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Right design of the transportation system is critical

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Vinod Agrawal, Executive Vice President – Logistics, Wonder Cement, discusses the varied factors affecting the material handling equipment and their maintenance, as well as the role of automation and technology in the material handling process.

Tell us about the key material handling equipment used in a cement plant. At what stage of manufacturing are these equipment most functional?
Cement manufacturing is a process driven industry where various types of ore, raw materials, semifinished and finished products are handled in various forms at various stages. Efficiency and productivity of the material handling equipment is vital to produce the best quality of cement at the most economic cost. Modern cement plants use following material handling equipment:

From limestone mines to crusher: Hydraulic high-capacity dumpers/tippers, poclains, belt conveyors/pipe conveyors. Some of these belt conveyors are even spread cross-country panning at a length of 17 km, carrying limestone from mines in India for cement plants located in Bangladesh. The longest conveyor belt in the world measures to 98 km and is operational to transport at the ore in Western Sahara, Africa. Since belt conveyors are a very efficient mode of transportation, there are various projects ongoing for manufacturing even longer belt conveyors not only in cement industries but also in other manufacturing sectors.

From crusher to raw mill: Belt conveyors, stacker and reclaimers are used to maintain uniformity of quality. In the mines from pit to pit based on the horizontal and vertical location there is some variation in quality. Stacker and reclaimer are a two-step material handling, storage as well as homogenisation process equipment to maintain uniformity of the raw material of limestone, ores like gypsum, raw materials and fuels like coal, petcoke etc. Here, the wagon tipplers and truck tipplers are used to receive and unload raw materials “Right design of the transportation system is critical.”Vinod Agrawal, Executive Vice President – Logistics, Wonder Cement faster throughout the chain of operation.

From raw mill output to clinkerisation: Heat resistant belt conveyors, bucket elevators (belt and chain type), air lifters/air slides, pneumatic conveying system, screw conveyors and overhead cranes are used to carry materials in this stage of cement manufacturing.

From post clinkerisation to grinding: Belt conveyors, bucket elevators, air slides, screw conveyors are used to carry clinker to grinding units.

From cement packaging to dispatch: Automatic ROTO packers, wagon loading machines for covered wagons for 50kg cement bags, truck loading machines, bulk cement conveying and loading system for bulkers/tank Container wagons, clinker loading system for open wagons.

Finished goods (cement) – end transportation to customers: Various type of railway wagons like covered wagons (BCN/BCNA), Open Type Wagons (BOXN), bulk cement transportation wagons like (BCCW, BTAP), various types of trucks with a capacity of 10 MT to 45 MT, bulkers for transportation of bulk cement by road, container wagons by road as well as rail.For material handling, storage and onwards, the transportation at the depot is done by using conveyors, cranes or manually

What is the maintenance procedure of the material handling equipment at your organisation?
In our organisation, we maintain the highest level of reliability of all equipment by adhering to Preventive Maintenance (PM) Frequency as given by the suppliers (Original Equipment Manufacturers) recommendation. The preventive maintenance is a very structured and well-designed maintenance system, where each part of the equipment has a defined frequency of inspection, repairing and replacement of the parts. Since cement manufacturing is a continuous process industry, reliability on each and every equipment is equally important as negligence or deviation in any material handling equipment even if it may be of smallest value. Negligence can cause a complete stoppage of the entire production cycle. We are following a 100 per cent adherence on the preventive measure schedule given by OEM. Apart from this we are continuously innovating better systems for superior operation in each stage of material handling.

Tell us about the role of automation and technology in the material handling process?
Today’s digitisation and technological upgradation has changed the shape of material handling equipment.

There are inbuilt quality checks installed in the equipment that conduct an hourly check at each stage of material handling where the equipment functions. Every equipment in our units are equipped with automatic sensors, safety interlock switches for material high level, low level, cross belt analyser, belt conveyors material conveying rate Ton Per Hour (TPH) on real time basis, speed variable drives to increase or decrease the speed on automatic basis to cite some examples. Our quality testing laboratory, we use world class robotic technology to handle the samples of raw materials, semi-finished and finished products for quality assurance.

