Economy & Market

Shree Cement overtakes ACC to commission world’s largest kiln in UAE

Published

5 years ago

February 3, 2020

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Shree Cement has surpassed ACC to come up with the world’s largest cement kiln at Ras Al Khaimah in the UAE. "We have operationalised the plant and now it is the world’s largest cement kiln with a capacity to produce 14,500 tonne per day (tpd)," H M Bangur, managing director,Shree Cement told Business Standard.

It is 2,000 tpd higher than ACC’s Wadi II Plant in Karnataka. ACC said one of its lines in its Wadi II plant has the company’s largest kiln with a capacity of 12,500 tpd. Industry officials noted that ACC’s Wadi II plant had held the distinction of being the largest cement kiln in the world, which now has been overtaken by Shree Cement.

Against ACC’s total installed capacity of 33.41 mtpa, Shree Cement’s current installed capacity stands at 41.90 mtpa.

Kiln volume is essentially a plant’s capacity to produce portland and other types of cement. A kiln is used for pyroprocessing stage in the manufacturing process where calcium carbonate is reacted with silica-bearing minerals to form a mixture of calcium silicates.

Shree Cement has invited Sheikh Saud Bin Saqr Al Qasimi, ruler of Ras Al Khaimah, to Kolkata as well.

"I had invited Qasimi to come to Kolkata and he has responded to my request. We met over lunch at our home today (Thursday) and discussed various things including the state of the economy," Bangur said.

Strong hold

Shree Cement acquired Union Cement in 2018 at an enterprise value of $305.24 mn

Of four, only one kiln line is active in Union Cement

Union Cement kiln can produce 14,500 tpd, making it the largest kiln in the world

In 2018-19, Union Cement made a net profit of $9.79 mn, with a turnover of $114.6 mn In January 2018, Shree Cement had acquired 93 per cent stake in the 4-mtpa Union Cement Company at an enterprise value of $305.24 million, which is the largest and most profitable cement company in the UAE.

At the time of acquisition, Bangur had said since Union Cement was 40 years old, two of the kilns were discarded and another kiln was shut that left Shree Cement with only one kiln, which was set up in 2006. However, the plant is located within 1 km of Saqr Port in the UAE that gives it access to key export destinations like Gulf Cooperation Countries, Africa and South Asia.

Sources said feasibility study had also been undertaken to revive the third closed kiln as well. Though analysts remained sceptical about Shree Cement’s foray into the UAE, they argue that a low return on equity is possible. The company acquired Union Cement for $76 a tonne, which is lower than $84 a tonne, which UltraTech Cement paid in 2010 while acquiring the 3.2 mtpa Dubai-based ETA Star Cement for $269 million.

During 2018-19, Union Cement made a net profit of $9.79 million, with a turnover of $114.60 million. The Ebitda stood at $19.81 million.

Industry officials said that the total capacity in the Gulf Cooperation Council countries is pegged at around 142 mtpa across 52 facilities with Saudi Arabia alone accounting for around 51 per cent of the installed capacity. UAE has the second highest installed capacity at 39 mtpa but it consumes only half of the production domestically. The rest is exported primarily across GCC and East Africa.

Concrete

15th Cement EXPO: A Step Forward in Cement Innovation

Published

3 weeks ago

January 17, 2025

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Mumbai

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

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

Building on the Success of the 14th Cement EXPO

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

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

Recognition and Excellence in the Cement Industry

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

A Vision for Sustainability

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

What to Expect from Cement EXPO 2025

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

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

For more details:

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

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

FOR CONFERENCE SPONSORSHIPS

Sheetal Talreja

Mob: +91 842 2874 030

Email: sheetal@IndianCementReview.com

FOR EXHIBITION/SPONSORSHIPS

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Concrete

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

Published

3 weeks ago

January 15, 2025

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

Concrete

SANY India expands Pune factory to boost production capacity

Published

3 weeks ago

January 15, 2025

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

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