CEMENT

May 2023
For updated information, please visit www.ibef.org
Table of Contents

Executive Summary 3

Advantage India 4

Market Overview and Trends 6

Strategies Adopted 11

Growth Drivers and Opportunities 14

Key Industry Contacts 21

Appendix 23

2
Executive summary

2. DOMINATED BY
PRIVATE PLAYERS
▪ Of the total capacity, 98% lies with private
3. HIGHER SHARES
sector and the rest with public sector. OF LARGE PLANTS
▪ The top 20 companies account for around
70% of the total production. ▪ 210 large cement plants account for a cumulative
installed capacity of over 410 MT, while over 350
mini cement plants have an estimated production
capacity of nearly 11.10 MT. India’s top five cement
1. SECOND-LARGEST companies account for 48% of India’s 550 MT
capacity.
CEMENT MARKET
▪ India is the world’s second-largest
cement producer. 4. LARGE
▪ At present, the installed capacity of
cement in India is 570 MTPA with a CONCENTRATION IN
production of 298 MTPA.
▪ Between FY12 and FY23, the installed
SOUTH AND WEST
capacity grew by 61% to 570 MT from 2 3 ▪ Of the total 210 large cement
353 MT in FY22.
▪ India’s domestic cement production plants in India, 77 are situated in
was nearly 356 million tonnes (MT) in the states of Andhra Pradesh,
FY22* and accounted for over 8% of Rajasthan & Tamil Nadu.
the global installed capacity in FY22.
▪ India’s overall cement production
accounted for 355.46 million tonnes
1 4
(MT) in terms of volume in FY22*​
▪ In FY27, cement demand is expected to
reach 450.78 MT.

Source: Cement Manufacturers Association, Ministry of External Affairs, DPIIT , Heidelberg Cement Investors Presentation November 2018

3
Advantage India

4
Advantage India
1. Robust demand 4. Long-term potential
► As per ICRA, in FY22, the cement ► Oligopoly market, where large players have
production in India is expected to increase partial pricing control.
by ~12% YoY, driven by rural housing ► Low threat from substitutes.
demand and government’s strong focus on ► Indian cement companies are among the
infrastructure development. world’s greenest cement manufacturers.
► As per Crisil Ratings, the Indian cement ► In July 2021, UltraTech Cement Chairman,
industry is likely to add ~80 million tonnes
(MT) capacity by FY24, the highest since 1 4 Mr. Kumar Mangalam Birla stated that
Indian government’s spending on
the last 10 years, driven by increasing affordable housing schemes and
spending on housing and infrastructure infrastructure plans—such as the Pradhan
activities. Mantri Awas Yojana, with enhanced
► The Indian cement sector's capacity is
expected to expand at a compound annual
ADVANTAGE budgetary allocations—is expected to
boost the country’s cement industry.
growth rate (CAGR) of 4-5% over the four- INDIA ► Adani group will set up two new cement
year period up to the end of the FY27. It
would thus begin the 2028 financial year at
2 3 manufacturing plants, 15,000 MW of
renewable power projects, and a data
715-725 MT/ year in installed capacity. centre in Andhra Pradesh.
► Higher allocation for infrastructure– US$
120 billion (Rs. 10 trillion), apart from
additional expenditure on green transition,
is likely to boost demand for cement.
3. Increasing investments
► FDI inflows in the industry, related to the
manufacturing of cement and gypsum
2. Attractive opportunities products, reached US$ 5.49 billion between
► In October 2021, Prime Minister, Mr. Narendra Modi, launched the ‘PM Gati Shakti - April 2000-December 2022.
National Master Plan (NMP)’ for multimodal connectivity. Gati Shakti will bring synergy to ► National Infrastructure Pipeline (NIP)
create a world-class, seamless multimodal transport network in India. This will boost the introduced projects worth US$ 14.59 billion
demand for cement in the future. (Rs. 102 lakh crore) for the next five years.
► Opportunities available in areas such as housing, dedicated freight corridors, ports and ► As per the Union Budget 2023-24, the
other infrastructure projects. government approved an outlay of US$ 32.57
► Government has plans for 33.4% outlays for capital investments to US$ 120 billion (Rs. billion (Rs. 2.7 lakh crore) for the Ministry of
10 lakh crore) and outlays for railways of US$ 29.05 billion (Rs. 2.4 lakh crore). Also, Road Transport and Highways i.e., 30%
plans to build 100 new significant transport projects involving an investment of US$ 9.04 higher as compared to the budget estimate of
billion (Rs. 75,000 crore) for end-to-end connectivity for ports, coal, steel etc. US$ 24.01 billion (Rs. 1.99 lakh crore).

