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Global Aggregates Production

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Jim O’Brien, President, GAIN, on strengthening the global aggregates industry through collaboration, data sharing and a commitment to sustainability.

GAIN™ is the trade-marked acronym of the Global Aggregates Information Network. Founded in 2010, it is an entirely voluntary network of the major national and regional aggregates associations of the world. The mission of GAIN is to openly share experiences and industry best practices in the interests of promoting the greater sustainability and performance of the aggregates industry globally. GAIN has no commercial interests and vigorously enforces an anti-trust policy.
Starting with just five members in 2010, GAIN now has over 20 members spread across all the six continents, its members representing 75 per cent of global aggregates production of just 39 billion metrictonnes(bnt).
GAIN is uniquely successful in its highly-interactive global membership, thanks to the very positive cooperation of its members. The most recent physical GAIN meeting, its seventh global meeting, was held in Córdoba, Argentina, kindly hosted by the Argentine Association Federación de la Piedra, with most GAIN regions in attendance. The wide-ranging agenda focused on sharing best practice on key industry challenges, and found the industry to be in resilient recovery post-pandemic and poised to address and benefit from future sustainability challenges and opportunities.
The next physical meeting of GAIN is planned for October 19-22, 2025, to be held in Córdoba, Spain, hosted by the Spanish Aggregates Federation. The 2026 physical meeting will be hosted in Shanghai by the China Aggregates Association. In parallel, virtual GAIN meetings are held every two months and are widely attended (including India) across many time zones and these too are marked by lively open exchanges of best practice on specific topics.

Taking stock
One ambition of GAIN is to compile the best annual estimates of aggregates production from data provided by GAIN members, the situation as of April 2025. This data reflects the best estimates available to each region, and while not claiming to be perfect, is probably the best data available anywhere on global aggregates production. The GAIN total of 34.1bnt in 2019 has actually declined to 29.4bnt in 2024, the significant decline of 4.7bnt being due to a combination of the impacts of the pandemic, the economic slowing in China and the wars in Ukraine and in the Middle East. When estimates for non-GAIN countries are added (based on their national populations x their estimated tonne/capita), the global totals of 44.0bnt in 2019 has actually declined by 11.4 per cent to 39.0bnt in 2024, the trend being shown in Figure 2. The estimates given for 2025 must at this stage be regarded as preliminary and are very subject to the unpredictable geopolitics now in play, but point towards 2025 being a similar year to 2024 with 39.0bnt global total aggregates production.
The breakdown by region is illustrated in
Figure 1, still dominated by China at 39 per cent, with India coming second at 15 per cent, followed by Europe at 7 per cent and the USA at 6 per cent, these top four comprise 67 per cent of the global demand. Adding in the other GAIN member countries brings the GAIN total to 75 per cent of global production. It is hoped that many more countries will join GAIN in the coming years, bringing its representation towards 100 per cent of the global aggregates industry. The global average is 4.8t/c; for GAIN members the average is 6.5t/c and the non-GAIN average is 2.6t/c. For any country, the demand in tonnes per capita can be empirically related to GDP per capita – or more precisely, the rate of change in GDP/capita –plus upward adjustments for national terrain ruggedness and local
climatic severity.
Looking ahead towards 2030, assuming a positive global geopolitical outlook with resultant economic growth, coupled with the twin demands of population growth and urbanisation, there is a possibility for global demand to reach 40bnt by 2030. These figures demonstrate that aggregates are indeed by far the most used bulk product on the planet, with the industry having an economic value similar to that of the cement sector, both points often overlooked.
Looking specifically at India, as shown in Figure 2, production suffered a significant decline in 2020 during the pandemic, but is now back into strong growth with an estimated 5.9bnt for 2024, hopefully further rising to 6.4bnt in 2025. That will correspond to a demand of 4 tonnes/capita; while still well below that of developed regions, this can portend significant further growth in the years to come. Overall, India should be proud that it is the second largest and fastest growing aggregates market globally. The current growth is being driven principally by massive infrastructural investments in roads, railways, ports and airports; long may it continue.
The author hopes that India will soon benefit from forming a much-needed fully-fledged national aggregates association, similar to those very professionally representing the Indian cement and concrete sectors. A national aggregates association, benefitting from sharing of international best practices within GAIN, can then bring world class excellence to the aggregates industry in India.

About the author:
Jim O’Brien, President, GAIN, is a veteran of the building materials industry. He has spent 39 years at CRH plc, and has spearheaded the formation of the Global Aggregates Information Network (GAIN), a voluntary liaison network of regional and national aggregates associations around the world. More details on www.gain.ie.

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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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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