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Indian Minerals Yearbook 2013 (Part- III : Mineral Reviews)

52nd Edition

CEMENT

(ADVANCE RELEASE)

GOVERNMENT OF INDIA MINISTRY OF MINES

INDIAN BUREAU OF MINES

Indira Bhavan, Civil Lines, NAGPUR 440 001

PHONE/FAX NO. (0712) 2565471 PBX : (0712) 2562649, 2560544, 2560648

E-MAIL : cme@ibm.gov.in Website: www.ibm.gov.in

January, 2015

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8 Cement

T he cement industry in India after beingdelicensed in 1991 has shown remarkablegrowth. India has emerged as the second largestcountry in the world after China in the productionof cement. Cement is a basic construction materialin housing, infrastructure and large projects forsocial development like irrigation dams, hospitals,roads, etc. It has become synonymous withconstruction and per capita consumption of cementis accepted as an important index of the country'seconomic growth.

In terms of quality, technology, productivity andefficiency, India compares well with the best in theworld. The Indian cement industry plays a key rolein the national economy, generating substantialrevenue for State and Central Governments as wellas employment. Cement is the basic building materialin India and is used extensively in urban housing,industrial sector and developing infrastructure.

India exported about 2.81 million tonnes cementvalued at ` 937 crore (including 0.78 million tonnesclinker, 1.78 million tonnes of portland gray cementand 0.09 million tonnes white cement) in 2012-13 toSri Lanka, Nepal, Bhutan, Maldives, Madagascar,South Africa & Bangladesh, etc.

In 2012-13, there were 178 large cementplants having total annual installed capacity of318.94 million tonnes in addition to mini and whitecement plants having total estimated capacity of 6million tonnes per annum. The total installedcapacity for cement in the country was thus about324.94 million tonnes per annum. In 2012-13, theannual installed capacity of large cement plants has

risen by 18.73 million tpy to 318.94 million tpy from300.21 million tpy in 2011-12.

Production of cement by large plants also roseto 229.11 million tonnes from 224.25 million tonnesin 2011-12. The production from mini and whitecement plants is estimated at 6 million tonnes in2012-13. Thus, the estimated domestic productionof cement was 230.25 million tonnes in 2011-12 and235.11 million tonnes in 2012-13. Three cementplants, having a total capacity of 9,90,000 tonnesper year produced white cement. Most of thesecapacities are modern and based on the energy-efficient dry process technology.

There were as many as 112 plants with a milliontonnes or more capacity. There was only one centralpublic sector undertaking in the cement sector, i.e.,CCI which had 10 operating units, spread over eightStates/Union Territories. Except for Bokajan, Rajbanand Tandur units, remaining cement plants are lyingclosed for about a decade or more. There were fivelarge cement plants owned by various StateGovernment Undertakings like Tamil Nadu Cement,Malabar Cements and Mawmluh Cherra Cement Ltd.The companywise annual installed capacities andproduction of large cement plants are given inTable-1.

The total production of cement reached to about235.11 million tonnes in 2012-13, a growth of about2.11% over the preceding year. In 2012-13, the annualinstalled capacity of three white cement plants was 9.90lakh tonnes. The mini-cement plants were meant totap scattered limestone reserves, mostly in AndhraPradesh, Gujarat, Rajasthan and Madhya Pradesh.

Data on overall capacity, production and

growth in cement industry are given in Table-2.