Source: Budget 2023-24, News Articles, DPIIT, *Ultratech investors presentation May 2018

5
 Market Overview and Trends

MARKET OVERVIEW

6
Market overview

▪ India’s cement market accounts for 7% of the global installed capacity.

▪ Cement production increased by 7.3% in February, 2023 over

Top Cement Producers in India (Market Share in 2020)
February, 2022. Its cumulative index increased by 9.7% during April-
February, 2022-23 over the corresponding period of the previous year. UltraTech Cement

▪ India's cement production was expected to range between 380-390

Ambuja Cement
million tonnes in FY23, a growth rate of 8-9% year-on-year (yoy).
4% 4%
▪ Cement production in India increased by 9.1% in December 2022 5% ACC Ltd.
compared to December 2021. 5% 31%
Shree Cement Ltd.
▪ It is supported by high level of activity going on in real estate and high
Government spending on smart cities and urban infrastructure. 8%
Dalmia Bharat
▪ Growth in Infrastructure and real estate sector, post-COVID-19
pandemic, is likely to augment the demand for cement in 2021. The Birla Corporation Ltd.
10%
industry is likely to add an ~8 MTPA capacity in cement production.
India Cement Ltd.
▪ Real estate sector received the highest value of PE/VC investments in
12% 21%
Q1 (January-March) of 2023 at US$5 billion, registering an year-over-
The Ramco Cement
year 123% growth. Ltd.
▪ In 2022, PE/VC investments in real estate and infrastructure stood at Others
US$ 5.81 billion across 71 deals and US$ 7.9 billion across 47 deals
respectively.

▪ PE/VC investments in real estate and infrastructure witnessed a sharp

growth of 27%, at US$ 13.7 billion in December 2022 as compared to
US$ 10.7 billion in December 2021.

Source: Cement Manufacturers Association, USGS Mineral Commodities Summary 2020, Crisil, Savills India, News Articles

7
Market overview

Cement Consumption (million tonnes) Cement Production in India (million tonnes)

^CAGR 5.68% CAGR 5.65%

400 379 400

349
350 328 327 81 350
105
300 272 270 289 73 300 97
73 67 95 90
250 60 77 250 77 56
55 58 73 72 73
66 69 52
200 200 46 48
61 61 44
58 95 43 43 79
86 64 66 71
150 76 80 150 54
50 53 63 43 46
100 100 49 51 54 58
50 55 55 58 63 45 43 46
49 51
50 50 71 70 75 74 79 83
56 54 58 56 59 63 68
52
0 0
FY16 FY17 FY18 FY19 FY20E FY21E FY22E FY16 FY17 FY18 FY19 FY20 FY21 FY22E

Northern region Central region Eastern region Northern region Central region
Eastern region Western region
Western region Southern region Total Southern region

▪ As per a report by CARE Advisory, India's cement production is expected to range between 380-390 million tonnes in FY23, a growth rate of 8-9%
year-on-year (yoy).

▪ India's cement production is expected to increase at a CAGR of 5.65% between FY16-22, driven by demands in roads, urban infrastructure
and commercial real estate. The consumption of cement in India is expected grow to at a CAGR of 5.68% from FY16 to FY22.
▪ The consumption of cement in India is expected grow to at a CAGR of 5.68% from FY16 to FY22.
▪ Cement production reached 329 MT in FY20 and is expected to reach 381 MT in FY22.
▪ India’s overall cement production accounted for 294.4 million tonnes (MT) in FY21 and 329 million tonnes (MT) in FY20 .
▪ The country’s cement industry is among the world’s most energy-efficient industries, in terms of specific energy consumption.
Note: ^CAGR is up to FY21, E-Estimate
Source: HDFC Securities

8
Export and import of cement

Cement Export from India# (US$ million) Cement Import to India# (US$ billion)

^CAGR 0.42%
160
700
140

150.21
141.80
600 120

126.69
601.78
100

110.32

100.31
500

92.52

91.93
80
60

68.34
400
416.32
40
357.44
300 20
0
200

100 134.74

0
FY19-20 FY20-21 FY21-22 FY22-23 (Up to
December)

▪ As per DGCIS, India’s export of Portland cement, aluminous cement, slag cement, supersulphate cement and similar hydraulic cements stood at
US$ 601.78 million in FY21-22.

