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Infra, housing ready-mix to boost cement

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The Indian cement industry, which contributes over Rs 30,000 crore to the exchequer through GST alone, might profit from the government’s aim to increase capital investment by 35 per cent in FY23, as well as the country’s overall macro focus on upgrading infrastructure and affordable housing.

N Srinivasan, vice chairman and MD of India Cements and president of the South Indian Cement Manufacturers’ Association, said that the 35.4 per cent increase in capital expenditure to Rs 7.5 lakh crore in FY23, as well as the effective cap of Rs 10.68 lakh crore, which includes the states’ share, will result in significant investment in infrastructure projects such as roads, bridges, and metro rail. The big-ticket housing initiative PM Awas Yojana, which will cost Rs 48,000 crore this year and will focus on affordable housing, with 80 lakh households to be identified and a 25,000-kilometer national highway to improve transportation logistics, will give it a boost.

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Concrete

CCU testbeds in Tamil Nadu

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Tamil Nadu is set to host one of India’s five national carbon capture and utilisation (CCU) testbeds, aimed at reducing CO2 emissions in the cement industry as part of the country’s 2070 net-zero goal, as per a news report. The facility will be based at UltraTech Cement’s Reddipalayam plant in Ariyalur, supported by IIT Madras and BITS Pilani. Backed by the Department of Science and Technology (DST), the project will pilot an oxygen-enriched kiln capable of capturing up to two tonnes of CO2 per day for conversion into concrete products. Additional testbeds are planned in Rajasthan, Odisha, and Andhra Pradesh, involving companies like JK Cement and Dalmia Cement. Union Minister Jitendra Singh confirmed that funding approvals are underway, with full implementation expected in 2025.

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JSW Cement gears up for IPO

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JSW Cement has set the price range for its upcoming initial public offering(IPO) at US$1.58 to US$1.67 per share, aiming to raise approximately US$409 million. As reported in the news, around US$91 million from the proceeds will be directed towards partially financing a new integrated cement plant in Nagaur, Rajasthan. Additionally, the company plans to utilise US$59.2 million to repay or prepay existing debts. The remaining capital will be allocated for general corporate purposes.

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Concrete

Cement industry to gain from new infrastructure spending

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As per a news report, Karan Adani, ACC Chair, has said that he expects the cement industry to benefit from the an anticipated US$2.2tn in new public infrastructure spending between 2025 and 2030. In a statement he said that ACC has crossed the 100Mt/yr cement capacity milestone in April 2025, propelling the company to get closer to its ambitious 140Mt/yr target by the 2028 financial year. The company’s capacity corresponds to 15 per cent of an all-India installed capacity of 686Mt/yr.

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