Economy & Market

We were the first to introduce tamper-proof laminated PP bags

Published

7 years ago

January 7, 2019

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What is the importance of packaging in cement production and distribution and what are the latest advancements that are taking place?
Packaging is a significant factor in cement production and distribution with significant emphasis on product protection, shelf appearance, cost margins and sustainability targets. Since approximately 65 per cent of the cement consumption is from the housing segment, primarily from the IHB’s, the focus is on mobilising the product to semi-urban and rural areas economically and damage free.

Up to 70s all cement bags used to be made of jute, which were zero moisture resistance and high spillage during handling and transportation. Post which switchover to plain woven polypropylene (PP) sacks took place. To upgrade the PP bags, concept of lamination was introduced which came with an increase in packaging and handling cost. Some manufacturers are also using BOPP laminated bags to enhance brand value. Talking about the latest advancements, the concepts of 2 – 3 ply paper bags are emerging gradually. These bags are biodegradable and protect the inside materials well, only disadvantage being the cost and handling care – which again pushes up the cost.

While the focus is on cement packaging, I would like to throw some light on some of the pioneering initiatives that we have taken in concrete packaging. Nuvoco was one of the first building materials company to introduce wet ready-to-use premixed range of concrete and mortar "Instamix" in 35 kg bags. The main idea behind this innovative move was to make concrete available to all irrespective of the area or place of their dwelling. With these ready-to-use concrete and mortar in bags Nuvoco has ensured cost-effective and easy construction in any location. It is easy to use on site, as placing and spreading is more efficient.

Cost is an important factor besides product loss, shelf life and environmental factors in selection of packaging options in cement. How do various options stack up against all these parameters?
A reasonable amount of cost is incurred towards packaging. However, the customer appreciates the benefits of better packaging and is willing to pay the additional price. In terms of stacking up of various options, HDPE bags are the most cost effective followed by Laminated PP, BOPP and Paper bags. From the customer perspective what is most important is getting the net assured 50 kg cement in bag. They are ready to pay a premium for guaranteed weight and quality.

What is the packaging option you have zeroed in on and why? What are the factors one should look at while selecting the best packaging material? How anti-plastic movement will impact packaging in future?
Sustainable packaging is the underlying principle that Nuvoco follow which is replicated through our Laminated PP, moisture and tamper proof cement bags. Today, across industry, approximately three per cent of the cement produced is lost in the supply chain and this loss is largely attributed to the cement bags being stored in open environments and use of hooks for unloading across the supply chain, making them vulnerable to damages. At Nuvoco, we ensure that cement bags damaged due to normal wear and tear in transportation are sent to our Readymix Concrete plants across locations avoiding wastages.

Talking about the factors while selecting packaging material, Nuvoco always try to offer best products to its customers, maintaining a proper balance between quality, quantity, cost and environmental concerns. A sturdy cement bag is environment friendly and has a self-life of eight months to a year. Cement bag is generally reused three to four times for mobilizing sand, aggregates, rubbles, bricks and other materials thereby saving on other packing materials. Most of the cement bags degenerate because of exposure to UV rays and at the end of it degenerate into shreds.

Are you planning to mechanise or deploy robotics in packaging process?
Use of automation in cement packaging is imperative; all our packaging machines are calibrated to discharge exact quantity of cement ensuring higher consistency, speed and accuracy.

What is the importance you give for packaging material that improves visibility of your product and what suits the best?
In a product like cement, packaging plays an important role in protecting and enhancing shelf-life. We, at Nuvoco, keep reviewing developments in this space. Nuvoco was the pioneer in introducing Concreto in tamper-proof laminated PP bags, which keeps the cement fresh and prevents adulteration. The idea was to bring disruptive packaging that was entirely unique to the industry, which would not only enhance the "premium" imagery of the brand but also address a longstanding practical concern.

