Concrete

We thought to introduce an innovative packing in the industry

Published

3 years ago

July 1, 2021

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1. What has been your experience in marketing Bharathi as a brand? What are the challenges?

It was challenging to launch new brand in 2009. Whereas, we have so many established players like multi-nationals, national players, local players & regional players in the market. Since we are coming as a new producer, we have thought of bringing a best consumer accepted product and packing. We have taken 3 important steps to launch this viz. Technology, Superior Quality and Innovative packing.

2. Explain the role played by packaging of cement in brand building. How in your case you have packaged the product? Tell us your experience on different kind of packaging.

During 1980?? cement was sold as a commodity and various companies??were using jute bags initially. After some time, cement packing was partially converted with HDPE bags. There was lot of pilferage in Jute bags. While in HDPE bags pilferage has reduced to some extent.

We thought to introduce an innovative packing in the industry and we have found that PPL bags are used for cement packing in other countries. We decided to pack our cement in PPL, where we used this point as one of our branding slogan. Our branding slogan is ?? times better Bharathi Cement??-

1. German technology

2. Robotic quality control

3. Tamper Proof Packing.

Not only PPL bags, some parts of markets in Tamilnadu, Kerala and Maharashtra use Paper bags also. The Paper bag has also given an impression to customer as better type of packing and it is also tamper proof bags. At present PPL and Paper bags are very well accepted in many markets as a tamper proof packing.

3. As a part of backward integration Bharathi Cement has gone ahead with setting up a production unit for bag manufacturing, what is the philosophy? Do you supply any quantity to other cement companies?

Since we could not get PPL bags in India, we have gone to Austria to set up 6 crores PPL bags manufacturing unit of Star Linger technology. With this we are able to consume 50% to 60% of production for our captive units and balance to other cement companies also.

4. Provide us some information on PP laminated bags and its superiority. Is the unit able to satisfy your entire requirement of bags? What is the superiority of PP laminated bags? Explain in details.

PPL bags have Less pilferage, it cannot be adulterated, once opened it cannot be re-packed / stitched. Bags are tuned to box type which cannot be adulterated and they look striking.

5. One important factor of brand building is advertisement, what medium of advertisement you would suggest? What is the future trend? How do you compare different mediums of advertisement?

Some of the mediums of advertisement are Print, electronic, digital, outdoor like hoardings, wall paintings etc. All these different media will help in brand building. One of the cheapest mode is wall painting. In future, digital branding will prove as most effective communication as it has the ability to spread through various digital channels such as online ads, search engines social media, websites and online activations. So from time to time as per the needs of market we need to adopt different mediums of advertisement.

6. While journey to brand building is fairly long, you need to work with the ad agency with more openness and give them reasonable length of time to do new things? Please comment.

Yes, when you are building best brand, we need to have a reputed AD agency and we can openly implement based on customer feedbacks like long term perspective, network, logistics distribution system etc. Primary role of an Ad agency is the creation of an advertising and marketing plan specific to product and brand. Ad agencies work with our business objectives. They pull all this together to provide a creative and compelling campaign intended to engage the attention of potential customers and get them to buy our product. Ad agency employs its creative team to work on our brand art works and other designs and also produces TVC??. Initially we engaged South Indian Film Star Mr. Suriya as our brand ambassador to popularise product in the market and we produced many films with him which were telecasted accordingly.

As a reputed brand, we have implemented all these factors from inception itself and continue to follow till date.

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About M. Ravinder Reddy, he has over 34 years of experience in cement industry, holds B.com (Hons.) and MBA (Marketing) degree. During his tenure at Priya cement, he had introduced HDPE packing by replacing Jute packing. He joined Bharathi Cement as a Whole-time Director in September 2008, and he heads the company?? sales and marketing operations. He has successfully launched the ??harathi Cement??in premium segment. He is recipient of many national and international awards. In addition, he is an elected Chairman of Cement, Clinkers and Asbestos Cement products panel of CAPEXIL and also Vice President of South India Cement Manufacturer?? Association.

Concrete

Jefferies’ Optimism Fuels Cement Stock Rally

The industry is aiming price hikes of Rs 10-15 per bag in December.

Published

3 weeks ago

December 4, 2024

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Cement stocks surged over 5% on Monday, driven by Jefferies’ positive outlook on demand recovery, supported by increased government capital expenditure and favourable price trends.

