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A refractory should be able to withstand high abrasion

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Mayank Kamdar, Marketing Director, Lilanand Magnesites, gives details about development in refractories that affect cement production.

Tell us about the refractories made and delivered by your organisation.
We are manufacturers of special and high performance castable and gunning refractory. These are manufactured at our Gujrat factory. We also have an integrated R&D centre there with all types of testing facilities. We primarily manufacture these castable, gunning refractories and anti-coating paints material there.

How do your refractories impact the productivity of the cement plants?
The refractory cost is less compared to the total expenditure of a cement plant – it might be 0.2 per cent to 0.4 per cent of the total expenditure. Refractory efforts can improve efficiency of the plant by up to 60 per cent. It plays an important role as far as productivity of a cement plant is concerned. Nowadays, cement plants are switching focus from the cost of the material to the absolute cost of the material. You need to be ready to spend on the extra life of the refractory to ensure that efficiency and productivity is increased. As the demand of cement is increasing day by day, all the companies are focused on better refractory life at affordable costs.

What is the lifespan of your refractories?
It depends on the area. Usually in the critical areas that we are catering to, the lifespan varies from around 12 to 24 months. We provide unshaped refractories, and not bricks or pre-cast shapes. We manufacture gunning and castable refractories and they have a life of up to 24 months.

Tell us about the maintenance and quality standards for your refractories.
Our process is ISO certified. As a premium refractory manufacturer, we are particular about choosing our raw materials. We conduct a lot of tests on our finished goods before they are despatched. So, there is rigorous testing of our raw material and finished goods as far as refractories are concerned.

How do you contribute towards sustainability or being environment friendly?
Refractory material is made using a lot of fuel. Minerals need to be extracted from the raw materials. In aluminium-based refractory, high grade boxes are made. Since this process requires a lot of fuel, it is our perception that if the refractory gives better life not only does the customer get benefitted because of better costs but the environment is also positively impacted. A medium quality refractory castable would more or less require the same energy or fuel as high performance refractories.
If the life of high performance refractory is doubled, the overall impact on the environment can be reduced by 50 per cent by way of improving life and by using better refract one can contribute to environment sustainability.
Again, our factory has an integrated solar power plant where we are able to generate more electricity than is used by our refractory. Our factory is power positive. We have also introduced false air ceiling putty, which ensures that the false air ceiling draft is positive inside the preterm area. So, the environmental air rushes towards the preterm area where there are small holes, gaps and air pockets. We have developed one putty that will seal the small and big gaps and not allow atmospheric air to get trapped inside the preterm area. This increases the efficiency by reducing the false air. Savings in terms of money amount to approximately Rs 2 – 4 crores annually. A normal cement plant can save on this amount by regulating the false air.

New fuels and materials are being used for the making of cement. Do they have an impact on your product or the product is adaptable to all kinds of fuels and materials?
The refractory should be able to withstand high abrasion and chemical attacks. You can get it right if the refractory is chemically not very reactive. There would be an effect of AFR and other fuels but the effect could be minimised and controlled with the use of good refractories. Some companies are facing the problem of coating and maybe cyclones are getting jammed in the plant, so if they use anti-coating castable paints that we manufacture, which is applied over the castables, it provides extra protection against chemical attacks and abrasion. Companies are using such innovative products to minimise the effect of the alternative fuels.
All refractories are obtained from mining the earth and natural resources are depleting. The biggest challenge for any refractory manufacturer is to maintain the same quality of products. With depleting resources, they have to get new mixed designs in such a way that the quality is sustained.

Is there a way to making refractories that will not deplete the natural resources?
As such there is no solution. But it can be used in a conservative way. If you use a good refractory with better life and overall tonnage, it will help produce the same amount of cement.

Tell us about the innovations and new developments in refractories.
This year there is a continuous improvement in the quality and products that we are producing. If you consider castable, we have increased our range of constables, with more focus on inlet refractories where more and more companies are using
AFR, PET coke and other alternative fuels. We have developed refractories that minimise chemical abrasion. Even with the use of AFR and other deteriorating fuels, we are able to increase the life of inlet refractories considerably.

-Kanika Mathur

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Concrete

Cement Makers’ Margins To Fall Rs 50-75 Per Tonne Amid West Asia Conflict

Crisil Sees Margins Easing Despite Steady Demand

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Crisil said operating margins of Indian cement manufacturers are expected to decline by Rs 50-75 per tonne (t) this fiscal to Rs 925-950 per t due to higher input costs triggered by the West Asia conflict. The analysis covered 18 cement companies accounting for nearly 90 per cent of India’s domestic cement capacity and noted margins had improved sharply to around Rs 1,000 per t in fiscal 2026.