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Table 1 : Companywise Annual Installed Capacities and Production, 2012-13(Large Cement Plants)

No. Annual Productionof installed (million

Company Plant units capacity tonnes)(milliontonnes)

ACC Ltd(e) Chaibasa, Chanda, Jamul, Kymore, Lakheri, Thondebhavi, 16 28.80 23.13Madukkarai, Sindri, Wadi I & II,, Gagal I & II, DamodarCement Works, Tikaria (G),, Bargarh Cement Works, Kudithini

Birla Corp. Ltd Birla Vikas & Satna, Birla Cement & Chanderia,Durgapur (G), Rae Bareli (G), Durga Hitech (G) 7 9.3 6.44

CCI Ltd Adilabad, Akaltara, Bokajan, Charkhi-Dadri, Kurkunta,Mandhar, Neemuch, Rajban,Tandur, Delhi (G) 10 3.85 0.71

Andhra Cements(e) Vizag (G), Nadikude-Durga Cement 2 1.42 -

J.K. Group Nimbahera, Mangrol, Gotan, Muddapur, 4 7.47 5.68

J.K. Lakshmi Cement, Jaykaypuram, Kalol, Jhari(G) 3 5.3 4.21

Century Textiles Century Cement, Maihar Cement, Manikgarh Cement 3 7.80 7.65

India Cements Sankarnagar, Sankaridurg, Chilamkur Works, Dalavoi,Visaka Cement,Yerraguntla, Raasi Cement, Vellur(G), 10 15.55 11.08 Parli(G), Trinetra Cement

Tamil Nadu Cement Alangulam, Ariyalur 2 0.79 0.59

Madras Cements Ramasamyraja Nagar, Jayantipuram, Alathiyur, Govindpuram, 8 12.72 8.47Mathodu, Uthiramerur(G), Salem(G), Kolaghat(G)

Mehta Group Saurashtra Cement, Gujarat Sidhee Cement 2 2.70 2.59Ultra Tech Cement Ltd Rajashree, Hotgi (G), Vikram, Aditya I & II, Rawan, Reddipalyam, 22 53.90 42.59

ACW, JCW(G), HCW, Gujarat, APCW-I & II, Jafrabad, Magdalla (G), Ratnagiri (G), ARCW (G), Bhatinda(G), WBCW (G), Dadri(G), Panipat (G),Ginigera (G), Kotputli, Aligarh (G)

Ambuja Cements Ltd Ambuja Cement, Gajambuja Cement, Ambuja Cement- 13 27.95 22.31Himachal Pradesh (2), Ambuja Cement Ropar (G); Ambuja CementRabriyawas, Ambuja Cement-Bhatinda (G), Maratha Cement; AmbujaCement Roorkee (G); Ambuja Cement Bhatapara, Ambuja Cement Sankrail (G); Ambuja Cement Magdella (G); Ambuja Cement Farakka (G)

Jaypee Cement Ltd Jaypee Rewa, Jaypee Bela, Jaypee Sadva Khurd (G), Jaypee 16 32.55 13.52Ayodhya (G), Dalla, Chunar (G), Jaypee Panipat (G), Jaypee Sidhi,Jaypee Kutch, Jaypee Wanakbori (G), Jaypee Roorkee(G),Jaypee Bagheri, Bhilai Jaypee

Kesoram Industries Kesoram Cement, Vasvadatta Cement 2 7.25 5.16

Mangalam Cement Mangalam Cement, Neer, Shree Cement 2 2.00 1.84

(Contd.)

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No. Annual Productionof installed (million

Company Plant units capacity tonnes)(milliontonnes)

Orient Paper Industries Orient Cement, Orient Cement-Jalgaon (G) 2 5.00 4.01

Penna Cement Industries(e) Penna Tadipatri I & II, Penna Ganeshpahad, Penna- 4 7.00 3.91 Boyareddypalli Ltd, Penna -Tandur

Prism Cement Prism Cement I & II 1 5.60 4.72

Lafarge India (P) Ltd(e) Arasmeta, Sonadih, Jojobera (G), Mejia (G) 4 7.75 6.85

Malabar Cements(e) Malabar Cements, Malabar Cements (G) 2 0.62 0.53

Binani Cement Sirohi, Sikar (G) 2 6.25 5.65

Rain Cements Ltd(e) Rain Comdt. Unit I, Rain Comdt. Unit LN-1, 2 4.00 2.25Rain Comdt. Unit LN-2