▪ India exported cement to countries such as Sri Lanka, Nepal, the US, the UAE and Bangladesh.

Note: #Including Cement, Clinker and Asbestos Cement, ^CAGR is up to FY20.

Source: DGCIS

9
Installed capacity & key markets in each of the geographic
regions

North
(Rajasthan,
Central
Punjab, Haryana)
(Uttar Pradesh,
86.85 MTPA
Madhya Pradesh)
68.91 MTPA

West (Gujarat,
East
Maharashtra)
(West Bengal,
78.52 MTPA
Chhattisgarh, Odisha,
Jharkhand)
84.12 MTPA

South
(Tamil Nadu, Andhra
Pradesh, Telangana
Karnataka)
183.11 MTPA

Notes: MTPA-Million Tonnes Per Annum, E-Estimates

Source: Indian Minerals Yearbook by Indian Bureau of Mines; Ultratech Cement

10
 Strategies Adopted

RECENT TRENDS AND STRATEGIES

11
Recent strategies
1. Increasing presence 5. Strategic partnerships
of cement players ▪ Procurement of raw materials such as fly ash:
▪ Presence of small & mid-size cement Companies such as the National Thermal Power
players across regions is increasing, Corporation Limited (NTPC Ltd.) are
which helps diminish market collaborating with cement manufacturers (such
concentration of industry leaders. as Ultratech Cement, Rajshree Cement, Dalmia
▪ A large number of foreign players Cement and ACC plants) across the country to
have also entered the market owing supply fly ash. This also helps achieve 100%
to the profit margins, constant utilisation of the by-product (fly ash) produced
demand and right valuation. 5 during power generation.
▪ In September 2022, the Adani Group, acquired

2. Carbon neutral goals 1 Ambuja Cements and it’s subsidiary ACC

Cements for US$ 6.5 billion, making India’s
▪ In October 2022, UltraTech announced largest M&A ever in the infrastructure space.
that it has been granted Environmental This acquisition targets to derive synergies from
Product Declaration (EPD) certificates other business and increase capacities
for four of its cement products, which significantly. The Adani Group now holds 63.15%
are Ordinary Portland Cement (OPC), in Ambuja cements and 56.69% in ACC
Portland Pozzolana Cement (PPC),
Portland Slag Cement (PSC) and PCC
2 4 cements.

(Portland Composite Cement). 4. Adoption of cement

▪ In November 2021, UltraTech Cement instead of bitumen and
announced its commitment to the
Global Cement and Concrete
Association (GCCA) 2050 Cement and
3 ready-mix concrete
▪ The Government of India has decided to
Concrete Industry Roadmap to produce
adopt bulk cement instead of bitumen for
carbon-neutral concrete by 2050.
▪ In November 2021, Dalmia Cement 3. Housing for All the construction of all new road projects
• Under the housing for all segment, in 2023-24 the budget on the grounds that cement is more
announced plans to produce 100% low
estimate for Pradhan Mantri Awas Yojana is US$ 9.63 durable & cheaper to maintain than
carbon cement by 2031. The company
billion (Rs. 79,590 crore), a 66% rise than the last year’s bitumen in the long run.
has a US$ 405 million carbon capture
budget estimate of US$ 6.43 billion (Rs 48,000 crore) in ▪ Companies are trying to develop a niche
and utilisation (CCU) investment plan to
2022-23. market for Ready-mix concrete (RMC).
help it realise its goal.
• Housing and real estate sectors account for nearly 65%
of the total cement consumption in India.
Source: Union Budget 2019- 20, Emkay Global Financial Services, News Articles

12
Successful use of alternate fuels in cement production

Company/Plant Strategy Benefits

Use bioenergy through burning of coffee

Madras Cement's Alathiyur plant Annual cost savings of US$ 1.7 million
husk & cashew nut shells

Adoption of plant matter and refuse-derived

fuel (RDF) for 100% of its fuel needs Transition to renewable power by 2030
Dalmia Cement
0.5MT/yr carbon capture and storage and carbon negative by 2040
facility in 2022

Use Low Sulphur Heavy Stock (LSHS)

