home has limitations in the case of manufacturing enterprises, as the input material has to be converted into a finished product, which involves movement and processing of the input material coupled with physical presence cum activity of persons to ensure completion of the operations safely. The present manufacturing facilities in the factories in India are not designed such, that they can operate without the physical presence of people. However, manufacturing enterprises are learning to operate their factories with limited workforce, at the same time ensuring compliance of the safety protocols laid down by the Government arising from Covid-19 pandemic in the country.
Physical distancing norms at work place will impact every enterprise, however the labour intensive enterprises will have a higher negative impact, as either the numbers engaged have to be reduced and/or the working method modified, so as to ensure maintenance of the required physical distance while working. Enterprises functioning in remote areas and small towns will be less impacted for availability of work force, than the ones situated in or near metropolis or large city.
Tackling the situation
Each enterprise in India will have to find its own solution for tackling the situation, as this is a phase of disruption for everybody. However, some things are common which the top management of each enterprise will have to work upon.
- Ensure cash availability as top priority for sustainability
- Continuously communicate with employees using available technology and if possible, also with their families to boost their morale to face the Covid-19 pandemic situations
- Seek the suggestions of employees to tide over the problems
- Seek employees, trade unions cooperation to tide over the crisis by continuously communicating with them
- Ensure that the workplace of the enterprise is safe for employees to work, ensuring rigorous implementation of protocols and SOP to prevent any spread of Covid-19
- Ensure insurance coverage and treatment of employees including contract workforce, if infected with Covid-19
- Move to digitisation wherever possible
- Move to work from home wherever feasible
- Top management of the enterprise needs to ensure visible austerity measures with the need to cut fixed and variable costs wherever possible
- Defer capital expenditure unless it is absolutely necessary
- Measurement of impact because of this crisis on company’s brand image and reputation
- Lessons learnt from this major crisis needs to be documented, so that the same is available for reference by "next set of management" during next major crisis
Conclusion
The business and employment model of enterprise in India post Covid-19 will drastically change compared to the business and employment model pre Covid-19. We all have to adapt to a new lifestyle as well as a different working style of enterprises as the Covid-19 is a tsunami, which has affected the world. It will take time before a vaccine to prevent the spread of Covid-19 is available to all of us.
Enterprises are likely to restructure their fixed as well as variable cost, and this could impact the persons that are presently employed at all levels in certain enterprises. Most enterprise post 1991 in India adopted a work force model wherein the enterprise had people to work and not employees. Hence, most enterprises presently have maximum executives, limited workers, and maximum contract workers through contractors/service providers. Presently in India, the contract workers in most enterprises are interstate migrants. The interstate migrant contract workers presently are making all-out effort to return to their home state by modes of transport that they consider viable, and substantial numbers have moved and will move.
It is a reality that Covid-19 has negatively impacted life, lifestyle of every individual and every enterprise whether in the informal or the formal sector (micro, small medium or large) in India. We, Indians have made all-out effort to ensure that we lose minimum lives of our citizens as our first priority. At the same time, we need to ensure that the enterprises and businesses in the informal and the formal sector while going through the hardship survive and continue to live which I am confident we all will do.
ABOUT THE AUTHOR: Dr. Rajen Mehrotra is Past President of Industrial Relations Institute of India (IRII), Former Senior Employers’ Specialist for South Asian Region with Internation.al Labour Organization (ILO) and Former Corporate Head of HR with ACC Ltd. and Former Corporate Head of Manufacturing and HR with Novartis India Ltd.
E-Mail: rajenmehrotra@gmail.com
Published in April – May – June 2020 issue of Current Labour Reports and Arbiter.
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Economy & Market
Fornnax Names Lukas Baur as Authorised Service Partner to Bolster EU Operations
Published
1 day agoon
July 23, 2026By
admin
Strapline: Fornnax Technology has appointed NOBA Maschinenservice’s Lukas Baur as its authorised service partner for the European Union, strengthening its commitment to delivering fast, reliable, and localised after-sales support across the region.
Fornnax Technology, a leading manufacturer of industrial shredding solutions, has announced the appointment of Mr. Lukas Baur of NOBA Maschinenservice as its authorised service partner for the European Union. The partnership, formalised under the authorisation of Fornnax CEO Mr. Jignesh Kundaria, reinforces the company’s commitment to providing dependable, localised service support to its expanding customer base across Europe.
