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The consistent goal in the cement industry is to use fewer natural resources

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Sanjay Joshi, Chief Manufacturing Officer, Nuvoco Vista, highlights the various supplementary cementitious materials that are used to make cement production more cost-effective and environmentally sustainable.

What are supplementary cementitious materials? Tell us more about their nature
of origin.

Cement products often have other materials incorporated that help increase the product’s strength and durability, reduce permeability, as well as help reduce the impact on the environment. These materials are known as supplementary cementitious materials.
The most used supplementary cementitious materials are fly ash or blast furnace slag. While fly ash is a by-product of thermal power generating stations, slag is a glassy, granular material formed during the smelting process of iron ore; it is quenched mostly by water sprays or immersion in water and then subsequently ground to cement fineness.
Gypsum is another cementitious material that is added to the cement. It is found naturally and as a by-product of chemical industries. Chemically, it is a sulphate of calcium (CaSO4.2H2O), which helps in delaying the setting time of cement and makes it workable.

Tell us about the supplementary cementitious materials and their composition used by your organisation.
We are using all the above-listed cementitious material as it is prevalent in the industry. The
C/K ratio (cement to clinker ratio) indicates the composition of cementitious materials used. We are operating at a level of ~1.8., which means we are producing ~1.8 tonnes of cement for every tonne of clinker consumed. It makes us the leading player in the industry, manufacturing products with high cementitious addition. We operate close to the 34-34.5 per cent fly ash addition in fly ash based cement. In slag-based cement, we are operating in the range of 55-65 per cent slag, based on the product requirement. Gypsum usage ranges from 3-5 per cent in all cement types, and it varies based on the requirement of
setting time.

Does the use of supplementary cementitious materials impact the process of cement manufacturing?
Yes, cementitious materials impact the energy consumption of cement manufacturing. These materials are easy to grind when compared to clinker which is the major constituent of cement. Thus, higher usage of cementitious materials helps in reducing energy consumption.
Also, clinker usage directly involves limestone consumption as a raw material. Therefore, by using higher cementitious materials in the cement-making process, we are preserving the limestone available naturally.
Another aspect of adding cementitious material is the change in equipment required. Slag and fly ash are abrasive in nature thus the equipment being used in cement manufacturing will wear out faster in the case of PPC and PSC making. This lower clinker consumption ultimately lowers CO2 emission/tonne of cement production.

What are the key advantages of using supplementary cementitious materials in the cement manufacturing process?
Cement manufacturing is a closed loop wherein all raw materials from limestone mining to clinker production remain fully under controlled process parameters. The company focuses on reducing clinker consumption by increasing the blended cement ratio. Using these SCM, Nuvoco is also aiming to save fossil fuel, along with the obvious reduction in carbon emissions. Additionally, SCM increase the strength and durability of the product and reduce permeability.

How does the use of supplementary materials increase the profitability of cement manufacturing for your organisation?
Clinker manufacturing is the main cost-intensive step of the cement manufacturing process. Thus, a higher percentage of clinker in cement leads to a higher cost of manufacturing. By using SCM to the maximum extent possible, we can make cement at a lower cost without impacting its key properties.

Tell us about the quality standards and checks implemented for the final product made using supplementary materials.
Nuvoco has a dedicated NABL-accredited Construction Development and Innovation Centre (CDIC) located in Mumbai. It serves as the incubation centre for innovative products and can conduct over 100 mechanical tests. Apart from that, it also offers third-party external testing services, offering products and solutions that have passed the highest standards and holds global validation.
Additionally, Nuvoco also exceeds/meets BIS standards for cement quality. We also have a robust internal quality check procedure for continuous monitoring and course correction if any.

What are the major challenges you face while using supplementary materials for cement manufacturing?
The major challenge would be ‘Procurement, Distribution, Quality and Cost’. If any of this gets compromised, it will result in increased cement costs. Cost plays an important role and is majorly affected by the lead distances and availability of cementitious material quality determines the level up to which we can optimise the addition of the cementitious material in consideration.

How does the use of cement made of supplementary materials impact its carbon footprint?
Taking care of our environment and being sustainable have always been our focus. The use of such SCM lowers the energy in the concrete and counterbalances almost a ton of carbon emissions for every ton of cement that is replaced.
The addition of cementitious material (fly ash and slag) in cement helps to reduce the carbon footprint in cement as waste from a different industry is utilised in products in the market. The second benefit is the reduction of clinker consumption which in itself is a carbon-intensive product as it requires the usage of fossil fuels and also consumes limestone which in turn requires mining and other processing activities.

How do you foresee the future of the global cement industry in terms of using alternative materials for cement manufacturing and running the race of decarbonisation?
With our sustainability initiatives, we are looking to create value for all our stakeholders.
Our outlook remains optimistic, both in the short-term and in the long-term, concerning India, the cement industry and Nuvoco, in particular. There are substantial opportunities for growth and impact.
The consistent goal in the cement industry is to use fewer natural resources. Limestone, the primary natural resource used in cement production, is reduced as blended cement production rises. This benefits not only the company but also the businesses that produce trash, such as the steel and power industries.

Kanika Mathur

Concrete

ACC Q3 Net Profit at Rs 10.91 Bn, Revenue Reaches Rs 52.07 Bn

ACC attributed its performance to volume growth, cost optimization, and improved efficiency.

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Cement manufacturer ACC reported a net profit of Rs 10.91 billion for the third quarter ending December 2024, a significant increase from the Rs 5.37 billion profit posted during the same period last year. The company’s revenue from operations reached Rs 52.07 billion in the current quarter, compared to Rs 48.55 billion a year ago.