India Cements Ltd's Dalavoi plant Annual savings of US$ 6,500 approx.
sludge as alternate fuel

Use tyre chips & rubber dust as alternate Reduction of about 30,000 tonnes of
fuel carbon emissions annually
UltraTech Cement
Increase its Waste Heat Recovery System Generate over 650 million units of
(WHRS) renewable power

Substitute 10% of coal used in kilns with Higher energy savings and lower
Lafarge's Arasmeta plant
rice husk carbon emissions

Source: CMA

13
 Growth Drivers and Opportunities

GROWTH DRIVERS

14
Growth drivers and opportunities
▪ The demand of Cement industry is expected to achieve 550-600
million tonnes per annum constantly by 2025 because of the
expanding requests of different divisions i.e., housing, commercial Percentage Share of Cement Demand in FY21
construction and industrial construction.

Housing and Real Estate

▪ Government initiatives like Housing for All will push demand in the 11%
sector.
▪ Real estate market in India is expected to reach US$ 1 trillion by 2023. 29% Rural Housing
12%
Strong growth in rural housing and low-cost housing to amplify Urban Housing
demand. Infrastructure
Low-cost Housing
Public Infrastructure
Commercial
▪ As per Budget 2023-24 a spending of over Rs. 10 lakh crore (US$ 120
23%
billion) on infrastructure is proposed.
▪ As per the Union Budget 2023-24, the government approved an outlay 25%
of Rs. 2.7 lakh crore (US$ 32.57 billion) for the Ministry of Road
Transport and Highways.

▪ In October 2021, Prime Minister, Mr. Narendra Modi, launched ‘PM Gati Shakti-National Master Plan (NMP)’ for multimodal connectivity. Gati
Shakti will bring synergy to create a world-class, seamless multimodal transport network in India. This will boost the demand for cement in the
future.
▪ As per the Invest India, National Infrastructure Pipeline (NIP) expanded to 9,305 projects from 7,400 projects.
▪ Government of India’s push with Smart Cities Mission and AMRUT.

Industrial Development
▪ Strong economic growth is expected to lead to growth of the industrial sector and in turn increase in demand in the long run.
▪ In June 2021, Ambuja Cements and ACC announced to invest in Industry 4.0 under its ‘Plants of Tomorrow’ programme, which aims to boost
cement manufacturing through enhanced plant optimisation, improved plant availability and a safer operational environment.

Source: Ministry of External Affairs (Investment and Technology Promotion Division), AT Kearney, CARE Ratings, NAREDCO and APREA, Union Budget 2021-22

15
Government Initiatives
Union Budget 2023-24
▪ The Union Budget allocated Rs. 10 lakh crore (US$ 120 billion) for induced capital investments, continued 50 years interest

1 free loans, highest ever capital outlay of US$ 29.05 billion (Rs. 2.4 lakh crore) for railways and Rs. 12,294 crore (US$ 1.68
billion) for Urban Rejuvenation Mission: AMRUT and Smart Cities Mission and Swachh Bharat Mission, respectively.
▪ The government's push for infrastructure, combined with housing for all, Smart Cities Mission and Swachh Bharat Mission
programmes, will boost the demand for cement in the country.

Pradhan Mantri Awaas Yojana

▪ In the Union Budget 2023-24, an outlay of US$ 9.63 billion (Rs 79,590 crore) has been allotted under Pradhan Mantri Awas
Yojana. As of April 2023, more than 1.20 crore houses have been sanctioned, and more than 73.61 lakh houses are completed
under the PMAY-Urban. As of May 2023, 2.85 crore houses have been sanctioned and 2.24 crore houses are completed under

2 PMAY-Gramin.
▪ Pradhan Mantri Awas Yojana is an initiative by the government to provide affordable housing to economically weaker sections and
low-income groups through financial assistance.
▪ Scheme aims to achieve its objective of ‘Housing for All’ by constructing 20 million houses across the country by March 31, 2022.

Development of Council Members

▪ In July 2021, the government established a council of 25 members (comprising UltraTech Cement MD Mr. K C Jhanwar,

3 Dalmia Bharat Group CMD Mr. Puneet Dalmia) for the cement industry to reduce waste, achieve maximum production,
enhance quality, reduce costs and encourage standardisation of products.