Strengthening Service Through Proven Expertise
With over two decades of experience in servicing, maintaining, and overhauling industrial shredders, Mr. Baur brings extensive technical expertise to the partnership. His capabilities span welding, hardfacing, shaft and knife rebuilding, complex assembly, hydraulics, and complete electrical engineering services, delivered in collaboration with a trusted partner company based in Halle/Saale.
Operating from Worbis, Germany, Mr. Baur is strategically positioned to provide emergency support across the European Union within 24 hours, covering an operational radius of approximately 1,000 kilometres.
Supporting this capability is a well-equipped service infrastructure comprising 12 Mercedes Sprinter service vans, a team of 24 skilled technicians, specialised bearing-change tools, a fully equipped hydraulic workshop, and a 1,000-square-metre facility with a five-ton crane track. Together, these resources position his team to manage the complete spectrum of Fornnax’s European service requirements efficiently and reliably.
Partnership Driven by Industry Insight
Having spent years servicing Eldan, Lindner, and Vecoplan shredders across the European recycling industry, Mr. Baur’s decision to collaborate with Fornnax is rooted in his understanding of market needs and customer expectations. His experience has provided valuable insight into what recycling plant operators require—not only from their machinery but also from the service teams supporting them.
According to Mr. Baur, Fornnax’s reputation for robust machine construction, superior wear protection, and maintenance-friendly design made the partnership a natural fit.
The collaboration comes at a time when Europe’s tyre recycling industry is facing mounting challenges, including rising cost pressures, shrinking margins, delayed investments, and a shortage of skilled labour. Mr. Baur believes these conditions reinforce the need for technically strong service partners capable of delivering rapid, dependable support.
Commenting on the partnership, he said, “Fornnax, with its exceptional price-performance ratio and superior quality, has the potential to become a market leader in Europe. We would like to be their service partner in this journey.”
Comprehensive Support Across the Equipment Lifecycle
As Fornnax’s authorised service partner, Mr. Baur will oversee the complete lifecycle support of the company’s equipment throughout the European Union. His responsibilities will include installation, commissioning, preventive maintenance, emergency repairs, and spare parts support across mechanical, hydraulic, and electrical systems.
Looking ahead, he also plans to develop a centralised spare parts distribution hub for European customers, particularly if Fornnax establishes a warehouse facility in Worbis to facilitate faster deliveries. To further strengthen service coverage, Mr. Baur intends to expand operations by adding two to three additional service teams and vehicles each year, progressively increasing capacity across the continent.
A Shared Commitment to Customer Excellence
Highlighting the strategic importance of the partnership, Mr. Jignesh Kundaria, Director and CEO of Fornnax, said:
“We strongly believe that by continuously improving our service quality and customer satisfaction index, we can build long-term relationships with our customers. Higher customer satisfaction leads to greater trust, which significantly increases repeat orders and ultimately drives sustained growth in our sales revenue.”
This customer-first philosophy underpins Fornnax’s strategy of building a dedicated European service partner network instead of relying solely on remote support. With Mr. Baur joining this network, customers across the European Union will benefit from faster response times, expert technical assistance, and dedicated on-ground support from a partner with extensive experience in high-throughput shredding operations.
Mr. Baur’s appointment also reflects Fornnax’s broader ambition to establish itself as the preferred shredding solutions provider for the European recycling industry, marking another important milestone in the company’s international growth strategy.
Concrete
Nuvoco Vistas launches Limla cement plant, expands Gujarat footprint
Published
2 weeks agoon
July 13, 2026By
admin
Nuvoco Vistas opens a 2 MMTPA grinding unit at Limla, entering Gujarat and advancing its target of 35 MMTPA capacity by FY 2028.
Surat (Gujarat)
Nuvoco Vistas Corporation Ltd, a part of Nirma Group and one of India’s leading building materials company, has inaugurated the Limla Cement Plant in Surat (Gujarat), one of Vadraj Cement Limited’s (VCL) principal manufacturing facilities. The commissioning represents a key milestone in Nuvoco’s acquisition and restoration of VCL, while supporting the company’s expansion across the Western Indian cement market.
Vadraj Cement Limited is a subsidiary of Nuvoco Vistas Corporation Limited and has installed cement capacity of 6 MMTPA across its assets. The Limla inauguration therefore represents the first operational step in the acquired platform’s wider revival, while the Kutch facilities provide clinker supply, mineral security and coastal logistics support for the western business.
