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The Rising Northeast!

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India’s Northeastern states, nestled between the Himalayas and the vast trade routes of Southeast Asia, have often remained untapped owing to logistical challenges and limited industrial exposure. However, with investments, policy support and infrastructure developments, this once remote region is rapidly transforming into a booming hub.

In the last 10 years, with multiple schemes at the level of the Centre and the states, India’s Northeast region has undergone a rapid transformation in terms of infrastructure, including rail and road connectivity, new industrial and technology parks, logistics hubs and cold chains, among others. With a significant increase in budget allocation, rising from Rs.361 billion in 2014-15 to Rs.1,058 billion in FY2025-26, the Northeast is set for accelerated growth. The Government’s ambitious Unnati 2024 scheme further reinforces the commitment to industrialisation and economic expansion in
the region.

Gateway to Southeast Asia
According to Manmohan Parkash, Former Senior Advisor, Office of the President, Asian Development Bank (ADB), the Northeast region can play a strategic role as India’s gateway to Southeast Asia and has the potential to become a trillion-dollar economy by 2050. He noted that the region’s economic growth rates, ranging from 11 per cent to 29 per cent across various states, reflect its strong development trajectory. “The Northeast is endowed with rich resources, a young workforce and geographical connectivity with ASEAN,” he pointed out. “By focusing on infrastructure, investment and innovation, we can position the region as a key driver of India’s economic expansion.”
He highlighted ongoing infrastructure projects such as the India-Myanmar-Thailand Trilateral Highway and the expansion of regional airports in Guwahati, Agartala and Silchar. Investments in high-speed rail connectivity and inland waterways, particularly in Assam, are expected to further enhance trade links with Southeast Asia. He also emphasised upon the importance of integrating digital infrastructure to boost e-commerce, IT services and fintech in
the region.

Emerging investment opportunities
Providing a comprehensive overview of investment trends in the North East, R E Zeliang, General Manager, North Eastern Development Finance Corporation (NEDFi) emphasised that the region is now a prime destination for business expansion. He highlighted key sectors attracting major investments, including agro-processing, tourism, renewable energy and manufacturing. “The Northeast is no longer just about potential; it is about tangible growth,” he averred. “With improved infrastructure, proactive state policies and an entrepreneurial culture, this is the right time for investment.”
Zeliang cited projects such as the Assam Semiconductor Manufacturing Plant and major investments from Tata, Reliance and Adani in hospitality, pharmaceuticals and real estate. The establishment of industrial parks in Tripura and startup incubation centres in Manipur is also facilitating a business-friendly environment. Additionally, he
drew attention to the region’s growing connectivity with Bangladesh and Myanmar through border trade agreements and logistics corridors, which are set to enhance cross-border commerce significantly.

Reducing costs with multimodal logistics parks
According to Sanjeev Patil, COO, National Highways Logistics Management (NHLML), the development of multimodal logistics parks (MMLPs) can be a gamechanger for the region’s supply chain ecosystem. He explained that India’s logistics performance index ranks lower than global counterparts, leading to high transportation costs. “To bring down logistics costs from 16 per cent to a single-digit percentage, the Government is setting up 35 multimodal logistics parks, with a special focus on Northeast India”, he said.
The MMLP at Jogighopa (Assam) – being developed by National Highways and Infrastructure Development Corporation (NHIDCL), a fully owned company of the Union Ministry of Road Transport and Highways – is set to enhance connectivity via rail, road and waterways. It will provide cold storage facilities, warehousing and customs clearance, significantly benefiting the region’s agricultural and export-oriented industries. Patil emphasised that these projects are being developed under a PPP model, ensuring private-sector participation in infrastructure development.

Ropeways revolutionising last-mile connectivity
Addressing the need for better last-mile connectivity, Prashant Jain, Vice President – Ropeways & Inter Modal Hub Infrastructure, NHLML spoke about the Parvatmala Pariyojana, which aims to establish ropeway networks in hilly and remote areas. The Northeast has already proposed 33 ropeway projects, with key developments underway in Kamakhya (Assam) and Tawang (Arunachal Pradesh). “The terrain of Northeast India demands innovative transport solutions,” stated Jain. “Ropeways are not just about tourism; they will play a critical role in urban decongestion, logistics and mobility for isolated communities.”
He explained that ropeways are ecofriendly, require minimal land acquisition, and offer a reliable transportation mode in challenging terrain. He also mentioned upcoming plans for an intermodal hub in Guwahati, integrating ropeways, airports and highways for seamless travel.