Source: Union Budget 2021-22

16
Investment scenario…(1/4)

1
Ramco Cements
▪ The Ramco Cements Ltd plans to set up a 2nd line with a capacity of 0.9 MTPA at its grinding unit in Odisha for an outlay of US$ 15.7 million
(Rs. 130 crore). Its cement capacity is 21 MTPA and its clinker capacity is 14 MPTA. The company spent US$ 119.12 million (Rs. 986 crore)
on capex in H1FY22-23 and plans to spend US$ 88.31 (Rs. 731 crore) more in the H2FY22-23 and US$ 107.76 million (Rs. 892 crore) more
in FY24.
▪ In August 2021, Ramco Cement plans to invest additional Rs. 601.2 crore (US$ 80.8) to upgrade cement plants that will be completed by
March 2022. In April 2021, the company had invested Rs. 401 crore (US$ 53.9) for upgrades.
▪ In July 2021, Ramco Cements announced its plan to invest US$ 64 million in capacity expansion and modernisation activities of its plant unit
in Tamil Nadu.
▪ In June 2021, Ramco Cements Limited commissioned the Line III of its Jayanthipuram Plant, with a clinker manufacturing capacity of 1.50
million tonnes per annum.

2
ACC
▪ 2.2 MTPA cement grinding unit at Salai Banwa, Uttar Pradesh is still under progress with an estimated value of US$ 72.58 million (Rs.
600.8 crore).
▪ ACC Limited, announced the successful commissioning of a 1.6 MTPA Grinding Unit (GU) at Tikaria in Uttar Pradesh in February 2022.
▪ On February 6, 2021, ACC announced the groundbreaking ceremony of its greenfield project of 2.7 MTPA integrated cement plant with 1
MTPA cement grinding unit at Ametha in Kymore, Madhya Pradesh.
▪ In January 2021, the company commissioned its new grinding unit at Sindri, in Dhanbad District of Jharkhand, adding an additional
capacity of 1.4 million tonnes per annum to the existing 3 MTPA unit.

3
Penna Cement
• In July 2022, Penna cement proposes to increase the limestone production from 3.20 to 4.50 MTPA in the Anantapur District Andhra
Pradesh.
• In October 2021, Hyderabad-based Penna Cement Industries, received approval from the capital markets regulator Securities and
Exchange Board of India (SEBI), to go ahead with its Rs. 1,550 crore (US$ 206.75 million) initial public offering (IPO).

Note: *MTPA-Million Tonnes Per Annum

Source: Company Website, News Articles

17
Investment scenario…(2/4)

4
Heidelberg Cement
▪ Heidelberg Cement, a Germany-based cement manufacturer, has commissioned phase-I of its Jhansi grinding unit. The company
has undertaken an investment worth US$ 259.4 million for expanding its capacity to 2.9 MT.
▪ The company plans to expand its alternative fuel/green power usage in the next 2-3 years. Its also plans to undertake 0.3/0.5mn MT
clinker/grinding expansion by FY24E.
▪ As of 2020, the company has four cement manufacturing plant, four grinding units and one cement terminal in the country.
▪ In November 2021, Heidelberg Cement India (HCIL) stated that India Ratings and Research has upgraded the company's long-term
issuer rating to 'IND AAA' from 'IND AA+' and has maintained 'stable' outlook on the same.

5
UltraTech Cement
▪ In December 2022, UltraTech Cement, an Aditya Birla group company, commissioned 1.9 MTPA greenfield clinker-backed grinding
capacity at Pali Cement Works, Rajasthan. The company’s total cement manufacturing capacity stood at 121.35 MTPA with 16.25 MTPA
in Rajasthan spread across 5 different plant locations.
▪ UltraTech Cement has expanded 3.2 MTA of cement capacity by commissioning capacity at its Patliputra Cement Works in Bihar,
Dankuni Cement Works in West Bengal, and Line II of the Bara grinding mill in Uttar Pradesh. Moreover, the company has already
significantly increased its capacity over the past five years from 69.65 MTPA to 119.95 MTPA.
▪ Additionally, UltraTech Cement started operating at the bulk terminal in Kalamboli, Navi Mumbai. This is the company’s 7th bulk terminal
in India. The second clinker line at Hirmi Cement Works, commissioned at 2.7 MTA, was put into service as part of the ongoing expansion
plan in the first quarter of FY22–23. It is also planned to commission a 1.3 MTA cement mill upgrade in the second quarter of FY22-23.
▪ In June 2022, UltraTech Cement approved Rs. 12,886 crore (US$ 1.65 billion) capital expenditure to increase capacity by 22.6 million
tonnes per annum (MTPA) through brownfield and greenfield projects. After the expected expansion plan, the company will grow its
capacity to 159.25 MTPA, making it the 3rd largest cement company in the world.
▪ In August 2021, UltraTech Cement announced plans to increase cement capacity by 19.8 MTPA between 2022 and 2023. Upon
completion of the project, which is valued at Rs. 6,510 crore (US$ 875 million), the capacity would rise to 136.3 MTPA.

