Economy & Market

A “Missed Opportunity to Spur The Growth”

Published

9 years ago

June 30, 2017

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From the day it had been conceived perhaps a decade back promoted as "One Nation, One Tax", GST has been controversial to say the least. Apart from the quite unusual fact that alternately, every political party has supported and opposed it by turns, the industry bodies in particular have over-hyped the importance of GST, with many of them and their members going to the extent of saying that implementation of GST will add a clear 2 per cent to the GDP growth rates, which, by the way, has already been added through other innovative means.

Mind you, GST is no rocket science, because not only that similar unified tax regimes have done well in other countries, but also that there is a huge amount of precedences and learnings already available as if as a "help-book" to guide us in formulating our GST framework and to ensure its success. But, as the D-Day draws nigh, we seem to be getting into a more and more mixed, uncertain and complex situation around GST implementation and its aftermath, all of which is no longer pure optimism, but some kind of skepticism. Instead of one or even two-third tax rates, we now have many, and we also seem to have added many many forms and returns and processes, all of which would negate the case for simplification. If we are lucky, we may even see a continuation of the ubiquitous inter-state checkpoints, which our truckers love to hate.

If one could summarise, GST was aimed at creating a common marketplace out of the States of India, integrate and simplify taxes of all kinds for goods and services, drastically reduce paperwork, increase transparency, curb corruption in tax administration – all of which expectations could be summed up in one strategic objective – improvement of ‘ease-of-doing business’. At the same time, there perhaps was another target in the mind of the policymakers, a more tactical one at that, which was to make sure that GST does not push up the prices of goods and services used by commoners, and be inflation neutral, if not inflation positive. So what do the cement sector players have to say about the impending imposition of GST, in the context of these two broad objectives?

The Government has already gone to town announcing that cement, smartphones and medical devices will be cheaper under GST, which pre-supposes that by elimination, the Government itself is admitting that prices of all other products will remain static (theoretically possible, but practically, not) or will go up. Cement being one of the chosen few, one of the luckier items, so to say, the industry should be extremely happy under the circumstances. Apparently, and unfortunately that is not the case. The industry thinks that its net tax incidence will go up, and this thought is reflected in the various feedbacks that are coming through at this stage.

For example, IIFL has stated that tax incidence on cement industry will go up, and it goes on to quote an unnamed research agency to say that cement companies may go for a price hike to mitigate the increased GST rate and hence there won’t be any earnings impact. The Cement Manufacturers’ Association has lamented, "High GST on cement is a missed opportunity to spur growth." Clearly, there are contrasting and opposing viewpoints regarding GST vis-a-vis cement, and the jury is still out on what is the reality. There is but no doubt whatsoever, that the industry is desperately looking forward to some healthy growth in demand, even as it has declined by 3.7 per cent in April 2017.

However, in the interim, as we wait for clarity to emerge, the pitch has been queered by the unusual "Anti-Profiteering" clause inserted in the GST Bill, and the domestic as well as international business community will be watching very closely how this clause is interpreted and enforced, going forward.

Sumit Banerjee Chairman, Editorial Advisory Board

Concrete

Fornnax Wins AIRIA’s Special Export Award for Rubber Machinery in 2025-26

Published

4 days ago

October 19, 2026

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Fornnax Technology Pvt. Ltd. has been honoured with the Special Export Award – Rubber Machinery for 2025–26 by the All-India Rubber Industries Association (AIRIA), in recognition of its highest exports of tyre recycling plants to the European region.

With more than a decade of experience in India’s tyre recycling industry, Fornnax has contributed to the development of advanced recycling technologies and infrastructure. The company currently holds a 90% market share in India’s domestic tyre recycling sector, while exports account for 30% of its business, spanning markets such as Europe, Australia and the GCC.

The award marks another milestone for Fornnax, whose tyre recycling lines and advanced shredding technologies are supporting the growth of the circular economy in India and international markets.

Commenting on the recognition, Mr. Jignesh Kundaria, Founder and Director of Fornnax, said:

“This honour from AIRIA is a reflection of an incredible journey we have undertaken over the years. When we started Fornnax, there was no established recycling industry in India to follow. We chose to build for the future instead. Today, when you see India’s tyre recycling sector, it has already transformed into a dynamic, high-growth industry and we are extremely proud to have played our part in building it.”

