Concrete

Innovation & efficiency to drive market

Published

3 years ago

December 21, 2021

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Prashant Jha, Chief Ready-Mix Business,Nuvoco Vistas Corp

Can you elaborate on the learnings for RMC segment from the standstill period of the global pandemic?

The COVID-19 pandemic has profoundly impacted the construction industry. The suspension of construction activities has led to delays in delivery, especially in China, India and Singapore, in the Asia-Pacific region, causing a decline in the demand for ready-mix concrete in construction operations.

There are two sides to every coin and RMC segment has learned from this difficult phase:

Work with optimum manpower
Keep limited resource
Raw materials management
Use energy in an optimal way
Risk analysis in terms of sales etc.
Virtual platform for meetings and training to cut travel costs.

What new innovations has the segment seen in the last two years?

Nuvoco has introduced several innovations in the concrete segment like structural light-weight concrete, called Structural Xlite. Typical concrete has a density of 2,400 kg per cm3, but Xlite has a density of around 800 to 1,600 kg per cm3. We have also developed radiation-proof concrete solutions for cancer hospitals. There are also types of concrete that can tolerate running water and extreme cold temperatures.

To make working with concrete easier with lesser manpower, Nuvoco has developed wet concrete that can just be poured on the site without the need of water. This concrete has retention of up to eight hours, while normal concrete usually has a retention period of four hours. This product addresses the concerns of typically narrowed bylanes with a requirement of small quantities of concrete.

What has been the the improvement in efficiency and overall?

RMC is advantageous for projects with a scarcity of labour, where smaller quantities of concrete or intermittent placing is required. The commonly used ready-mix concrete called Transit Mix prevents issues associated with slump loss or early hardening of concrete.

How do you see the market panning out in the next two years?

The recovery of the construction sector and strong growth opportunities in residential and infrastructure construction projects is expected to boost demand for construction materials. Currently, RMC capacity is close to 45 million cm3. With a boost to infrastructure and government initiatives such as Housing for All, we expect a growth of 7-10% in the next five years.

What is Nuvoco’s roadmap for the next three years?

In the short-term, we will focus on further strengthening our position in the building materials space. We will cater to the demand for cement and building materials which is likely to rebound as the country emerges from the pandemic. We expect the demand to be driven by the state and centre-level government initiatives to boost affordable housing.

We are optimistic about positive business growth in the long term and will continue to strengthen our market share by focusing on strategic interventions and drive to incorporate newer ideas. We will step up our efforts to deliver innovative products to our customers.

Nuvoco will also continue to work towards preserving natural resources and working towards our vision of ‘building a safer, smarter and sustainable world’.

Concrete

Jefferies’ Optimism Fuels Cement Stock Rally

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

Published

2 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

2 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

2 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.