KCP Ltd KCP Ltd-Macherla, Maktyala 2 2.35 1.73

OCL India Ltd(e) OCL India-Rajgangpur, OCL India-Kapilas (G) 2 5.35 3.10Dalmia Cements Dalmiapuram, Kadapa, Ariyalur, Meghalaya, Linka 5 11.8 6.1

Cement Manu. Co. Ltd(e) Megha T&E (P) Ltd (G) 2 1.27 1.10

Chettinad Cement Karur, Karikkali, Ariyalur, Kallur 4 11.00 6.16

Zuari Cement Ltd Zuari Cement, Sri Vishnu Cement 2 3.40 3.65

Heidelberg Cement (I) Ltd, Ammansandra, Damoh, Jhansi (G), Dolvi (G) 4 3.10 2.84

Shree Cement Beawar, Ras, Khushkhera(G), Suratgarh(G), Roorkee(G), 6 13.50 12.33Jaipur (G)

Others* Shree Digvijay-Sikka, Khyber Inds. (P) Ltd, 12 11.64 8.21Bagalkot Cement & Ind. Ltd,J&K Ltd, Kalyanpur Cement, Mawmluh Cherra,Panyam Cements, Meghalaya Cements Ltd,Shriram Cements, Sanghi Industries Ltd, My Home Industries, Anjani Portland Cements

Grand Tota l 1 7 8 318 .94 229 .11

Figures rounded off. Source: Annual Reports 2012-13 and Cement Manufacturers Association, New Delhi.* In addition, the following plants produced white cement:(i) Grasim Industries Ltd (White Cement Division), Kharia Khangar, Jodhpur district, Rajasthan (560,000 tpy);

(ii) J.K. White Cement Works, Gotan, Nagaur district, Rajasthan (400,000 tpy); and(iii) Travancore Cements Ltd (a Kerala Government Undertaking), Nattakom, Kottayam district, Kerala (30,000 tpy).(G): Grinding Unit.

Table-1 (Concld.)

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Table 2 : Capacity, Production and Growth in Cement Industry, 2008-09 to 2012-13(In million tonnes)

Capacity growth Production growth

Year Annual capacity Growth % Growth Production Growth Growth%

2 0 0 8 - 0 9 230 .61 21 .21 10 .13 185 .61 13 .30 7 . 7 22 0 0 9 - 1 0 276 .77 46 .16 20 .02 204.95 (e) 19 .34 10 .422 0 1 0 - 1 1 296 .48(e ) 19 .71 7 . 1 2 216 .28(e ) 11 .33 5 . 5 32 0 1 1 - 1 2 306 .21 9 . 7 3 3 . 2 8 230 .25 13 .97 6 . 4 52 0 1 2 - 1 3 324 .94 18 .73 6 . 1 1 235 .11 4 . 8 6 2 . 1 1

Source: Annual Reports, 2012-13

Keeping pace with the physical growth of the industry,tremendous strides have been made in technologicalupgradation and assimilation of latest technology.Upgrading by converting wet process plants to semi-dryand full dry process has resulted in economy of fuel andpower consumption. Wet process capacity whichaccounted for 97% in 1950 was brought down to 3% by2005. Dry process accounted for 96% and semi-dryprocess 1 per cent.

A large number of mega plants with capacity of onemillion tonnes and above, possessing the latest technologicalfeatures like roller process, vertical roller mills, process controlequipment and efficient pollution control devices haveemerged in different parts of the country. The induction ofadvanced technology has helped the industry immensely toconserve energy & fuel and to save substantially the rawmaterials.