Crisil noted that the reduction would be driven mainly by higher power and fuel costs, which account for about 30 per cent of total costs, as petcoke and imported coal prices have surged amid geopolitical uncertainties. Freight costs, which account for about a quarter of total costs, are also expected to remain elevated because of higher diesel prices. The impact on profitability is likely to be more pronounced in the first half of the fiscal year before easing commodity prices moderate cost pressures later.

The rating agency said steady domestic demand and strong balance sheets should keep credit profiles stable despite the moderation in margins. Green energy currently accounts for 35-40 per cent of the sector’s total electricity consumption and is expected to partly cushion higher energy costs. Operating cash flows are likely to remain resilient, supported by projected 6-7 per cent growth in cement demand this fiscal.

Crisil highlighted that demand growth will be driven primarily by infrastructure spending, which meets about one-third of sector consumption, and by a nearly 18 per cent higher budgetary allocation for core ministries that should support project execution. Weaker rural housing demand amid pressure on agricultural incomes from a possible below-average monsoon may be offset by improved urban housing demand supported by favourable home-loan rates and a strong pipeline of Pradhan Mantri Awas Yojana-Urban projects. Ongoing capacity additions will keep capital expenditure elevated and may lift net debt to EBITDA to between 1.2 and 1.4 times from around 1.0 time last fiscal, though ratios are expected to remain healthy.

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Concrete

UltraTech Board Approves Rs 50 bn Fundraise Via NCDs

Company to issue half a million debentures for expansion plan

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UltraTech Cement’s board of directors has approved raising Rs 5,000 crore (Rs 50 bn) through non?convertible debentures issued in rupees.

The finance committee cleared a proposal to issue up to 500,000 fully paid, unsecured, listed, rated, redeemable, rupee?denominated, non?convertible, non?cumulative debentures of Rs 1 lakh each (Rs 0.1 mn each), aggregating to the Rs 5,000 crore programme.

As of June 2026 the firm reported net debt of Rs 15,875 crore (Rs 158.75 bn) and said its capacity expansion projects under execution are backed by capital expenditure of about Rs 17,000 crore (Rs 170 bn) over the next two to two?and?a?half years.

UltraTech spent Rs 9,500 crore (Rs 95 bn) on capital expenditure in financial year 2026 and in April the group crossed 200.1 mn tonnes per annum of domestic grey cement capacity and 205.5 mn tonnes per annum of global capacity.

The chief financial officer indicated the company would take consolidated capacity beyond 242 mn tonnes per annum, with grey cement capacity reaching 212.7 mn tonnes per annum by the end of financial year 2027. He noted the net debt?to?earnings before interest, taxes, depreciation and amortisation ratio stood at 0.87 times as of June 2026 and the company was confident of ending financial year 2027 with the ratio below one time.

In the first quarter of financial year 2026?27 UltraTech’s net profit attributable to owners rose 16.8 per cent year?on?year to Rs 2,599.3 crore (Rs 25.993 bn) and revenue from operations increased 15.9 per cent to Rs 24,648.20 crore (Rs 246.482 bn). The board approval is expected to complement internal cash flows as the company advances its expansion programme.

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Concrete

Lokesh Lays Stone For Rs 31 Billion Cement Unit In Kadapa

Line-2 expansion to make Kadapa a major cement hub

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Andhra Pradesh Education and IT Minister Nara Lokesh on Wednesday laid the foundation stone for the Line-2 expansion of Dalmia Bharat Cement at Chinnakomerla village in Mylavaram Mandal in Kadapa district. The project carries an investment of Rs 31 billion (bn) and is slated for completion by the third quarter of the financial year 2028. The expansion is intended to boost industrial growth and employment generation across the Rayalaseema region.

Once commissioned, the Kadapa facility will become Dalmia Bharat’s largest integrated cement manufacturing ecosystem in southern India, creating over 1,000 direct and indirect jobs and opening new business avenues for regional micro, small and medium enterprises and transport operators. Lokesh said the expansion signalled growing corporate confidence in the state and reflected the practical ease of doing business that secured repeat investment.

He placed the project within the government’s wider economic targets and recalled the Yuvagalam padayatra commitment to generate two million (mn) jobs within five years, noting that the state would cultivate talent while industry created opportunities. Lokesh highlighted Andhra Pradesh’s competitive pursuit of major manufacturing accounts, mentioning past successes and a personal initiative to engage global investors when persuading them to anchor expansion in the state.

The plant will leverage Kadapa’s abundant limestone reserves to scale production and sustainability. Clinker capacity is planned to rise from two point five million tonnes per annum (mn tpa) to six point one mn tpa, while overall cement output will increase from three point six mn tpa to nine point six mn tpa. The unit is designed to operate on over eighty per cent renewable energy and deploy waste heat recovery, zero liquid discharge, water recycling and advanced AI systems to optimise efficiency. Industries Minister TG Bharat, BC Welfare Minister S. Savitha and Jammalamadugu MLA C. Adinarayana Reddy attended the ceremony.

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