Nuvoco completed its acquisition of Vadraj Cement Limited, then under the Corporate Insolvency Resolution Process, after paying a consideration of Rs 1,800 crore in June 2025. VCL’s asset portfolio comprises a clinker unit at Kutch and a grinding unit at Limla in Surat. It also includes high-quality captive limestone reserves and a captive jetty at Kutch, supporting more efficient logistics. Following the takeover, Nuvoco began an extensive programme of restoration, refurbishment and expansion at both locations, leading to the commissioning of the Limla plant.
The Limla Cement Plant is expected to support a phased increase in sales volumes across Gujarat. It will also help Nuvoco supply neighbouring markets in Western Maharashtra and release cement capacity from its northern plants, which can consequently be redirected towards markets in North India. The plant will manufacture a full portfolio comprising Ordinary Portland Cement, Portland Slag Cement, Portland Pozzolana Cement and Portland Composite Cement. It will additionally produce the complete Nuvoco Duraguard range, including the premium Nuvoco Duraguard Microfibre product. The acquisition is also expected to generate operational synergies with Nuvoco’s existing plants at Nimbol and Chittorgarh in Rajasthan, improving logistics optimisation and market reach across important regional markets.
The grinding unit at the Limla Cement Plant was completed ahead of schedule, with 2 MMTPA of capacity now inaugurated to expand Nuvoco’s operating scale and customer reach. After Vadraj Cement’s assets become fully operational, plants in North and West India are expected to account for nearly 40 per cent of Nuvoco’s total cement capacity. This will broaden the company’s manufacturing network, strengthen access to high-growth markets and support its plan to increase consolidated cement capacity to 35 MMTPA by FY 2028, reinforcing its longer-term growth strategy.
Commenting on the development, Jayakumar Krishnaswamy, Managing Director, Nuvoco Vistas Corp Ltd, said: “The inauguration of the Limla Grinding Unit in Surat is an important milestone in Nuvoco’s growth journey and demonstrates our commitment to disciplined, value-accretive expansion. Gujarat is strategically significant for Nuvoco, with substantial opportunities arising from infrastructure investment, industrial growth, rapid urbanisation and continuing demand from the housing and construction sectors. The facility strengthens our regional footprint, improves operational flexibility and increases our ability to serve customers across northern and western markets with greater reliability and efficiency.”
He added: “Through the Vadraj acquisition, we have refurbished and restarted a strategically important asset, returning it to operations in record time through strong execution and collaboration between teams. The achievement demonstrates our ability to create value from acquired assets, fulfil our commitments and retain the confidence of stakeholders. It also highlights the strength of our project delivery capabilities and our continued focus on building sustainable, profitable growth over the long term.”
Nuvoco Vistas Corporation Limited is a building materials company whose vision is to build a safer, smarter and more sustainable world. It is among the leading players in East India and has a significant presence across North and West India. Nuvoco began operations in 2014 with a greenfield cement plant at Nimbol, Rajasthan. It later acquired Lafarge India Limited, which had entered India in 1999, followed by Emami Cement Limited in 2020 and Vadraj Cement Limited in April 2025. The company has also announced an expansion in eastern India through a new grinding mill at the Arasmeta Cement Plant, supported by several debottlenecking programmes involving equipment upgrades, process improvements and internal capacity initiatives. These developments place Nuvoco on track to achieve total cement capacity of approximately 35 MMTPA. The company reported total income of Rs 11,362 crore in FY 2025-26, reflecting its continuing growth trajectory.
Nuvoco operates a diversified portfolio across three segments: Cement, Ready-Mix Concrete and Modern Building Materials. Its cement portfolio includes Concreto, Duraguard, Double Bull, PSC, Nirmax and Infracem, covering Ordinary Portland Cement, Portland Slag Cement, Portland Pozzolana Cement and Portland Composite Cement. Its pan-India RMX business provides value-added products under Concreto for performance concrete, Artiste for decorative concrete, InstaMix for ready-to-use bagged concrete, X-Con covering M20 to M60 grades, and Ecodure for specialised green concrete. Nuvoco has supplied materials to projects including the Mumbai-Ahmedabad Bullet Train, Birsa Munda Hockey Stadium in Rourkela, Aquatic Gallery at Science City in Ahmedabad, and metro railway projects in Delhi, Jaipur, Noida and Mumbai.