Colour plays a vital role in brand building and recall, and which is why to enhance the visibility of our brand, we have reinforced, our brand colour (green) and significantly modern, orange and purple colours in packaging giving us strong identity in the IHB segment. We also use our packaging to educate customers on "Void Reduction Technology" and "Micro Fibre" used in our products. For our Duraguard brand we have introduced tamper proof bags in north because when we conducted a research it showed concerns of duplication of the brand and in order to reinforce our quality and commitment to the customers we started double stitching on our bags to assure consumer on our quality. The customer looks for more than just information on cement bags and our efforts in packaging have set us above and apart from others enabling in strengthening our brand recall. Also, our customer promise and USP is boldly stated on our packaging…

What are your views on the potential demand dynamics of bulk packaging of cement as against retail packaging?
The housing segment accounts for approximately 65 per cent of the cement consumption, with Affordable housing and IHBs being the major consumers. The IHB’s tend to buy in small lots with constraints in storage space and security of the material; hence the retail packaging dominates over bulk packaging at an overall level.

The demand dynamics could change when we talk about large projects, where the concept of smart silos (capacity up to 8 MT) is picking up where contractors are shifting towards buying bulk cement. Also, with the increase in ready-mix usage, the share of bulk cement is gradually increasing.

What is the growth that you expect in the cement industry in the next three years?
The past two years have witnessed a robust demand for cement and the momentum is expected to sustain on account of increased budgetary allocation towards infrastructure (including roads and railways), rural development and affordable housing demand in rural and urban areas especially under PMAY scheme.

The macroeconomic fundamentals are expected to improve on the back of sustained rise in consumption and government’s reform measures, fostering an environment to boost investments and ease banking sector concerns. Cement demand has a strong co-relation with the GDP growth with an empirically established ratio of 1.2x to 1.3x thus providing an outlook of approximately 8 per cent CAGR over next three years.

Concrete

Budget 2026–27 infra thrust and CCUS outlay to lift cement sector outlook

Published

15 hours ago

February 2, 2026

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Higher capex, city-led growth and CCUS funding improve demand visibility and decarbonisation prospects for cement

Mumbai

Cement manufacturers have welcomed the Union Budget 2026–27’s strong infrastructure thrust, with public capital expenditure increased to Rs 12.2 trillion, saying it reinforces infrastructure as the central engine of economic growth and strengthens medium-term prospects for the cement sector. In a statement, the Cement Manufacturers’ Association (CMA) has welcomed the Union budget 2026-27 for reinforcing the ambitions for the nation’s growth balancing the aspirations of the people through inclusivity inspired by the vision of Narendra Modi, Prime Minister of India, for a Viksit Bharat by 2047 and Atmanirbharta.

The budget underscores India’s steady economic trajectory over the past 12 years, marked by fiscal discipline, sustained growth and moderate inflation, and offers strong demand visibility for infrastructure linked sectors such as cement.

The Budget’s strong infrastructure push, with public capital expenditure rising from Rs 11.2 trillion in fiscal year 2025–26 to Rs 12.2 trillion in fiscal year 2026–27, recognises infrastructure as the primary anchor for economic growth creating positive prospects for the Indian cement industry and improving long term visibility for the cement sector. The emphasis on Tier 2 and Tier 3 cities with populations above 5 lakh and the creation of City Economic Regions (CERs) with an allocation of Rs 50 billion per CER over five years, should accelerate construction activity across housing, transport and urban services, supporting broad based cement consumption.

Logistics and connectivity measures announced in the budget are particularly significant for the cement industry. The announcement of new dedicated freight corridors, the operationalisation of 20 additional National Waterways over the next five years, the launch of the Coastal Cargo Promotion Scheme to raise the modal share of waterways and coastal shipping from 6 per cent to 12 per cent by 2047, and the development of ship repair ecosystems should enhance multimodal freight efficiency, reduce logistics costs and improve the sector’s carbon footprint. The announcement of seven high speed rail corridors as growth corridors can be expected to further stimulate regional development and construction demand.

