Anil Sharma, Chief Financial Officer (CFO), HeidelbergCement India, shares his views on managing finances, investments and costs, in the face of inevitable changes in the cement sector.
Cement industry is capital intensive. How does HeidelbergCement deal with its capex requirement? Cement is one of the most highly consumed materials amongst all materials. The Government of India also looks at the growth of the industry but it requires a large capital to establish and set up the plant, maintain and adhere to all the compliances set for the industry. At HeidelbergCement, we have a systematic way of assessing the capex requirement. We work in advance with a plan of three years in hand. During our planning, we split the capex requirement into various categories. Starting environmental, safety and legal capex requirements as they are mandatory and cannot be deferred. Then we plan for replacement capex, by lapse of time we need to complete for the maintenance of plants etc. Thereafter, we look for improvement in capex. With passing time and advancement of technology, we have to look for upgrades in the plants, which could be in the process, efficiency or productivity area. The improvement capex is used here. The last category of capex is the expansion or strategy capex, which is used for new product development, for entering new markets, etc. When we do the assessment of capex for our organisation, we split the requirement into own versus hire. Example, if we need a bus to transport our employees, we need not buy it, the same can be hired. In HeidelbergCement, this is a very systematic way of assessing our asset capex requirement. We analyse the use, evaluate risk, profitability and payback and if the result is in favour of the organisation, then an authorisation is created for the capex to own a certain asset with all details of its requirement, wear and tear etc. Only upon approval of the same, the process is taken further and procurement is done. As a thumb rule in HeidelbergCement, we maintain 40 per cent of our annual depreciation as a sustainable capex. This is not the end of the story – capex is a big thing at our organisation. We always go in for a post investment review. One part is to complete the capex cycle and the next is to assess if that decision was correct. This assessment is done a year after the project commenced and another assessment is done by the corporate finance department. They check if the assumptions taken into account were correct and projected results have been achieved. During the post investment reviews, we come across insights, which are shared with other departments and plants. It helps fine tune their workings on the same.
What are the major cost elements for producing cement and how have these cost dynamics changed in the recent past? Cement manufacturing is a simple process. But the cement production costs are very dynamic. It changes with various changes in elements of the cost and it is also advisable to be flexible while taking cost decisions for the product. India is a very competitive market for cement and to be relevant for the same, the cost should be competitive and brands should also be cost efficient. To decide the cost of the end product, the method is not a simple straight line, it needs to be broken down into different cost elements. In our organisation, we have the process of splitting cost in two parts, i.e., variable cost and fixed cost. The variable costs are further split into the cost of various elements starting with limestone, the key raw material for cement manufacturing. It is acquired from our own mines and sometimes additives have to be purchased to bring it to a certain quality. Once the limestone is obtained, crushed and sent to the plant, the second cost element utilised is the power and fuel. This is the biggest cost element for the manufacturing of cement and currently with increase in fuel and energy cost, it accounts for approximately 30 to 40 per cent of the total cost. Power is either taken from the grid or purchased from the third party. In recent times, we have started using renewable power by setting up our own plants or by using power from wastage recovery power. The third element to cost are other cementitious materials like fly ash, slag and other packing materials that also play a big role in the manufacturing of cement. Another category that accounts for variable cost is logistics. Materials in bulk are brought into the plant and end products are taken out of there. The outward transportation contributes to approximately 20 per cent of the total cost and is the second largest category of variable cost. Fixed costs are also divided into three categories i.e., fixed production cost, sales and marketing costs and other administrative costs. Fixed production costs include tax, duty, etc. that are an essential in the cement manufacturing process. The sales and marketing costs include the budgeted amounts for promotion, cost of sales offices, warehouses, etc. Administrative costs include travel of personnel, office rent etc. Fixed cost account to approximately 15 per cent of the total cement cost.