Every equipment at our packaging plants is equipped to monitor the exact weight of each bag of cement. An automatic bag counter is installed at various stages of the packing and loading operation unit, which helps reduce manual work load and ensure higher rate of accuracy in the system

What are the key differences in handling raw material versus handling end products at the cement plant?
Raw materials are normally handled in bulk form in larger structures like stone shapes, granules, fine powder and mainly handled by equipment like belt conveyors, belt bucket elevators, air slides, air lifters, pneumatic conveying system. For the finished goods, till the packing operation, almost similar equipment is used to carry the load through different units.

However, after the packaging is done, there are customised material handling equipment like wagon loading machine, truck loading machine etc. The belt conveyor is most commonly used equipment and is functional throughout the process till loading is done inside the wagons and trucks. The design, capacity and size of the belt conveyors changes as per each stage of operation.

Tell us about the various conveyors used in the manufacturing unit?
There are various types of conveyors like, belt conveyor, which is most commonly used. There are other types of conveyors used for transportation of material like pipe type conveyors, heat resistant belt conveyors, bucket elevators, screw conveyors etc., through different processes of the cement manufacturing process.

What role do gates play in the transportation of material in and out of the plant?
Gates or valves are an integral part of the material handling equipment. These ensure controlled flow of materials and avoid any overflow, jamming or bottlenecks in the process of transfer of materials. They also are of help during maintenance work as they can stop material from flowing while the maintenance job is being completed.

How does the manufacturing unit ensure efficiency in the material transportation process?
Efficiency of the material transportation process can be ensured by adhering to the best operation practices and maintenance standards enlisted according to individual system guidelines. This not only ensures efficiency; it increases the machinery reliability and impacts productivity of the unit as a whole.

How can material handling or transportation impact the profitability of the organisation?
Selection of the right design of transportation system is critical for long term sustainability and profitability of any organisation. For example, if we do not install belt conveyors for ore transportation from mines to crushers and instead use road transportation, then the operating cost of the function will be almost five times higher than the use of conveyors.

Similarly, installation of rail handling systems or rail siding is key for long term viability and ease of operation compared to road transportation. Also, as a responsible corporate each organisation has the responsibility of conserving and protecting the environment, which is only possible with right designing, installation as well as operation of the material handling equipment.

What are the technological advancements required to enhance the productivity of material handling equipment?
There is a continuous cycle of innovation in the technology provided by prominent suppliers of material handling equipment. They are offering advancement in terms of automation and digitisation of the equipment, they are making them more environment friendly, safer for operation, providing a higher output while consuming less operating cost and giving higher number of runs before a scheduled maintenance is needed as per industry standards.

All this has been achieved with technological advancements and the same can be further improved and enhanced for higher productivity levels.

How do you foresee the future of material transportation at your manufacturing unit?
Earlier, most of the key material handling equipment for cement plants were imported. However, with the industrial development in India, we are gradually seeing a reduction of imported equipment and a lot of industries being set up locally for this sector that can provide the same technology of equipment at a much lower price while maintaining international standards. We foresee many more such industries being set up in India, where equipment delivery time will be reduced significantly and the cost will be competitive in the market. The lead time will be significantly reduced with this move as suppliers will be available across the country.

Concrete

Lower sales realization impacts margins for cement makers in Q2 FY25

The industry encountered several challenges, including an extended monsoon season.

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Major cement manufacturers reported a decline in margins for the September quarter, primarily due to lower prices, which led to decreased sales realization.

With the exception of three leading cement producers—UltraTech Cement, Ambuja Cement, and Dalmia Bharat—smaller companies, including Nuvoco Vistas Corp, JK Cement, Birla Corporation, and Heidelberg Cement, experienced a drop in both topline and sales volume during the second quarter of the current fiscal year.