Note: *MTPA-Million Tonnes Per Annum

Source: Company Website, News Articles

18
Investment scenario…(3/4)
6
Dalmia Cement
▪ Dalmia Bharat plans to enhance their cement production capacity by 12.5 MTPA to 48.4 MTPA by the end of FY2024 by investing US$
1.08 billion (Rs. 9,000 crore). In 2022, their current cement production capacity stands at 35.9 MTPA.
▪ Dalmia Bharat plans to expand its footprint in Central, Northern, and Western India through capital expenditure investments, in order to
reach a pan-India cement capacity of 54 MT/year by the end of the FY24.
▪ The company has finalized 2 lands in Chennai and Tuticorin to set up 2 grinding units for greenfield projects that would add cement
capacity by 3 MTPA.
▪ Moreover, the company plans to upgrade and de-bottleneck the existing units to add another 5.3 MTPA to the total production capacity.
▪ In November 2021, Dalmia Cement announced plans to invest US$ 70.1 million for setting up its upcoming 2MT/yr cement plant in
Bokaro, Jharkhand.
▪ In October 2021, Dalmia Cement become the first cement company in India to receive a green accreditation from the Green product
rating for Integrated Habitat Assessment (GRIHA) council.
▪ In August 2021, Dalmia Cement will invest Rs. 773.8 Crore (US$ 104 million) to expand its cement operations in Jharkhand.

7
JSW Cement
▪ JSW Cement is now on the path to achieving 50 MTPA with a pan-India footprint in the coming years due to the acquisition of the India
Cements Madhya Pradesh operation. The corporation wants to grow from its current level of 17 MTPA to 25 MTPA by 2024–2025. A
modern residential colony in Madhya Pradesh, a 2.5 MTPA grinding facility in Uttar Pradesh, an integrated cement plant with a 2.5 MTPA
clinker capacity, 2.5 MTPA grinding capacity, and a 15 MW waste heat recovery system are all included in the proposed investment.
▪ JSW Cement will invest more than Rs. 3,200 crore (US$ 390.7 million) to set up a cement manufacturing facility in Madhya Pradesh and
a split grinding unit in Uttar Pradesh.
▪ In October 2021, JSW Group collaborated with Salesforce to support an ambitious digital strategy. Using Salesforce’s Sales Cloud and
Service Cloud, JSW Group will offer a single group interface, enhancing distribution, customer experience and supply chain for the large
project division across its steel and cement businesses.
▪ In July 2021, JSW Cement signed an agreement with Synergy Metals Investments Holding Ltd. and Apollo Global Management Inc. to
raise investment funds worth Rs. 1,500 crore (US$ 202.35 million) and expand its production capacity to 25 million tonnes from 14 million
tonnes.
▪ In June 2021, JSW Cement entered construction chemical business with the introduction of an exclusive green product range.
▪ In June 2021, the company announced the establishment of ‘JSW Concrete’ a ready-mix concrete (RMC) business to provide a wide
range of building material products to customers.
Source: Company Website, News Articles

19
Investment scenario…(4/4)

8
Shree Cement
• Shree Cement plans to invest US$ 573.86 million (Rs. 4,750 crore), out of which US$ 422.8 million (Rs. 3,500) crore will be utilized for
enhancing cement capacity, US$ 60.4 million (Rs. 500 crore) towards setting up solar power, and US$ 84.57 million (Rs. 700 crore)
towards its clinker manufacturing capacity.
• The integrated cement plant, with a budget allocation of US$ 422.8 million (Rs. 3,500 crore) in Rajasthan, will add a cement capacity of
3.50 million tonnes per annum (MTPA).
• In September 2021, Shree Cement launched three projects that were valued at Rs. 4,806 crore (US$ 646 million). Of this, Rs. 3,541 crore
(US$ 476 million) will be used to establish a 3.8 MTPA cement plant in Rajasthan, while the remaining amount will be spent on establishing
a grinding plant in West Bengal and installing solar power plants at various cement plants across the country that are valued at Rs. 759
crore (US$ 102 million) and Rs. 506 crore (US$ 68 million), respectively.
• The company target to expand capacity to 55 MTPA by 2023 and 75-80 MTPA by 2026.
• In February 2021, IBM collaborated with Shree Cement to run their database and core business applications using AIX and Red Hat on
IBM POWER9-based IBM Power Systems. The implementation will allow Shree Cement to seamlessly enhance its productivity and enable
supply chain efficiencies across its manufacturing plants.