What initiatives has the company taken to optimise its cost? In cement, we always say that there is room for improvement. Although the process is set and manufacturing is done for about 150 years, experience tells us that there are always methods to optimise costs for the industry. In our organisation, we have a continuous improvement programme, where we allow our people to look into various elements of processes and costs, give suggestions and with that we improve processes, efficiency and productivity. HeidelbergCement has taken multiple measures to optimise cost. First it has taken into account the fuel cost. We have brought flexibility in fuels that we use for clinker manufacturing depending upon their cost. The fuel that is lesser in cost, we use that for the production process. We have also implemented an alternative fuel plant in the manufacturing process and use many kinds of alternative fuels like biomass, municipal waste, pharma waste etc. that helps us optmise our costs and reduce carbon footprint. Another cost optimisation effort has been taken into the power category where we use power from renewable sources. We have set up our own solar power plants and have also entered into a long term agreement with a power developer who supplies power around the clock from renewable sources. Of our total power consumption currently, we are using 25 per cent green power for our plants. We are also working towards reducing our dependence on grid power which will help us optimise our costs. In the recent past, we have taken up some debottlenecking projects to optimise logistics cost. We have made despatch flexibile between road and rail depending upon which costs less at the time of despatch. This helps us bring more quantity of material in and out of the plant. Internal production processes need to be simplified to create an environment of efficiency and productivity that will also help us optimise our costs.
What are the various types of direct / indirect tax, cement industry undergoes? The cement industry is a highly tax levied industry. GST is the highest and known to the people tax at 28 per cent. But there are other taxes like royalty on limestone or other minerals, district mineral funds, electricity duties, import duty, custom duties etc. All taxes combined amount to approximately 40 per cent of net sales of the total production.
Share your experience on the transformation of indirect taxes under the GST regime? Are there any challenges due to GST implementation? What initiatives are taken to overcome them? GST has been one of the biggest tax reforms in India. Earlier there were many taxes, which were different in different states, but with GST it has become one nation, one tax system which is a welcome decision for the industry. It has brought an ease to doing business when we deal with many states for materials etc. When the taxes were different, the processes were also different and paperwork was cumbersome. GST implementation has made processes smoother and transparent, thus, easing logistics and procurement for the industry. Calculation methodology of GST is simple. The organisation may deal with one state or multiple, all information is available on government portals making work flow smooth and transparent. The change from state wise tax to one nation tax, GST, came with its own set of challenges. This meant changing of calculation, different invoicing, and a lot of rework of methods like stock transfer from state to state. The initial transition with GST was full of challenges especially with the MSME sector who were not digitised and informed enough. The hiccups that our smaller vendors were experiencing in the shift to GST was coming back to us and causing a delay in the entire chain of processes. We educated our employees and vendors about the new taxation system with the help of consultants who were experts in this field, to help them understand and transition smoothly. We created points of contacts for these vendors that helped them file their taxes. In nutshell, GST became a catalyst for smooth business function in India.
How has digitalisation and automation played a game-changing role in the finance sector for the cement industry? Our business is volume driven and all transactional activities are in large numbers and quantities. Raising invoices, debit notes, credit notes etc. is done everyday, multiple times a day. These jobs require a lot of labour and can also lead to a lot of errors when done manually at such a large scale. Digitalisation has been a game changer for the industry. For optimising costs, for removing errors and a lot more. The concept of bringing technology to the business was a costly proposition, but now people are understanding that it is for the betterment of the business. In HeidelbergCement, digital transformation is changing the landscape of the business, not only in the finance department but also in the manufacturing activity. We have made this a project on a global level and have identified three pillars for digitalisation for the business. H-Connect: The real time, end to end experience for our customers. Through this portal customers can know about the statement of account, dispatch of material, track it, place order etc. H-Produce: This portal is related to our manufacturing system. We have moved to the next mile with respect to digitalisation where we are bringing technology to our production, be it maintenance of equipment, track all KPIs of production parameters reducing maintenance cost and increasing productivity of man and machine. H-Service: All the service related processes are digitised through this portal. We have implemented Robotic Process Automation (RPA), which is also gaining momentum in our manufacturing side where mundane human tasks are done by robots.