Concrete
Green Construction Through Cement Innovation
Published
3 weeks agoon
July 2, 2026By
admin
Indian Cement Review (ICR) and Fuller Technologies brought industry, policy and technology leaders together to discuss how cement innovation can drive green construction at scale, writes Rakesh Rao.
India is building at a pace few countries can match. Highways, airports, housing, logistics parks, industrial corridors and urban infrastructure are reshaping the country’s economic geography. But beneath this growth story lies a difficult question: can India continue to build at scale without locking itself into a high-carbon future?
That question formed the core of an online panel discussion titled “Driving Green Construction Through Cement Innovation”, organised by Indian Cement Review (ICR) in association with Fuller Technologies as the Presenting Partner on June 25, 2026. The webinar brought together experts from cement technology, R&D, global industry platforms, building performance policy and international development cooperation to examine how low-carbon cement and material innovation can accelerate India’s green construction transition.
The discussion came at a crucial time. India has committed to achieving net-zero emissions by 2070 and reducing the carbon intensity of its economy by 45 per cent by 2030. At the same time, the country’s construction sector is expanding rapidly, driven by urbanisation, infrastructure development, housing demand and industrial growth. Cement, as one of the most widely used construction materials, sits at the heart of this transition. It is indispensable to development, but also central to the challenge of reducing embodied carbon in buildings and infrastructure.
Moderated by Nitika Krishan, Senior Urban Infrastructure and Sustainable Policy Consultant, the panel featured:
- Kiranmai Sanagavarapu, Director, Low Carbon Solutions, Fuller Technologies;
- Dr Hemantkumar Aiyer, VP and Head R&D, Nuvoco Vistas Corp Ltd;
- Devika Wattal, Innovation Lead, Global Cement and Concrete Association (GCCA);
- Dr Sunita Purushottam, MD, GBPN India (Global Buildings Performance Network); and
- Vaibhav Rathi, Senior Technical Advisor, GIZ (the German Agency for International Cooperation)
Setting the tone for the discussion, Nitika Krishan underlined the scale of the challenge before the sector. “The question before us is no longer whether we build, but how we build sustainably,” she said. She pointed out that construction accounts for nearly 40 per cent of global energy-related carbon emissions when both operational and embodied carbon are considered. Cement production, she added, remains one of the hardest industrial processes to decarbonise.
For India, this is not merely an environmental issue. It is a development issue, a competitiveness issue and increasingly, a market issue. As one of the world’s largest cement producers and among the fastest-growing construction markets, India’s material choices will influence the carbon trajectory of its built environment for decades. As Krishan observed, sustainability solutions in economies such as India must not remain limited to laboratory success. They must be scalable, commercially viable and practical at national level.
The innovation gap: From technology to market
Experts believe that there is a need to bridge the innovation gaps for making decarbonisation in cement and concrete scalable. Devika Wattal of GCCA, explained, “The starting point must be the core cement manufacturing process itself. The first and foremost is the heart of our process, the heart of cement manufacturing. How do we reduce clinker? That is always a topic where industry is working very intrinsically.”
Clinker reduction remains one of the most important pathways for lowering emissions in cement. Since clinker production is energy-intensive and chemically emits carbon dioxide, reducing the clinker factor through supplementary cementitious materials (SCMs), blended cements and new chemistries can have a significant impact. Wattal also noted that carbon capture, utilisation and storage (CCUS) will have a role, though it may not be the first lever for all markets.
However, she stressed that innovation cannot stop at technology development. A solution that works in the lab must also be adaptable to industry, scalable in production and acceptable in construction practice. “It is important for that innovation to be adaptable, to be scalable, and so that it can be executed in real time,” she said.
Wattal also called for stronger enabling systems around innovation. These include performance-based standards, product-level embodied carbon databases and clearer frameworks for evaluating green materials. Without these, low-carbon cement products may struggle to compete with conventional materials in procurement and design.
R&D must balance carbon, cost and performance
Bringing in the R&D perspective into the discussion, Dr Hemantkumar Aiyer of Nuvoco Vistas emphasised that low-carbon cement development cannot be treated as a single-variable exercise. Cement must perform in real construction conditions. It must deliver strength, durability, consistency and cost competitiveness, while also reducing carbon.
“The root of understanding and balancing all these aspects lies in materials, and knowing the materials,” he said.