9
Ambuja Cement
• Ambuja Cements is to invest US$ 422.8 million (Rs. 3,500 crore) to increase the capacity of their cement grinding. The company now
has six integrated cement manufacturing plants, eight cement grinding units, and a capacity to produce 31 million tonnes of cement
annually (MTPA).
• In October 2021, Ambuja Cements, under its regulatory filing, announced that it has successfully started the commercial production
of clinker and cement in its newly commissioned Marwar Greenfield Project in Rajasthan’s Nagaur District.
• In September 2021, Ambuja Cement introduced Concrete Futures Laboatories to test various aspects of cement and concrete.
• In August 2021, Ambuja Cement announced to invest Rs. 310 crore (US$ 41.82 million) to expand its manufacturing capacity in
Ropar Unit, Punjab and cater to the rising demand from manufacturing sector for housing construction and public infrastructure
development. The expansion activities are expected to be completed by June 2023.

Note: *MTPA-Million Tonnes Per Annum

Source: Company Website, News Articles

20
Key Industry Contacts

21
Key Industry Contacts
Agency
Cement Manufacturers' Association
(CMA)
Indian Concrete Institute
National Council for Cement and
Building Materials
22
Contact Information
3rd Floor, Shri Sharda Institute of Indian Management -Research (SSIIM),
7 Institutional Area, Vasant Kunj, Phase-II, New Delhi,
Delhi 110070.
Phone: 91-120-2411955, 2411957, 2411958
E-mail: cmand@cmaindia.org
Website: www.cmaindia.org/index.html
Ocean Crest 79, Third Main Road, Gandhi Nagar, Adyar, Chennai - 600
020
Phone: 91-44-24912602
Fax: 91-44-24455148
E-mail: ici3@vsnl.in , ici4@airtelmail.in , vj6314@gmail.com
Website: www.indianconcreteinstitute.org
34th Milestone, Delhi-Mathura Road, Ballabgarh - 121 004 Haryana, India
Phone: 91-129-4192222, 2242051, 91-129-4192239, 4192305
E-mail: cqcb@ncbindia.com , ncb.cqc@gmail.com
Website: https://www.ncbindia.com/
Appendix

23
Glossary

▪ CMA: Cement Manufacturers' Association

▪ GDP: Gross Domestic Product

▪ GoI: Government of India

▪ Rs.: Indian Rupee

▪ MTPA: Million Tonnes Per Annum

▪ NE India: North-East India

▪ FY: Indian Financial Year (April to March); FY10 implies April 2009 to March 2010

▪ US$: US Dollar

▪ Wherever applicable, numbers have been rounded off to the nearest whole number

24
Exchange rates

Exchange Rates (Fiscal Year) Exchange Rates (Calendar Year)

Year Rs. Equivalent of one US$ Year Rs. Equivalent of one US$
2004-05 44.95 2005 44.11
2005-06 44.28 2006 45.33
2006-07 45.29 2007 41.29
2007-08 40.24 2008 43.42
2008-09 45.91 2009 48.35
2009-10 47.42 2010 45.74
2010-11 45.58 2011 46.67
2011-12 47.95 2012 53.49
2012-13 54.45 2013 58.63
2013-14 60.50 2014 61.03
2014-15 61.15 2015 64.15
2015-16 65.46 2016 67.21
2016-17 67.09 2017 65.12
2017-18 64.45 2018 68.36
2018-19 69.89 2019 69.89
2019-20 70.49 2020 74.18
2020-21 73.20 2021 73.93
2021-22 74.42 2022 79.82
2022-23 78.60 2023* 82.74

Note: *- Until May 2023

Source: Foreign Exchange Dealers’ Association of India

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