Unnati 2024
To boost development of newer industries in the region, the Union Government launched the Uttar Poorva Transformative Industrialisation (UNNATI) scheme in 2024. Pankaj Surana, Director (Tax and Regulatory Services), Ernst & Young LLP provided an in-depth analysis of the scheme, a Rs.100 billion initiative aimed at accelerating industrialisation.
The scheme offers substantial incentives, including capital subsidies, interest subsidies and GST-linked incentives to encourage new businesses. “This is a once-in-a-generation opportunity for businesses to establish themselves in the Northeast,” he said. “The Government has ensured strong financial support, making it attractive for both new and expanding industries.”
Under the scheme, new manufacturing units can claim up to 100 per cent reimbursement on net GST payments for 10 years, while industries in backward districts receive capital subsidies of up to 50 per cent. Key sectors eligible for incentives include electronics, pharmaceuticals, IT, tourism and renewable energy. Surana stressed the urgency for businesses to register under the Unnati Portal by March 2026 to avail of the benefits, highlighting that over 300 companies have already applied.

Time to unleash true potential
The FCC North East Webinar 2025 highlighted the transformative changes unfolding in the rapidly developing region. With large-scale infrastructure projects, favourable investment policies and government-led initiatives, Northeast India will soon become a major economic hub. As Parkash concluded, “The time to act is now. With bold investments and strategic planning, the Northeast can become a shining example of sustainable growth, innovation and global leadership.”
Indeed, strong collaboration between the public and private sectors will allow the region to emerge as a powerhouse of economic growth, intertwining India with the dynamic markets of Southeast Asia.

(The distinguished speakers shared their insights at a webinar titled ‘The Rising North East’ on March 18, 2025, hosted by the FIRST Construction Council (FCC) – in collaboration with CONSTRUCTION WORLD, Infrastructure Today and Equipment India magazines. The webinar highlighted infrastructure developments, investment opportunities and strategic policies that are shaping the economic future of the Northeast.)

Economy & Market

TSR Will Define Which Cement Companies Win India’s Net-Zero Race

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Jignesh Kundaria, Director and CEO, Fornnax Technology

India is simultaneously grappling with two crises: a mounting waste emergency and an urgent need to decarbonise its most carbon-intensive industries. The cement sector, the second-largest in the world and the backbone of the nation’s infrastructure ambitions, sits at the centre of both. It consumes enormous quantities of fossil fuel, and it has the technical capacity to consume something else entirely: the waste our cities cannot get rid of.

According to CPCB and NITI Aayog projections, India generates approximately 62.4 million tonnes of municipal solid waste annually, with that figure expected to reach 165 million tonnes by 2030. Much of this waste is energy-rich and non-recyclable. At the same time, cement kilns operate at material temperatures of approximately 1,450 degrees Celsius, with gas temperatures reaching 2,000 degrees. This high-temperature environment is ideal for co-processing, ensuring the complete thermal destruction of organic compounds without generating toxic residues. The physics are in our favour. The infrastructure is not.

Pre-processing is not the support act for co-processing. It is the main event. Get the particle size wrong, get the moisture wrong, get the calorific value wrong and your kiln thermal stability will suffer the consequences.

The Regulatory Push Is Real

The Solid Waste Management (SWM) Rules 2026 mandate that cement plants progressively replace solid fossil fuels with Refuse-Derived Fuel (RDF), starting at a 5 per cent baseline and scaling to 15 per cent within six years. NITI Aayog’s 2026 Roadmap for Cement Sector Decarbonisation targets 20 to 25 per cent Thermal Substitution Rate (TSR) by 2030. Beyond compliance, every tonne of coal replaced by RDF generates measurable carbon reductions which is monetisable under India’s emerging Carbon Credit Trading Scheme (CCTS). TSR is no longer a sustainability metric. It is a financial lever.

Yet our own field assessments across multiple Indian cement plants reveal a sobering reality: the primary barrier to scaling AFR adoption is not waste availability. It is the fragmented and under-engineered pre-processing ecosystem that sits between the waste and the kiln.

Why Indian Waste Is a Different Engineering Problem

Indian municipal solid waste is not the material that imported shredding equipment was designed for. Our waste streams frequently exceed 40 per cent to 50 per cent moisture content, particularly during monsoon cycles, saturated with abrasive inerts including sand, glass, and stone. Plants relying on imported OEM equipment face months of downtime awaiting proprietary spare parts. Machines built for segregated, low-moisture waste fail quickly and disrupt the entire pre-processing operation in Indian conditions.