India is producing different varieties of cements likeOrdinary Portland Cement (OPC), Portland Pozzolana Cement(PPC), Portland Blast Furnace Slag Cement (PBFSC), Oil-well Cement, Rapid Hardening Portland Cement, SulphateResistant Portland Cement (SRPC) and White Cement. BIScovers two types of PPC, viz. IS 1489 (Part1): 1991(reaffirmed 2009)Flyash-based and IS 1489 (Part 2):1991(Reaffirmed 2009) Calcined clay-based. PPC is suitable forall general construction, particularly for marine & hydraulicconstruction and other mass concrete structures. PortlandSlag Cement (PSC)-IS 455:1989 (Reaffirmed 2009) isparticularly useful for marine works. BIS specifies three gradesof OPC (i) IS 269:1989 (Reaffirmed 2008) i.e. 33 grade suitablefor all general constructions, particularly for masonry andplastering works (ii) IS 8112:1989 (Reaffirmed 2009), i. e., 43grade is particularly suitable for high strength concrete work,and (iii) IS 12269:1987 (Reaffirmed 2008) ,i.e., 53 gradesuitable for specialised work such as precast concrete,prestressed concrete, long span structures/bridges, tallstructures, etc. All these varieties of cement are producedstrictly conforming to the BIS specifications for maintaining

high quality. The Cement Quality Control Order dated 12February 2003 issued under the BIS Act ensures quality ofcement produced and sold in the market. Some cement plantshave set up dedicated jetties for promoting bulk transportationand export.

The cement capacity in the country is mostly concentratednear the main raw material source; i.e., limestone. Otherimportant raw material is coal (0.25 tonnes required pertonne of cement). Many cement plants are situated near thecoal belts in eastern Madhya Pradesh, primarily due to tworeasons, namely, (i) less freight cost incurred to transportcoal, and (ii) inability of domestic coal producers to supplycomplete requirement of cement plants due to fall inproduction and prioritised supply to power plants.However, limestone reserves have been the primaryconsideration in location of plants. Presence of clustersof capacity and the high transportation cost make thecement market regional in nature with theproducers supplying cement to areas around thelocation of the plant.

Operating CostPower, coal and freight constitute about 15-20%

each of the total cement cost while capital cost(interest and depreciation) forms 20-30 per cent.Although the industry is largely under private sector,Government controls more than 40% of the cost.Power, coal and freight costs are all regulated byGovernment bodies, such as, State Electricity Boards,Coal Monopolies and the Railways.

Power is a major parameter that influences theoperating cost. Grid power purchased from SEBs iscostlier than captive power from coal-based plants bymore than 25-30 per cent. Where conditions arefavourable, setting up captive wind power farms hasbecome a realistic option for cement plants withoperating cost at ` 0.50 per unit (kWh) power excludingcapital cost, interest and depreciation.

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Coal DistributionCoal being a low value, bulk product with regional

concentration of deposits entails incurrence of freightcosts that constitute a substantial part in the final costof cement. Rail is the predominant form of transportwith road transport used by plants located close topitheads. The Government in its notification to thecement industry has permitted cement plants to operatetheir own captive coal mines. Many cement plants haveexpressed interest in taking up coal blocks on leaseand operating the mines for coal. As proposed by theGovernment, cement is one of the core sectors for whichcaptive mining blocks would be allocated.

Power AvailabilityThe industry's average energy consumption is

estimated to be about 725 kcal/kg clinker thermal energyand 80 kWh/t cement electrical energy. The best thermaland electrical energy consumption presently achievedby the Indian cement industry is about 667 kcal/kg clinkerand 67 kWh/t cement which are comparable to the bestreported figures of 660 kcal/kg clinker and 65 kWh/tcement in a developed country like Japan. Since thecontrols were lifted, aggregate power requirements havegrown rapidly with rising cement capacity withoutcommensurate growth in power generating capacity inthe country. To offset the power crisis situation, manycement plants have set up installations for captivepower generation. Further, as part of reform process incoal sector, the Government has also permitted 100%FDI in captive coal blocks in cement sector along withpower and steel to facilitate and augment poweravailability.