Commenting on the budget, Parth Jindal, President, Cement Manufacturers’ Association (CMA), said, “As India advances towards a Viksit Bharat, the three kartavya articulated in the Union Budget provide a clear context for the Nation’s growth and aspirations, combining economic momentum with capacity building and inclusive progress. The Cement Manufacturers’ Association (CMA) appreciates the Union Budget 2026-27 for the continued emphasis on manufacturing competitiveness, urban development and infrastructure modernisation, supported by over 350 reforms spanning GST simplification, labour codes, quality control rationalisation and coordinated deregulation with States. These reforms, alongside the Budget’s focus on Youth Power and domestic manufacturing capacity under Atmanirbharta, stand to strengthen the investment environment for capital intensive sectors such as Cement. The Union Budget 2026-27 reflects the Government’s focus on infrastructure led development emerging as a structural pillar of India’s growth strategy.”

He added, “The Rs 200 billion CCUS outlay for various sectors, including Cement, fundamentally alters the decarbonisation landscape for India’s emissions intensive industries. CCUS is a significant enabler for large scale decarbonisation of industries such as Cement and this intervention directly addresses the technology and cost requirements of the Cement sector in context. The Cement Industry, fully aligned with the Government of India’s Net Zero commitment by 2070, views this support as critical to enabling the adoption and scale up of CCUS technologies while continuing to meet the Country’s long term infrastructure needs.”

Dr Raghavpat Singhania, Vice President, CMA, said, “The government’s sustained infrastructure push supports employment, regional development and stronger local supply chains. Cement manufacturing clusters act as economic anchors across regions, generating livelihoods in construction, logistics and allied sectors. The budget’s focus on inclusive growth, execution and system level enablers creates a supportive environment for responsible and efficient expansion offering opportunities for economic growth and lending momentum to the cement sector. The increase in public capex to Rs 12.2 trillion, the focus on Tier 2 and Tier 3 cities, and the creation of City Economic Regions stand to strengthen the growth of the cement sector. We welcome the budget’s emphasis on tourism, cultural and social infrastructure, which should broaden construction activity across regions. Investments in tourism facilities, heritage and Buddhist circuits, regional connectivity in Purvodaya and North Eastern States, and the strengthening of emergency and trauma care infrastructure in district hospitals reinforce the cement sector’s role in enabling inclusive growth.”

CMA also noted the Government’s continued commitment to fiscal discipline, with the fiscal deficit estimated at 4.3 per cent of GDP in FY27, reinforcing macroeconomic stability and investor confidence.

Concrete

JK Cement Crosses 31 MTPA Capacity with Commissioning of Buxar Plant in Bihar

Published

3 days ago

January 30, 2026

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JK Cement has commissioned a 3 MTPA Grey Cement plant in Buxar, Bihar, taking its total capacity to 31.26 MTPA and placing it among India’s top five grey cement producers. The ₹500 crore investment strengthens the company’s national footprint while supporting Bihar’s infrastructure growth and local economic development.

JK Cement Ltd., one of India’s leading cement manufacturers, has announced the commissioning of its new state-of-the-art Grey Cement plant in Buxar, Bihar, marking a significant milestone in the company’s growth trajectory. With the commissioning of this facility, JK Cement’s total production capacity has increased to 31.26 million tonnes per annum (MTPA), enabling the company to cross the 30 MTPA threshold.

This expansion positions JK Cement among the top five Grey Cement manufacturers in India, strengthening its national footprint and reinforcing its long-term growth strategy.

Commenting on the strategic achievement, Dr Raghavpat Singhania, Managing Director, JK Cement, said, “Crossing 31 MTPA is a significant turning point in JK Cement’s expansion and demonstrates the scale, resilience, and aspirations of our company. In addition to making a significant contribution to Bihar’s development vision, the commissioning of our Buxar plant represents a strategic step towards expanding our national footprint. We are committed to developing top-notch manufacturing capabilities that boost India’s infrastructure development and generate long-term benefits for local communities.”

The Buxar plant has a capacity of 3 MTPA and is spread across 100 acres. Strategically located on the Patna–Buxar highway, the facility enables faster and more efficient distribution across Bihar and adjoining regions. While JK Cement entered the Bihar market last year through supplies from its Prayagraj plant, the Buxar facility will now allow the company to serve the state locally, with deliveries possible within 24 hours across Bihar.

