CEMENT INDUSTRY

IN INDIA

FLOW OF PRESENTATION

• CURRENT SENIRO• STRENGTHS OF CEMENT INDUSTRY• OPPORTUNITIES OF CEMENT INDUSTRY• THREATS OF CEMENT INDUSTRY

CURRENT SENIRO

• India is the second largest producer of cement in the world being home to a number of top cement companies.

• Cement production increased at a compound annual growth rate (CAGR) of 9.7 per cent in the period 2006– 2013, producing 272 million tonnes (MT).

Strengths of cement industry in India

• The housing sector is the biggest demand driver of cement, accounting for about 67 per cent of the total consumption.

• Research is being done to find supplement of Cement from 2 years but still it is in process .

OPPORTUNITIES FOR CEMENT INDUSTRY IN INDIA

• In the 12th Five Year Plan of the Government, there is a strong focus on infrastructure development and the Government plans to increase investment in infrastructure to an amount of US$ 1 trillion. The industry is

expected to add a capacity of 150 MT during the Plan period.• Giving impetus to green initiatives, Goa State Pollution Control Board

(GSPCB) has signed a memorandum of understanding (MoU) with Vasavadatta Cement, a company with its plant in Karnataka. The cement manufacturer will use the plastic waste collected from Goa as fuel for its manufacturing plant.

• In addition, there are a number of notable infrastructural projects already coming up in the country. For instance, Indian engineers are working in the Himalayas to build the world's highest railway bridge which is expected to be 35 metres taller than the Eiffel Tower when completed in 2016.

THREATS FACED BY CEMENT INDUSTRY

• Massive one-fourth of the overall capacities is lying unutilised.

• expansion is a challenge for the industry now. Expansion is taking time. It takes at least 5 years for land acquisition and then two more years to erect the plant. In all 7 years for an efficient player compared with 3 years earlier.

Conclusion• With the ever-increasing industrial activities, real estate, construction and

infrastructure, in addition to the onset of various Special Economic Zones (SEZs) being developed across the country, there remains a growing demand for cement.

• Following the release of the Union Budget in July 2014, cement companies are hoping for some reforms like reduction in excise duties, which will go a

long way in the betterment of this sector.