This document discusses the cement sector in India. It provides an introduction to cement, including its raw materials and types. It then discusses the economic status and top producers both nationally and globally. Ultratech Cement, Shree Cement, Ambuja Cement, ACC Ltd, and Ramco Cement are the top 5 cement producers in India. Lafarge, Holcim, CNBM, and HeidelbergCement are among the top global producers. The cement sector provides economic benefits but also faces challenges such as increasing costs and excess capacity. The future of the cement sector in India is expected to be positive with continued infrastructure growth driving demand.
13. Economic status : Nationally
• 2nd largest in the world in terms of capacity
• Overall cement production in India is 366 MT
• The per capita consumption of cement is 190 kg
• Annual tax revenue accrued by the government
from the sector is Rs 35,000 crore
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14. Economic status
• Cement industry delivers poor sales performance in March 2015
quarter weak demand limits sales growth at 1%
• Ultratech Cement: 4.3 per cent growth in sales
• The sales growth of ACC too was poor (1.8 per cent) during the
quarter.
• Other leading companies such as Ambuja Cements, Shree Cement
and India Cements reported a 5-7 per cent drop in sales.
• Cement production declined by 1.9 per cent in the March 2015
quarter compared to a year ago
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15. Economic status
• Tamil Nadu government sold one crore bags of
'Amma Cement' in six months
• The government sells a cement bag of 50kg at Rs 190, while
the market price ranges between Rs 370 and Rs 400.
• State government has procured two lakh tonnes of cement
from private players every month
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16. Top 5 Globally
• CNBM in China
• Lafarge in France
• Holcim in Swiss
• Anhiu Conch in China
• Heidelberge in Germany
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20. China
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• Anhui Conch is China’s largest cement producer in
2015, with 219.13Mt/yr of cement production
capacity from 34 plants. The company cited a
cement production capacity of 264Mt/yr
• Cost of a cement bag imported from China will be
around INR300
• Country’s capacity utilization was just 69%
22. SWOT Analysis
• Strength
Growth in housing sector
• Weakness
Increasing cost of production
High interest rate on housing
Demand Supply Gap, Overcapacity
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23. • Opportunities
Increase in infrastructure projects
Technological changes
• Threats
Increase in imports
Excess over capacity of production decrease the demand
High power and transportation cost
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25. Future
• It is expected to grow at a compound annual growth rate (CAGR) of
10.64 percent during the period 2012-2016.
• In the next 10 years, India will become the main exporter of cement
to the Middle East, Africa, and other developing nations of the
world.
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26. • With help from the government in terms of friendlier laws,
lower taxation, and more infrastructure spending, the sector
will grow and will take India’s economy forward along with it
• Cement demand likely to grow over 6% during FY15-16: ICRA
• FY16 will be tough year for north Indian cement market: Study
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