Sharing his views on the expansion, Madhavkrishna Singhania, Joint Managing Director & CEO, JK Cement, said, “JK Cement is now among India’s top five producers of grey cement after the Buxar plant commissioning. Our capacity to serve Bihar locally, more effectively, and on a larger scale is strengthened by this facility. Although we had already entered the Bihar market last year using Prayagraj supplies, local manufacturing now enables us to be nearer to our clients and significantly raise service standards throughout the state. Buxar places us at the center of this chance to promote sustainable growth for both the company and the region in Bihar, a high-growth market with strong infrastructure momentum.”

The new facility represents a strategic step in supporting Bihar’s development vision by ensuring faster access to superior quality cement for infrastructure, housing, and commercial projects. JK Cement has invested approximately ₹500 crore in the project. Construction began in March 2025, and commercial production commenced on January 29, 2026.

In addition to strengthening JK Cement’s regional presence, the Buxar plant is expected to generate significant direct and indirect employment opportunities and attract ancillary industries, thereby contributing to the local economy and the broader industrial ecosystem.

Economy & Market

From Vision to Action: Fornnax Global Growth Strategy for 2026

Published

2 weeks ago

January 19, 2026

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Jignesh Kundaria, Director & CEO, Fornnax Recycling Technology

As 2026 begins, Fornnax is accelerating its global growth through strategic expansion, large-scale export-led installations, and technology-driven innovation across multiple recycling streams. Backed by manufacturing scale-up and a strong people-first culture, the company aims to lead sustainable, high-capacity recycling solutions worldwide.

As 2026 begins, Fornnax stands at a pivotal stage in its growth journey. Over the past few years, the company has built a strong foundation rooted in engineering excellence, innovation, and a firm commitment to sustainable recycling. The focus ahead is clear: to grow faster, stronger, and on a truly global scale.

“Our 2026 strategy is driven by four key priorities,” explains Mr. Jignesh Kundaria, Director & CEO of Fornnax.

First, Global Expansion

We will strengthen our presence in major markets such as Europe, Australia, and the GCC, while continuing to grow across our existing regions. By aligning with local regulations and customer requirements, we aim to establish ourselves as a trusted global partner for advanced recycling solutions.

A major milestone in this journey will be export-led global installations. In 2026, we will commission Europe’s highest-capacity shredding line, reinforcing our leadership in high-capacity recycling solutions.

Second, Product Innovation and Technology Leadership

Innovation remains at the heart of our vision to become a global leader in recycling technology by 2030. Our focus is on developing solutions that are state-of-the-art, economical, efficient, reliable, and environmentally responsible.

Building on a decade-long legacy in tyre recycling, we have expanded our portfolio into new recycling applications, including municipal solid waste (MSW), e-waste, cable, and aluminium recycling. This diversification has already created strong momentum across the industry, marked by key milestones scheduled to become operational this year, such as:

Installation of India’s largest e-waste and cable recycling line.
Commissioning of a high-capacity MSW RDF recycling line.

“Sustainable growth must be scalable and profitable,” emphasizes Mr. Kundaria. In 2026, Fornnax will complete Phase One of our capacity expansion by establishing the world’s largest shredding equipment manufacturing facility. This 23-acre manufacturing unit, scheduled for completion in July 2026, will significantly enhance our production capability and global delivery capacity.

Alongside this, we will continue to improve efficiency across manufacturing, supply chain, and service operations, while strengthening our service network across India, Australia, and Europe to ensure faster and more reliable customer support.

Finally: People and Culture

“People remain the foundation of Fornnax’s success. We will continue to invest in talent, leadership development, and a culture built on ownership, collaboration, and continuous improvement,” states Mr. Kundaria.

With a strong commitment to sustainability in everything we do, our ambition is not only to grow our business, but also to actively support the circular economy and contribute to a cleaner, more sustainable future.

Guided by a shared vision and disciplined execution, 2026 is set to be a defining year for us, driven by innovation across diverse recycling applications, large-scale global installations, and manufacturing excellence.