Freight CostsLogistics in the cement sector affect freight costs

to a large extent. The basic raw materials formanufacturing cement such as, limestone and coal arelow value high bulk material and, as a result, entail hugefreight cost which form the single largest costcomponent, usually accounting for 33% of the variablecosts. During 1990s, the most significant developmentswere the emergence of big plants and formations ofclusters of cement plants. These clusters, typicallylocated far away from the major consumption centresmeant that cement has to be transported over very longdistances. The Indian Railways transported 107.66million tonnes of cement in 2011-12 as against 99.08million tonnes of cement in 2010-11 as a part of revenueearning freight traffic. Alternatively, the cost-consciousmanufacturers have attempted to use sea route fortransportation as sea route is cost-effective and couldbenefit coast-based manufacturers.

Cost ControlCement producers of the country have

continuously attempted to lower the cost by variousmethods like:

- improved efficiency by increasing usage ofcaptive power;

- locating units closer to the market place;- increasing production of blended cement;- availing of various State incentives like sales

tax exemption; power tariff; exemption/concession (Himachal Pradesh and Tamil Nadu);

- conversion from wet to dry process, whereverpossible, depending on quality of limestone;and

- enhanced capacities to achieve economy ofscale. (Expansion is the preferred route. A newplant costs thrice the cost of expansion).

EnvironmentMinistry of Environment and Forests has notified

the emission standards for cement plants in 1987, whichwas subsequently revised in February, 2006. In India,the permissible stack dust emissions from varioussources for existing cement plants is 1.50 mg/Nm and100 mg/Nm for plants located in critically polluted manyareas. However, the limit for new plants in our countryis 50 mg/Nm which is at par with some of the developedcountries. All large plants have provided necessary airpollution control equipment to control dust emissions.Thermal power stations use bituminous or sub-bituminous coal and produce large volumes of fly ash.Fly ash is a fine powder recovered from gases createdby coal-fired electric power generation. These micronsized earth elements consist primarily of silica, aluminaand iron. When mixed with lime and water the fly ashforms a cementitious compound with properties verysimilar to portland cement. For producing one tonne ofcement about 0.2 tonnes of fly ash can be used. It notonly reduces the cost of cement using fly ash by 5 to10% but also saves on transportation & disposal ofmaterials and 30 to 40% of land required for the powerprojects towards ash handling. A 1,000 MW projectrequires around 1,000 acres for ash dykes for a 25 yearperiod for storing of fly ash.

At present, about 95 million tonnes fly ash is beinggenerated annually. It is estimated that about 32%utility of fly ash can be made in cement industry.Promoting use of fly ash would be an environment-friendly measure without sacrificing the quality of OPC.

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Development Council forCement Industry

Development Council for Cement Industry hasbeen set up under Section 6 of the Industrial(Devlopment & Regulation) Act,1951. The activity ofthe Council is funded through the cess collected fromCement Manufacturers in terms of the Cement CessRules,1993. The Cement Council promotes developmentof the cement industry by providing funds fordevelopment projects in areas of base level activitiesof National Council for Cement & Building Materials,and R&D, improving productivity by reducing cost,optimum utilisation of raw materials, modernisation ofcement plants, improvement of environment,standardisation and quality control progress, bulksupply and distribution of cement, training andupgradation of skill in cement industry.

WORLD REVIEWThe cement production in 2012 was estimated at

3,800 million tonnes. China (2,210 million tonnes) wasthe largest producer in the world, contributing about58% to the world output, followed by India (270 milliontonnes), USA (75 million tonnes) and Japan (51 milliontonnes) (Table-3).

The Reliance Cement's Butibori Unit (Phase-I),Maharashtra State was commissioned in 2012 and thatof Maihar Unit is on a fast track and slated to becommissioned in 2013. Reliance's another projectslocated at Gondavali (blending unit) and Rae Bareilly(grinding unit) in Uttar Pradesh and Yavatmal(integrated unit) in Maharashtra State. NTPC is alsolearnt to have plans to manufacture cement near six ofits power plants through joint ventures. GrasimIndustries Ltd, Ultratech Cement Ltd, Sanghi CementLtd, India Cement Ltd, Zuari Cement Ltd and My HomeIndustries Ltd, among others are learnt to have evincedinterest to set up greenfield cement plants in the vicinityof 4,000 MW each ultra power projects in order to utilisethe fly ash that would be generated from them.