The industry encountered several challenges, including an extended monsoon season, flooding, and a slow recovery in government demand, all contributing to weak overall demand.

Despite these challenges, power, fuel, and other costs largely remained stable across the industry. The all-India average cement price was approximately Rs 348 per 50 kg bag in June 2024, which represented an 11 per cent year-on-year decrease to Rs 330 per bag in September, although it saw a month-on-month increase of 2 per cent.

In the first half of FY25, cement prices declined by 10 per cent year-on-year, settling at Rs 330 per bag. This decline was notable compared to the previous year’s average prices of Rs 365 per bag and Rs 375 per bag in FY23, as reported by Icra.

Leading cement manufacturer UltraTech reported a capacity utilization rate of 68 per cent, with a 3 per cent growth in volume. However, its sales realization for grey cement declined by 8.4 per cent year-on-year and 2.9 per cent quarter-on-quarter during the July-September period.

In response to a query regarding cement prices during the earnings call, UltraTech’s CFO Atul Daga indicated that there had been an improvement in prices from August to September and noted that prices remained steady from September to October. He mentioned that the prices had risen from Rs 347 in August to approximately Rs 354 currently.

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Concrete

Steel companies face Rs 89,000 crore inventory crisis

Steel firms grapple with Rs 89,000 crore stockpile amid import surge.

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Steel companies in India are facing a significant challenge as they contend with an inventory crisis valued at approximately Rs 89,000 crore. This situation has arisen due to a notable increase in steel imports, which has put pressure on domestic producers struggling to maintain sales in a competitive market.

The surge in imports has been fueled by various factors, including fluctuations in global steel prices and increased production capacities in exporting countries. As a result, domestic steel manufacturers have found it difficult to compete, leading to rising stock levels of unsold products. This inventory buildup has forced several companies to reassess their production strategies and pricing models.

The financial impact of this inventory crisis is profound, affecting cash flows and profitability for many steel firms. With domestic demand remaining volatile, the pressure to reduce prices has increased, further complicating the situation for manufacturers who are already grappling with elevated production costs.

Industry experts are urging policymakers to consider measures that can support local steel producers, such as imposing tariffs on imports or enhancing trade regulations. This would help to protect the domestic market and ensure that Indian steel companies can compete more effectively.

As the steel sector navigates these challenges, stakeholders are closely monitoring the situation, hoping for a turnaround that can stabilize the market and restore confidence among investors. The current dynamics emphasize the need for a robust strategy to bolster domestic production and mitigate the risks associated with excessive imports.

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Concrete

JSW and POSCO collaborate for steel plant

JSW Group and POSCO ink MoU for steel project.

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JSW Group has signed a Memorandum of Understanding (MoU) with South Korea’s POSCO Group to develop an integrated steel plant in India. This collaboration aims to enhance India’s steel production capacity and contribute to the country’s growing manufacturing sector.

The agreement was formalized during a recent meeting between executives from both companies, highlighting their commitment to sustainable development and technological innovation in the steel industry. The planned facility will incorporate advanced manufacturing processes and adhere to environmentally friendly practices, aligning with global standards for sustainability.

JSW Group, a leader in the Indian steel industry, has expressed confidence that the joint venture with POSCO will bolster its position in the market and accelerate growth. The project is expected to attract significant investments, generating thousands of jobs in the region and contributing to local economies.

As India aims to boost its steel output to meet domestic demand and support infrastructure projects, this partnership signifies a crucial step toward achieving those goals. Both companies are committed to leveraging their expertise to develop a state-of-the-art facility that will produce high-quality steel products while minimizing environmental impact.

This initiative also reflects the increasing collaboration between Indian and international firms to enhance industrial capabilities and foster economic growth. The MoU sets the stage for a promising future in the Indian steel sector, emphasizing innovation and sustainability as key drivers of success.

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