The results for the quarter are not directly comparable to last year’s figures due to ACC’s acquisition of the remaining 55 per cent of Asian Concretes and Cements (ACCPL) and its step-down subsidiary, Asian Fine Cements. The consolidated financial results for this quarter include those of ACCPL.

Additionally, ACC received a Rs 7.20 billion refund from the government as an excise duty exemption on clinker consumption for the period from May 2005 to February 2013. This refund follows a ruling in ACC’s favour by the Customs, Excise, and Service Tax Appellate Tribunal. Of this amount, Rs 6.36 billion was recognised as income in the current quarter and the nine months ending December 31, 2024.

The company’s total expenses for the December quarter stood at Rs 50.99 billion, while its total income was Rs 65.75 billion. The revenue from the cement business was Rs 56.14 billion, and from Ready Mix Concrete, it was Rs 3.44 billion.

ACC attributed its performance to volume growth, cost optimization, and improved efficiency. The company expects continued growth, driven by demand for premium cement products and a focus on innovation and sustainability.

Looking ahead, ACC anticipates that the cement sector, which experienced modest growth of 1.5-2 per cent during the first half of FY25, will rebound in the fourth quarter as construction activity accelerates in the infrastructure and housing segments. The company projects cement demand growth of 4-5 per cent for FY25, supported by the pro-infrastructure and housing measures in the 2025 Budget and increased government spending on infrastructure projects.
News source: ET Energy

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Concrete

Dalmia Bharat to Invest Rs 10 Bn in Capex During Q4

In the next six months, the company plans to release a roadmap for the second phase of its expansion, with a target production capacity of 75 million tonnes.

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Dalmia Bharat plans to invest approximately Rs 10 billion in capital expenditure for the quarter ending in March, bringing its total expenditure for the current fiscal year to around Rs 30 billion.

As for the fiscal year 2025-26 (April-March), the company intends to spend between Rs 25 billion and Rs 30 billion on capital expenditure. Dalmia Bharat’s current annual production capacity is 46.6 million tonnes, which is set to increase to 49.5 million tonnes by the end of March.

India, being the second-largest cement producer globally, has seen domestic players aggressively expand capacities through both expansion and acquisitions to meet the anticipated demand driven by the government’s infrastructure push. It is projected that between 2024 and 2028, 150-160 million tonnes of capacity will be added, driven by a combination of organic and inorganic growth. This increase in supply, coupled with heightened competition, is expected to limit the growth of cement prices, as noted in a Crisil report from last year.

Dalmia also mentioned that while optimism surrounding cement prices has risen due to recent price recoveries, the intensifying competition may prevent any substantial price increases. He noted that the current market conditions are marked by aggressive market share pursuits, which, coupled with the lack of demand growth in the first nine months, have added strain to the industry. He pointed out that every industry goes through phases where the focus shifts from market share to prioritizing margins, as beyond a certain point, market share no longer delivers value.

He anticipates that competitive pressure, particularly in the southern markets of India, will persist, alongside ongoing consolidation within the industry.

News source: The Economic Times

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Concrete

NUVOCO Vistas Sales Volume Grew by 16% YoY for Q3 FY25

Consolidated revenue from operations stood at Rs 24.09 billion

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Nuvoco Vistas Corp, a leading building materials company in India, announced its unaudited financial results for the quarter ended December 31, 2024. With 25 MMTPA of combined installed capacity, Nuvoco Vistas Corp. Ltd. is the 5th largest cement group in India and amongst the leading cement players in East India. The company is on track to achieve 31 MMTPA cement capacity1 by Q3 FY27 after emerging as the Successful Resolution Applicant for Vadraj Cement (VCL). A Letter of Intent has already been issued. The VCL facility comprises of 3.5 MMTPA clinker unit in Kutch and a 6 MMTPA grinding unit in Surat and reflects the company’s drive for growth and diversification.

The company’s consolidated cement sales volume registered a strong growth of 16% YoY to 4.7 MMT in Q3 FY25. Consolidated revenue from operations stood at Rs 24.09 billion during the same period. Consolidated EBITDA for the quarter stood at Rs 2.58 billion.

The cement industry has witnessed a recovery following a challenging first half of FY25. After facing subdued demand, the industry is showing signs of improvement, supported by favourable market dynamics. In response, the Company undertook several initiatives to drive strong volume growth during the quarter. While cement prices remained muted for majority part of the quarter, they recovered toward the end. Meanwhile, the Company has continued to focus on operational excellence. The company has achieved the lowest blended fuel cost in the last 13 quarters, at Rs. 1.45 per Mcal. Nuvoco’s power & fuel cost continues to be amongst the lowest in the industry.

In the RMX business, “Concreto Uno Concrete”, launched during the year, is seeing volume traction across regions. The MBM business introduced “Tile Adhesive T5”, “Tile Glitter” and “Tile Bonder” under the brand ZERO M to strengthen the product portfolio. The company continues to strengthen its commitment to sustainability with lowest carbon emissions in the industry, with 457 kg CO2 per ton2 of cementitious materials.

Commenting on the company’s performance, Jayakumar Krishnaswamy, Managing Director, Nuvoco Vistas Corp. Ltd., stated, “The Company proactively seized demand opportunities to bolster its position in the market and delivered strong volume growth during the quarter. Price increases in the recent period continue to reflect a positive trend, while sustained improvements in demand should support prices as well. Strategic priorities for the company remain centered on driving premiumisation, optimising geo- mix, enhancing fuel mix efficiency, strengthening brand presence, and maintaining cost excellence. The company is confident in its expansion strategy and ability to execute on growth plans pertaining to Vadraj Cement, which will diversify its market footprints in the Western India, thereby supporting long-term growth ambitions and further consolidating its position as the 5th largest player in India.”

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