According to Dr Aiyer, R&D teams must understand the variability of raw materials such as fly ash, slag and clinker. Different sources produce different material behaviours. This makes mix optimisation, material characterisation and processing-property relationships critical. When performance is affected, cement manufacturers must understand how strength enhancers, admixtures and other performance chemicals interact with the material system.
He also linked material science with process efficiency. Clinkerisation takes place at extremely high temperatures, around 1,400 to 1,450 degrees Celsius. Any improvement in raw mix design, process control or energy optimisation can, therefore, help reduce emissions and cost. Dr Aiyer pointed to artificial intelligence-based optimisation, Cement 4.0 tools and advanced software as important enablers for real-time process and material control.
“The more you understand the materials, the more you can control it,” he said.
LC3: The promise is proven, the sequencing is not
Limestone calcined clay cement, commonly referred to as LC3, has attracted global attention because it can reduce clinker content significantly by using calcined clay and limestone while maintaining performance in many applications. Kiranmai Sanagavarapu of Fuller Technologies said the technology itself has already moved beyond proof of concept. Fuller Technologies has worked with calcined clay technology for nearly two decades and has seen plants running in France and Ghana. These plants, she said, are meeting local and national specifications, while the economics are beginning to make sense.
“The calciner is performing, the economics is stacking up, it is making business sense to produce,” she said.
But if the technology is viable, why has adoption not scaled faster? For Sanagavarapu, the answer lies in project sequencing. Too often, clay characterisation happens after equipment is specified. This, she warned, is a backward approach because calciner design depends on clay mineralogy, kaolinite content, iron levels, reactivity, moisture and other variables.
“If you don’t know what your deposit looks like before you commit for the equipment, you are, in a way, going blind into designing,” she said.
She also identified permitting and plant integration as major bottlenecks. Environmental clearances, mining permissions and local regulatory approvals must begin early. Similarly, calcined clay must be integrated into existing grinding, blending and logistics systems from the design stage, not treated as an afterthought during commissioning.
India already has IS 18189:2023 standard for LC3, but Sanagavarapu pointed out that the standard is not yet visible enough in procurement documents. “The gap between what is technically being permitted and what the procurement is asking is the single biggest bottleneck,” she said.
In her view, successful scale-up depends on getting the sequence right: clay characterisation first, permitting in parallel, standards aligned with construction, and integration built into plant design.
India’s LC3 journey: Progress, but demand remains thin
Providing details of India’s LC3 commercialisation experience, Vaibhav Rathi of GIZ noted that JK Cement carried out the first commercial production of LC3 at its Rajasthan plant, followed by JK Lakshmi Cement three months later. These initiatives were supported by the International Climate Initiative of the Government of Germany, with IIT Delhi contributing deep institutional knowledge on LC3 research and BIS certification.
Rathi said India’s early experience has produced clear lessons. One of the biggest was the need to build capacity among regulators. While BIS certification existed, State Pollution Control Boards were unfamiliar with the technology and unsure about the approval pathway.
“The capacity building is not just needed amongst the producer and the users of the cement, but also the regulators who are working with this technology for the first time,” he said.
He also highlighted the need for better information on China clay deposits. Since China clay is currently classified as a minor mineral, centralised data on availability, quality and location is limited. If cement manufacturers are to adopt LC3 at scale, stronger mineral intelligence will be important.
The third issue is demand. LC3 has already been used in projects such as Palava City in Mumbai and Noida International Airport, but these remain limited examples. “It is in a chicken and egg situation,” Rathi said. “Cement companies are saying we need more demand, and users are saying there is not enough cement available.”
Public procurement, he suggested, could help break this cycle. If agencies such as CPWD and other public bodies begin testing, accepting and specifying LC3, it could create the market confidence needed for cement companies to invest in production and storage.
Building codes must catch up with innovation
Dr Sunita Purushottam of GBPN India argued that material choices will determine built environment emissions over the long term, but India’s current policy signals remain fragmented. Although LC3 has received BIS recognition, she pointed out that building codes, municipal bylaws, schedules of rates and sustainability codes do not yet provide uniform guidance on low-carbon cement.
“The current cement regulations are largely prescriptive and favouring traditional materials,” she said. This limits the ability of alternative materials to compete on performance, durability and emissions.
Dr Purushottam also raised the issue of taxation. Cement, including LC3, currently falls under the same GST bracket as conventional cement. A differentiated tax structure, she argued, could help accelerate market adoption. “In order for the market to demand LC3, that differentiation in the GST could go a long way,” she said.