What are the risks / concerns for the cement industry in the short to medium term? Cement industry is going through a difficult time. The biggest short term risk is the increase in the input cost of the cement, which has increased significantly. Similarly, the energy and fuel price have increased in the recent past and all of the increased cost burden cannot be passed on to the market. The demand in recent times has also been moderate, and not increased as expected. One of the major reasons for this increase in cost and lack of demand is inflation. This can be a further risk as our Indian rupee weakens in comparison to the dollar, which would still increase the input costs. Another risk is the liquidity crunch in the market. Not only in business, but with a higher fiscal deficit of the central government, it leaves less room for them to bring rapid development in infrastructure growth as planned in the short to medium term which can make the growth of cement industry slower. This will also lead to unemployment which will also impact GDP growth. If this is not timely controlled, the cycle of inflation to purchasing capacity will remain imbalanced and it shall impact the top line and bottom line of companies and business due to lack of consumption. This will also defer new investments in the business. These challenges have to be overcome in the short term, otherwise its impact shall stay on the industry for a longer duration than expected. In the cement industry, the input cost increase and liquidity will impact other impacts and services, but the risk that I foresee is the availability of cementitious materials. One of the biggest materials is fly ash, and the availability is not the same as it was 10 years ago. Sometimes, it needs to be procured from farther areas. Similarly, slag which is the by-product of steel companies, is also getting scarce. These being contributors to decarbonising of cement will be much in demand and lower in supply. These materials can be a risk medium to long term. The industry must invest in research and development in identifying newer alternative raw materials and supporting the environment.
What are the key priorities for the next two-three years? What recommendations do you have for the Indian business ecosystem? The foremost priority for us at the moment is to reduce our carbon footprint. The process of calcination of the limestone, emits carbon. We need to reduce this emission from the entire cement manufacturing process. There are two ways to reduce carbon emission from the cement manufacturing process. First would be to increase the use of cementitious materials and make more blended cements, and the other would be to use alternative fuels for the process of clinker making. We have already started the process and our current alternative fuel consumption is in the range of 8 to 10 per cent of thermal substitution rate of total fuel and target to increase it to 20 per cent. There are many constraints in the availability and quality of alternative fuels, obtaining municipal waste of the required standard, logistic cost of acquiring the same etc. We have to do a cost analysis of alternative fuel to fossil based fuel to understand, which is beneficial to the business. These are the key priorities for the business to reduce carbon footprint. Another focus we have is to increase the use of renewable power. We purchase power and if that purchased power is thermal power, then it contributes to the carbon footprint. Thus, we want to increase the percentage of renewable power consumption in our total power consumption. capex is set aside in that direction and steps are being taken to bring this in action. The third focus is automation and technology which is the need of the hour. If the business needs to reach a certain level of maturity, customer satisfaction and adapt to newer methods of business that are quick and real time, the solution is to integrate systems and processes to the automation and digital tools. This would also include integrating vendors, third parties and customers in this process. In my experience, the recommendation I can give to any business especially in the post pandemic era is to always be ready with a plan B. There are a lot of uncertainties in business and plans should be made in a manner to accommodate change and keep it flexible. Change is inevitable and businesses must be ready to adapt to these changes that are coming in the dynamic world. Another recommendation to any business should be to evaluate their risks. They must take all kinds of steps to understand and mitigate risks that are to come to any task. They should always do a risk-benefit analysis and not put all their resources in a single project, rather allocate the same in the one that stands out in your analysis. In our organisation, we split our risk evaluation matrix into four baskets called risk atlas. Market risk would include competition, new product launch, change in customer behaviour. Second would be legal and compliances risk, which would include risks arising from new policies, new regulations, compliances etc. Third risk would be operational risk that are related to production, availability of raw material, dependency on vendors, etc. Lastly, financial risk, which would include bad debts, working capital requirements, tax risk, etc. We always have the processes and policies in place where we deliberate and prioritise tasks and decide where the funds and resources should be allocated. A very important recommendation is the cash reserve. Any business must focus on their cash resources and availability. They must prioritise spending to support their growth. They must focus on cash inflow and optimise their cash conversion cycle. It is important to keep inventory moving and not blocking their funds. Last recommendation for the entire business ecosystem would be to allow the next generations to come on this planet to live with all the resources we have and in a safe environment. That is called sustainability. It could be a cost centre by businesses but it actually is an investment towards the future of any business. If businesses are not woke today and don’t bring down the carbon footprint or give back to the society there will not be any real growth in the business environment and it is not justified for the same.