Unlike standalone equipment suppliers, Fornnax focuses on developing complete, high-capacity recycling infrastructure. Its integrated systems combine multiple stages of shredding and size reduction to enable efficient, continuous operations. This system-level engineering approach helps recycling operators improve throughput, equipment reliability and operational consistency.

The recognition reinforces Fornnax’s commitment to developing engineering technologies that contribute to a more efficient and circular recycling ecosystem.

Looking ahead, the company aims to expand its international presence while continuing to develop advanced shredding and recycling solutions to address the growing volumes and evolving requirements of the global recycling industry.

For more information, visit: www.fornnax.com

Concrete

Wonder Cement appoints Mahesh Singh as VP Corporate Brand Communication

Published

2 weeks ago

October 9, 2026

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Singh brings 20+ years of brand and marketing experience, and will lead integrated corporate brand communication initiatives at Wonder Cement

New Delhi

Wonder Cement, a leading cement manufacturer, has appointed Mahesh Singh as Vice President – Corporate Brand Communication. In his new role, he will oversee corporate brand strategy and communication, including digital and performance marketing, public relations, trade, events, exhibitions, sports and experiential marketing.

Singh brings over two decades of experience across marketing and communications, with roles spanning the automotive industry, agencies and entrepreneurship. He spent more than a decade with Honda Motorcycle & Scooter India, working across integrated communication, media, digital, retail and consumer engagement. His stint also included helping build the company’s digital marketing capabilities.

He moved to dentsu X India as Vice President – Strategy & Planning, working across categories such as automotive, auto components, electric vehicles, FMCG, consumer electronics, BFSI, apparel and brand consulting. His responsibilities included media and marketing strategy, product launches, content, performance marketing and consumer activations.

Singh subsequently took an entrepreneurial route with Radiant Brands before joining Shriram Ltd (SPR Autotech) as Head – Marketing & Communications. There, his remit included brand and corporate strategy, communications, PR and ORM, retail identity, loyalty programmes and events.

At Wonder Cement, Singh will be responsible for bringing together the company’s corporate brand communication initiatives across digital, performance marketing, PR, trade, sports and experiential platforms. The role will focus on creating an integrated approach to communication across consumers, trade partners and other key stakeholders.

The appointment brings to Wonder Cement a marketer whose career has spanned the brand, agency and entrepreneurial sides of the communications ecosystem.

Wonder Cement, part of the RK Group, is a cement manufacturer with roots in Rajasthan and a focus on quality, trust and transparency. The company has grown to six manufacturing plants, and a cement capacity of 21.5 MTPA. With more than 2,000 employees and a network of over 5,000 dealers, its operations span manufacturing, distribution and customer engagement, with a focus on consistent product quality and efficient execution.

Concrete

JSW Cement commissions additional 1 MTPA grinding unit at Nagaur

Published

2 weeks ago

October 8, 2026

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With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA,
Mumbai

JSW Cement, one of India’s leading green cement producers and part of the diversified JSW Group, today announced the successful commissioning of an additional 1.00 MTPA cement grinding unit at Nagaur, Rajasthan. The commissioning marks another significant milestone in the Company’s growth strategy.

With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA, while its total clinker manufacturing capacity, including clinker capacity at its joint venture, JSW Cement FZC, stands at 9.74 MTPA.

JSW Cement had commenced operations in North India in March 2026 with the Nagaur Integrated Plant, comprising a 3.30 MTPA clinkerisation unit and 2.50 MTPA cement grinding unit. With the commissioning of the additional 1.00 MTPA cement grinding unit, the plant’s total cement grinding capacity has increased to 3.50 MTPA, enhancing the company’s ability to cater to the growing cement demand across Rajasthan, Haryana, Punjab and the National Capital Region (NCR). The expansion has been funded through a strategic mix of equity and long-term debt.

During the quarter ended 30th September 2026, JSW Cement has also commissioned the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) at the Nagaur Integrated Plant.

Nilesh Narwekar, CEO, JSW Cement, said: “The commissioning of additional 1.00 MTPA grinding capacity at Nagaur is a key strategic priority for us and will accelerate JSW Cement’s expansion into North India. We look forward to servicing the growing needs of the region and contributing to the economic growth of Rajasthan, Haryana, Punjab and the NCR area. I am delighted to share that the company has commissioned this grinding unit within the expected timeline, showcasing our project execution capabilities. Further, the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) are expected to substantially reduce our production costs going forward.”