JK Cement led the rally with a 5.3% jump, while UltraTech Cement rose 3.82%, making it the top performer on the Nifty 50. Dalmia Bharat and Grasim Industries gained over 3% each, with Shree Cement and Ambuja Cement adding 2.77% and 1.32%, respectively.

“Cement stocks have been consolidating without significant upward movement for over a year,” noted Vikas Jain, head of research at Reliance Securities. “The Jefferies report with positive price feedback prompted a revaluation of these stocks today.”

According to Jefferies, cement prices were stable in November, with earlier declines bottoming out. The industry is now targeting price hikes of Rs 10-15 per bag in December.

The brokerage highlighted moderate demand growth in October and November, with recovery expected to strengthen in the fourth quarter, supported by a revival in government infrastructure spending.
Analysts are optimistic about a stronger recovery in the latter half of FY25, driven by anticipated increases in government investments in infrastructure projects.
(ET)

Concrete

Steel Ministry Proposes 25% Safeguard Duty on Steel Imports

The duty aims to counter the impact of rising low-cost steel imports.

Published

3 weeks ago

December 4, 2024

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The Ministry of Steel has proposed a 25% safeguard duty on certain steel imports to address concerns raised by domestic producers. The proposal emerged during a meeting between Union Steel Minister H.D. Kumaraswamy and Commerce and Industry Minister Piyush Goyal in New Delhi, attended by senior officials and executives from leading steel companies like SAIL, Tata Steel, JSW Steel, and AMNS India.

Following the meeting, Goyal highlighted on X the importance of steel and metallurgical coke industries in India’s development, emphasising discussions on boosting production, improving quality, and enhancing global competitiveness. Kumaraswamy echoed the sentiment, pledging collaboration between ministries to create a business-friendly environment for domestic steelmakers.

The safeguard duty proposal aims to counter the impact of rising low-cost steel imports, particularly from free trade agreement (FTA) nations. Steel Secretary Sandeep Poundrik noted that 62% of steel imports currently enter at zero duty under FTAs, with imports rising to 5.51 million tonnes (MT) during April-September 2024-25, compared to 3.66 MT in the same period last year. Imports from China surged significantly, reaching 1.85 MT, up from 1.02 MT a year ago.

Industry experts, including think tank GTRI, have raised concerns about FTAs, highlighting cases where foreign producers partner with Indian firms to re-import steel at concessional rates. GTRI founder Ajay Srivastava also pointed to challenges like port delays and regulatory hurdles, which strain over 10,000 steel user units in India.

The government’s proposal reflects its commitment to supporting the domestic steel industry while addressing trade imbalances and promoting a self-reliant manufacturing sector.

(ET)

Concrete

India Imposes Anti-Dumping Duty on Solar Panel Aluminium Frames

Move boosts domestic aluminium industry, curbs low-cost imports

Published

3 weeks ago

December 4, 2024

admin

The Indian government has introduced anti-dumping duties on anodized aluminium frames for solar panels and modules imported from China, a move hailed by the Aluminium Association of India (AAI) as a significant step toward fostering a self-reliant aluminium sector.

The duties, effective for five years, aim to counter the influx of low-cost imports that have hindered domestic manufacturing. According to the Ministry of Finance, Chinese dumping has limited India’s ability to develop local production capabilities.

Ahead of Budget 2025, the aluminium industry has urged the government to introduce stronger trade protections. Key demands include raising import duties on primary and downstream aluminium products from 7.5% to 10% and imposing a uniform 7.5% duty on aluminium scrap to curb the influx of low-quality imports.

India’s heavy reliance on aluminium imports, which now account for 54% of the country’s demand, has resulted in an annual foreign exchange outflow of Rupees 562.91 billion. Scrap imports, doubling over the last decade, have surged to 1,825 KT in FY25, primarily sourced from China, the Middle East, the US, and the UK.

The AAI noted that while advanced economies like the US and China impose strict tariffs and restrictions to protect their aluminium industries, India has become the largest importer of aluminium scrap globally. This trend undermines local producers, who are urging robust measures to enhance the domestic aluminium ecosystem.

With India’s aluminium demand projected to reach 10 million tonnes by 2030, industry leaders emphasize the need for stronger policies to support local production and drive investments in capacity expansion. The anti-dumping duties on solar panel components, they say, are a vital first step in building a sustainable and competitive aluminium sector.