MARKETING MANAGEMENT –

SECTION C - GROUP 5 – PRESENTATION 1

CEMENT INDUSTRY
MARKET SIZE AND MARKET GROWTH IN INDIA

MARKET GROWTH

 Production - 334.48 million tonnes (MT) in FY20.

 Production capacity - estimated to touch 550 MT by 2020 (98% - private
sectors, 2% - govt sectors)
 Demand - expected to achieve 550-600 (MTPA) constantly by 2025
MARKET SIZE

8% of t he gl obal cem ent producti on

 According to DPIIT, cement and gypsum products attracted FDI worth US$
5.28 billion between April 2000 and March 2020
Second-largest producer of cem ent i n t he worl d
Att ract ed huge i nvest ment s , bot h from Indi an as well as forei gn i nves tors ever si nce i t was deregul at ed i n 1982
Em pl oys 20,000 peopl e acros s downst ream s ect ors for every mi ll i on t onnes of cem ent produced
Product ion volume - 297.56 Mn t ons (FY18) i n comparis on to China' s 2170 M n t ons .
Sup port ed by hi gh FDI
The tot al ins t all ed capaci ty (FY 18)
- Sout hern s tates (TN, AP, KA) – 3 5%
- Nort hern st ates (RJ , PB, HR) – 23 %
- Sout hern s tates > Northern s tat es

 The Government of India is strongly focused on

- Infrastructure development to boost economic growth
- Aiming for 100 smart cities.
- Expanding the capacity of railways
- Making facilities for handling and storage of cement
 These measures would lead to increased construction activity, thereby boosting
cement demand
TOP 5 MARKET PLAYERS IN INDIA

Rank Indian Revenue (Rs Market share

Cement Cr) % Market share
Company
1 UltraTech 38,657 21.40
Cement Ltd

21%
Ultratech
2 Ambuja 26,646 6.20
Ambuja
Cements Ltd ACC
6%
54% Shree
6% Dalmia
3 ACC Ltd 15,398 6.00 Others
7%
4 Shree Cement 12,555 7.00 6%
Ltd

5 Dalmia Bharat 9,642 5.50

Ltd