The two most common failures we observe are what I call the biting teeth problem and the chewing teeth problem. Plants relying solely on a primary shredder reduce bulk waste to large fractions, but the output remains too coarse for stable kiln combustion. Others attempt to use a secondary shredder as a standalone unit without a primary stage to pre-size the feed, leading to catastrophic mechanical failure. When both stages are present but mismatched in throughput capacity, the system becomes a bottleneck. Achieving the 40 to 70 tonnes per hour required for meaningful coal displacement demands a precisely coordinated two-stage process.

Engineering a Made-in-India Answer

At Fornnax, our response to these challenges is grounded in one principle: Indian waste demands Indian engineering. Our systems are built around feedstock homogeneity, the holy grail of kiln stability. Consistent particle size and predictable calorific value are the foundation of stable kiln combustion. Without them, no TSR target is achievable at scale.

Our SR-MAX2500 Dual Shaft Primary Shredder (Hydraulic Drive) processes raw, baled, or loosely mixed MSW, C&I waste, bulky waste, and plastics, reducing them to approximately 150 mm fractions at throughputs of up to 40 tonnes per hour. The R-MAX 3300 Single Shaft Secondary Shredder (Hydraulic Drive), introduced in 2025, takes that primary output and produces RDF fractions in the 30 to 80 mm range at up to 30 tonnes per hour, specifically optimised for consistent kiln feeding. We have also introduced electric drive configurations under the SR-100 HD series, with capacities between 5 and 40 tonnes per hour, already operational at a leading Indian waste-processing facility.

Looking ahead, Fornnax is expanding its portfolio with the upcoming SR-MAX3600 Hydraulic Drive primary shredder at up to 70 tonnes per hour and the R-MAX2100 Hydraulic drive secondary shredder at up to 20 tonnes per hour, designed specifically for the large-scale throughput that higher TSR ambitions require.

The Investment Case Is Now

The 2070 Net-Zero target is not a distant goal for India’s cement sector. It starts today, with decisions being made on the plant floor.

The SWM Rules 2026 are already in effect, requiring cement plants to replace coal with RDF. Carbon credit markets are opening up, and coal prices are not going to get cheaper. Every tonne of coal a cement plant replaces with waste-derived fuel saves money on one side and generates carbon credit revenue on the other. Pre-processing infrastructure is no longer just a compliance requirement. It is a business investment with a measurable return.

The good news is that nothing is missing. The technology works. The waste is available in every Indian city. The government has provided the policy direction. The only thing standing between where the industry is today and where it needs to be is the commitment to build the right infrastructure.

The cement companies that move now will not just meet the regulations. They will be ahead of every competitor that waits.

About The Author

Jignesh Kundaria is the Director and CEO of Fornnax Technology. Over an experience spanning more than two decades in the recycling industry, he has established himself as one of India’s foremost voices on waste-to-fuel technology and alternative fuel infrastructure.

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Concrete

WCA Welcomes SiloConnect as associate corporate member

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The World Cement Association (WCA) has announced SiloConnect as its newest associate corporate member, expanding its network of technology providers supporting digitalisation in the cement industry. SiloConnect offers smart sensor technology that provides real-time visibility of cement inventory levels at customer silos, enabling producers to monitor stock remotely and plan deliveries more efficiently. The solution helps companies move from reactive to proactive logistics, improving delivery planning, operational efficiency and safety by reducing manual inspections. The technology is already used by major cement producers such as Holcim, Cemex and Heidelberg Materials and is deployed across more than 30 countries worldwide.

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Concrete

TotalEnergies and Holcim Launch Floating Solar Plant in Belgium

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TotalEnergies and Holcim have commissioned a floating solar power plant in Obourg, Belgium, built on a rehabilitated former chalk quarry that has been converted into a lake. The project has a generation capacity of 31 MW and produces around 30 GWh of renewable electricity annually, which will be used to power Holcim’s nearby industrial operations. The project is currently the largest floating solar installation in Europe dedicated entirely to industrial self-consumption. To ensure minimal impact on the surrounding landscape, more than 700 metres of horizontal directional drilling were used to connect the solar installation to the electrical substation. The project reflects ongoing collaboration between the two companies to support industrial decarbonisation through renewable energy solutions and innovative infrastructure development.

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