Industrial wastes such as petcoke, tar waste andby-products such as red mud from aluminiumindustries, ferrous and non-ferrous slag from steel andother industries, phospho-chalk and phospho-gypsumfrom fertilizer industries, lime sludge from paper andsugar industries, carbide sludge from carbide industriesand phosphorus furnace slag, etc. are now finding usein manufacture of cement.

Ready-Mix Concrete IndustryReady-mix concrete (RMC) is a relatively nascent

market in India accounting for only about 0.5% of thedemand. RMC is ready-to-use concrete blend ofcement, sand and aggregate and water mixed inconvenient proportion. It was first launched in Mumbaia few years ago and is gaining ground in other metrosin India. RMC is a corollary to bulk handling andtransportation of cement. It has several advantages. Itis produced under controlled conditions and hence hasconsistency in quality and it can be directly poweredin the required form, saving time and improving thequality of construction.

POLICY Foreign Trade Policy (FTP) for 2009-14 was

announced on 27.08.2009 and came into force w.e.f.27.08.2009. The Export & Import Policy incorporatedin the FTP for cement is free. The import of cementincludes portland cement, white cement, aluminouscement, slag cement, super sulphate cement andsimilar hydraulic cements, whether or not colouredor in the form of clinkers, under ITC (HS) Code 2523is free. The export of cement is also free.

FOREIGN TRADEExports

Export of cement (total) decreased substantiallyto 2.8 million tonnes in 2012-13 from 3.4 million tonnesin 2011-12. In 2012-13, exports of portland grey cementwere 1.78 million tonnes and those of cement clinker0.78 million tonnes in the total cement exports. Exportsof portland white cement and other cements were87,801 tonnes and 158,211 tonnes, respectively. Exportsof cement in 2012-13 were mainly to Sri Lanka (61%),Nepal (26%), and Bhutan (5%) (Tables - 4 to 8).

ImportsCement imports in 2012-13 increased marginally to

1.18 million tonnes from 1.01 million tonnes in 2011-12. In 2012-13, imports of grey cement were 4.62 lakhtonnes, those of cement clinker 5.57 lakh tonnes,other cements 1.47 lakh tonnes and portland whitecement about 16 thousand tonnes and the mainsuppliers in 2012-13 were Pakistan and Vietnam (34%each), Bangladesh (17%) and China (7%) (Tables - 9to 13).

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Table 3 : World Production of Cement(By Principal Countries)

(In '000 tonnes)

Country 2010 2011 2012

World: Total (rounded) 3310000 3600000 3800000Brazil 59100 64100 68800China 1880000 2100000 2210000Egypt 48000 44000 46100Germany 29900 33500 32400India 180000 240000 270000Indonesia 22000 (e) 30000 32000Iran 50000 61000 70000Italy 36300 33100 33000Japan 51500 51300 51300Korea, Rep. of 46000 48300 48000Mexico 34500 35400 35400Pakistan 30000 32000 32000Russia 50400 55600 61500Saudi Arabia 42300 48400 50000Spain 23500 (e) 22200 -Thailand 36500 (e) 36700 37000Turkey 62700 63400 63900USA 67200 68600 74900Vietnam 50000 59000 60000Other countries(rounded) 510100 473400 523700Source: Mineral Commodity Summaries, 2012 & 2013.