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:
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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JK Cement gained after being declared preferred bidder for the Gilund Limestone Block in Chittorgarh, Rajasthan, a lease area of 370.96 hectares. The firm saw its shares trade at Rs. 5550.05, up by 28.45 points or 0.52 per cent from the previous close of Rs. 5521.60 on the BSE. The scrip opened at Rs. 5569.15 and touched a high of Rs. 5625.00 and a low of Rs. 5531.00.
The stock recorded turnover of 1742 shares on the counter and the BSE group A stock with face value Rs. 10 has a 52 week high of Rs. 7565.00 on 20-Aug-2025 and a 52 week low of Rs. 4670.05 on 12-Jun-2026. Last one week high and low stood at Rs. 5625.00 and Rs. 5329.00 respectively. The promoters holding in the company stood at 45.66 per cent, while institutions and non-institutions held 40.61 per cent and 13.73 per cent respectively.
The e-auction conducted by the Government of Rajasthan resulted in the company being declared preferred bidder for the mining lease, and the allocation will enable the company to plan phased development of the deposit, subject to regulatory approvals. The Gilund block spans 370.96 hectares and its allocation is intended to support raw material security for the company’s cement operations in the region. The designation follows the government auction process and will allow the company to plan development and integration of the deposit into its supply chain.
The current market capitalisation stands at Rs. 430.38 billion (bn), reflecting market response to the mining news and prevailing valuation levels for the sector. Investors and analysts will watch for formal allotment and related disclosures that can clarify timelines, capital expenditure and expected production profiles. The report is intended for informational purposes and does not constitute investment advice, and market participants are advised to consult advisers before making decisions.
Star Cement has been declared the preferred bidder for the mining lease for Boro Lakhindong West Block following e-auctions conducted by the Government of Assam. The block is located in Boro Lakhindong Village, Umrangso Tehsil, Dima Hasao District, Assam, and extends over an area of 123 hectares. The estimated limestone resource is 207.822 million (mn) tonnes (t), a quantity that will supply raw material for cement production and support the company’s manufacturing operations in the region.
The company is engaged in the manufacturing and selling of cement clinker and cement and distributes products across the north-eastern and eastern states of India. Star Cement operates plants and logistics networks that procure and process limestone to produce clinker for cement, and the addition of Boro Lakhindong is presented as a strategic enhancement of feedstock availability. The preferred bidder status secures rights to the specified lease area under the terms of the auction process.
Financial results for the company in the fourth quarter of fiscal year 2026 showed a consolidated net profit rise of 20.24 per cent to Rs 1,481.0 mn on an 11.54 per cent increase in revenue to Rs 11,735.5 mn compared with the corresponding quarter of the previous year. Those results reflected higher sales volumes and revenue growth in the company’s primary markets and are cited in company disclosures accompanying the lease announcement. The reported performance provides context to the company’s ability to pursue and finance new mining lease opportunities.
Market reaction to the declaration was modest, with the scrip rising zero point thirty six per cent to trade at Rs 212 on the BSE. The award of the Boro Lakhindong lease concludes the e-auction process for the west block and assigns operational rights to Star Cement as the preferred bidder, subject to completion of statutory and contractual formalities.