She noted that green building certifications such as IGBC and GRIHA are already creating demand for low-carbon materials by assigning points for embodied carbon and sustainable material use. However, she said large-scale adoption will require regulatory mandates, particularly through building codes and state-level notifications.
She also cautioned that low-carbon cement alone does not solve the entire building performance problem. A material may reduce embodied carbon, but the operational carbon of a building depends on thermal performance, design, insulation and energy use. “The energy part has two elements,” she said. “One is the embodied carbon of the material itself, and the other is the operational carbon.”
Collaboration is the bridge between invention and impact
Wattal said GCCA sees innovation as a strategic priority and works through platforms that connect industry with academia and start-ups. “There is no way we will decarbonise our sector without innovation,” she said.
However, she stressed that research must be connected to actual industry challenges. Innovations developed in isolation may fail when they encounter real-world barriers such as raw material variability, plant integration, cost, standards and finance. Start-ups, too, need industry mentorship and scale-up pathways.
Wattal also flagged the importance of finance. Even strong technologies may struggle to attract investment if there is no common understanding of bankability. “We have always put projects into, is this a bankable project? But the definition of a bankable project has never been defined,” she said.
For India, she saw strong potential in its academic and start-up ecosystem, but said the challenge lies in alignment and prioritisation. The country has the research base, industrial capacity and market size. What it now needs is a coordinated route from innovation to deployment.
There is a practical concern for cement manufacturers: how can existing plants be adapted for lower emissions without compromising reliability or commercial viability?
Kiranmai Sanagavarapu addressed, “The reliability risk in calcined clay retrofit is definitely real, but it is almost always self-inflicted. The risk arises when a new process is added to an existing circuit without properly redesigning grinding and blending configurations.”
Existing cement plants, she explained, can take two broad routes. The first is external sourcing of calcined clay combined with mill optimisation. This requires lower capital investment and can potentially move in 12 to 18 months if other conditions are in place. It may reduce emissions by around 20 to 30 per cent. The second route is integrated calcination on site, which requires higher capital expenditure and longer lead times, but provides greater control over quality, supply and emissions reduction potential.
For Sanagavarapu, the principle is simple: low-carbon retrofits must be designed with intent. “Design it with an intent properly from the start. Start in the market conditions where the economics are already working,” she said.
Circularity: The overlooked advantage
According to Vaibhav Rathi, fly ash and slag are already well established in cement and construction (C&D), but construction and demolition waste remains underutilised. “C&D waste is a growing business opportunity which not many have taken up,” he said. India’s continuous construction and demolition activity creates huge volumes of waste, much of which contributes to air pollution, land degradation and material inefficiency. With the right processing and standards, this waste can be converted into useful construction products.
Rathi also pointed out that LC3 has a circular economy dimension that is often overlooked. It can use low-grade kaolin-rich clay left behind after high-grade clay is extracted for other applications. “LC3 is not only a low-carbon solution, but also a circular economy solution,” he said.
At the same time, he cautioned that LC3 in India is not yet cheap because it has not reached scale. Site-specific techno-commercial feasibility studies, supported jointly by development agencies and industry, could help companies assess whether LC3 production makes technical and financial sense at a given location.
Dr Purushottam added that India must address both low-carbon cement and construction waste together. “Both low-carbon cement and C&D waste go hand in hand. India does not have an option but to work on both,” she said.
Dr Aiyer called for policy shifts from both government and industry, including preferential purchasing of sustainable materials, minimum supplementary cementitious material requirements in public and public-private projects, and faster regulatory implementation. “If we can fast-track the regulatory standards and their implementation on the ground, that is the way to go,” he said.
From green ambition to green construction
Cement innovation is no longer only about chemistry. It is about systems. Low-carbon cement will scale only when technology, standards, procurement, finance, regulation, education and construction practice move together.
LC3 and other low-carbon technologies have shown promise. India has early commercial examples, strong research capability and growing market interest. But mainstream adoption will depend on whether demand can be created, regulators can be capacitated, standards can be embedded in procurement, and manufacturers can see a clear business case.
For a country building at India’s scale, the opportunity is enormous. Cement will continue to be central to infrastructure and urban development. The challenge now is to ensure that the cement used in India’s growth story carries a lower carbon burden.
- Rakesh Rao
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