Table 4 : Exports of Cement : Total(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 3398546 10421215 2808080 9374641Sri Lanka 2012486 5640835 1719868 5153910Nepal 890117 2976356 740865 2570524

Bhutan 58838 357149 129531 623152Maldives 48074 164472 44751 175574South Africa 81314 285682 25785 165642

Madagascar 61147 138861 33220 101227Comoros 16792 45937 25541 81996UAE 14915 73941 11559 73148

Myanmar 28 169 22466 69899Thailand 7434 45475 8205 56920Other countries 207401 692338 46289 302649

Table 5: Exports of Cement (Portland Grey)(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 1957071 6016126 1778814 6006151Sri Lanka 1316010 4111914 1276579 3947156Nepal 343632 1012377 235734 976224Bhutan 52665 183641 121660 589083Maldives 47550 161808 43450 168878Madagascar 61063 138329 33142 100626Comoros 16792 45937 25541 81996Myanmar - - 22052 68458Seychelles 18036 52161 11648 43716South Africa 62767 172193 5021 15391Unspecified - - 1568 5748Other countries 38556 137766 2419 8875

Table 6: Exports of Cement (Portland White)(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 81467 476371 87801 567061South Africa 16879 91929 20560 146992Nepal 12418 90562 19232 106842UAE 14851 73142 11340 68800Thailand 7434 45475 8204 56805Nigeria 6736 42353 8430 50562Tanzania 3609 20769 4521 31078Kenya 5567 32034 4133 29038Sri Lanka 3402 20195 3812 26616Saudi Arabia 3097 15504 2826 16271Bahrain 547 2718 797 5194Other countries 6927 41690 3946 28863

Table 7 : Exports of Cement Clinker(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 1267166 2738494 783254 2091095Nepal 461355 966680 417776 1168328Sri Lanka 687113 1489229 364938 920326Bangladesh 44787 118846 516 2306Zambia - - 20 120Brazil - - 1 6China - - 1 4Germany 14 25 2 4Myanmar - - ++ 1Other countries 73897 163714 - -

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Table 8 : Exports of Cement (Others)(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 92842 1190224 158211 710334

Nepal 72712 906737 68123 319129

Sri Lanka 5961 19497 74539 259813

Bhutan 5182 167981 7871 34069

Iran 149 3280 308 17910

Belgium 620 9738 720 11483

Saudi Arabia 98 956 1056 11044

Italy 200 3122 776 10838

Maldives 517 2592 1301 6696

Nigeria 79 660 270 5746

Netherlands 660 10412 300 4637

Other countries 6664 65249 2947 28969

Table 9 : Imports of Cement :Total(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 1011064 3795838 1181846 4823532Pakistan 599400 1972247 402984 1579026

Vietnam 90501 233406 396626 1174164Bangladesh 224167 898940 201588 901579China 57625 385065 79506 521499

UAE 6168 44070 60588 302923Egypt - - 7062 65837Malaysia 6511 31548 8908 48949

Chinese Taipei/

Taiwan 333 23876 1255 42370Indonesia 2 176 12073 40213

Netherlands 1191 25236 933 39297Other countries 25166 181274 10323 107675

Table 10 : Imports of Cement (Portland Grey)(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 746028 2542808 461782 1833280

Pakistan 592257 1944531 387507 1499621

Bangladesh 128294 521315 69677 317071

UAE 280 936 1385 5072

Afghanistan 1536 3193 793 2700

China 5892 17828 560 1868

Bhutan 1086 4574 392 1338

Sri Lanka 3724 11663 308 1214

Chinese Taipei/

Taiwan - - 280 1163

Ghana 980 3068 280 1106

Korea, Rep. of 527 1363 280 959

Other countries 11452 34337 320 1168

Table 11 : Imports of Cement (Portland White)(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 9613 65832 15992 116986

Pakistan 3026 17912 9431 64081

UAE 5859 41624 6076 48822

Ivory Coast/Cote-D

Ivoire - - 280 2273

South Africa - - 112 721

Italy - - 5 405

USA 1 13 56 392

Thailand 24 464 32 292

Other countries 703 5819 - -

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Table 13 : Imports of Cement (Others)(By Countries)2011-12 2012-13

CountryQty Value Qty Value(t) (` '000) (t) (` '000)

All Countries 109526 790097 147423 1084777Bangladesh 95873 377625 131911 584508China 8259 243509 9234 327506Chinese Taipei/ Taiwan 333 23876 663 39519Netherlands 547 23375 793 38846France 1363 47575 563 24080Germany 1859 38972 1335 18517Croatia 147 5560 420 17693UAE 29 1511 2126 11066USA 188 1928 126 6171Norway 52 5705 30 4996Other countries 876 20461 222 11875

Table 12 : Imports of Cement Clinker(By Countries)

2011-12 2012-13Country Qty Value Qty Value

(t) (` '000) (t) (` '000)

All Countries 145897 397100 556649 1788489Vietnam 90501 233406 396486 1173615UAE - - 51001 237964China 43107 120127 69712 192125Egypt - - 7062 65837Malaysia 5460 24711 8866 46670Indonesia - - 12000 36416Pakistan 4117 9805 6046 15324Venezuela - - 3700 10200Thailand 310 1839 516 3477Germany - - 634 3411

Other countries 2402 7212 626 3450

FUTURE OUTLOOKThe cement industry plays vital role for the

development of infrastructure in all over the worldas no other material is likely to be its substitute inthe near future. Infrastructure and industrial activity,real estate business and investment in core sectorsmainly drive the demand for cement. Some emergingmarkets for cement demand are concrete roads,concrete canal l ining and rural construction(housing). Over 65% demand for cement arises fromconstruction sector.

The country is self-sufficient in terms ofcement production. Most of the cement plants inIndia have the state-of-the-art technology andproduction facilities. The liberalisation policiesfor cement industry have helped in achievingthe strong growth of the cement sector. Cementindustry is going ahead with a modification andupgradation of technology particularly in case ofenergy conservation.

The Working Group on Cement Industryconstituted by the Planning Commission forthe 12th Five-Year Plan period has projected ademand growth at the rate of 10.75% per annumduring the plan period at an expected 9% GDPgrowth rate. The Working Group expects thatthe additional installed capacity requirementwould be 139.7 million tonnes by 2017 and 1035.3million tonnes by 2027.

Based on the demand growth projection, theconsumption of cement by the end of the 12th FiveYear Plan would be between 366.9 million tonnesand 397.4 million tonnes assuming growth ratesof 9.75% to 10.75% during the Plan period.

The product ion and ins ta l led capaci tyestimated at 479.3 million tonnes and 407.4million tonnes , respectively, (with a capacityutilisation of 85% in 2016-17). Reviewing thetechnology status of the Indian Cement Industry,the Working Group has observed that althoughthe modern cement plants have incorporated thelatest technology, yet there is scope for furtherimprovement in the areas of in-pit crushing andconveying, pipe conveyors, co-processing ofwaste derived/hazardous combustible wastes asfuel, neurofuzzy expert system, cogeneration ofpower, multi chamber/dome silos, bulk transportof cement, palletizing and shrink wrapping forpacking & despatch.

The Working Group has observed that thecement industry's average energy consumption isestimated to be about 725 kcal/kg clinker thermalenergy and 80 kWh/t cement electrical energy. Itis expected that the industry's average thermalenergy consumption by the end of 12th Plan (Year2016-17) will come down to about 710 kcal/kgc l inker and the average e lec t r i ca l energyconsumption will come down to 78 kWh/t cementwith continued efforts by all concerned. TheWorking Group has taken into consideration thefollowing alternate energy sources/fuels havinggood potential in the present context of Indianeconomics to either partially or fully substitutecoal in cement manufacture in the coming years,namely, pet coke, lignite, natural gas , and bio-mass wastes including fruit of Jatropha Carcus,Pongamia and Algae. The Report states that thecement industry in India has the potential to utilisethe entire hazardous waste generation of thecountry, if found suitable.