INTRODUCTION

• Cement is vital to the construction sector

and all infrastructural projects.
• Industry occupies an important place in the Indian
economy because of construction, transportation etc.
• The Indian cement industry is the second
largest producer of cement in the world after China.
• Cement industry in India comprises 183 large cement
plants and over 365 mini cement plants.
• There are 40 players in the industry across the country.
• Has high correlation with GDP, it grows at the rate
of 1.2times that of GDP.
• Indian cement industry is involved in production
of several types of cement such as
Ordinary Portland Cement (OPC)
Portland Pozzolana Cement (PPC)
White Cement, etc…..
• Produced strictly as per the Bureau of Indian
Standards (BIS) specifications and their quality is
comparable with the best in the world.
CEMENT MANUFACTURING PROCESS
 NATURE OF INDUSTRY
• Limestone reserves in selected state has resulted in its
evolving in the form of clusters
• At present there are seven clusters:
SANTA (Madhya Pradesh)
CHANDRAPUR (North Andhra Pradesh and
Maharashtra)
GULBARGA (North Karnataka and East AP),
CHANDERIA (South Rajasthan)
BILASPUR (Chhattisgarh),
YERRAGUNTLA (South AP),
NALGONDA (Central AP).
• Proximity of coal deposits constitutes another
important factor in cement manufacturing.
• Cement has been heavily taxed sector with
both the central and the state government
levying the taxes which amount to around
30% of the selling price of the cement or
around 70%of the ex-factory price.
KEY FACTORS AFFECTING DEMAND
• Per capita income.
• Nuclear families.
• Urbanisation.
• Government’s focus on infrastructure
development.
• Affordable housing.
GEOGRAPHICAL SPREAD
REGIONAL CAPACITY
• Rajasthan has the highest installed capacity in
north India, accounting for 66.5% share in
capacity in the region.
• Chhattisgarh leads the eastern region with a
share of 32.6% of total installed in the region.
• Andhra Pradesh has the highest installed capacity
in the southern region, 53.5% share of total
installed capacity.
• Madhya Pradesh leads the central region in
installed capacity.
• Gujarat leads the pack in west India.
 DEMAND AND SUPPLY
• The housing and real estate sector is the biggest demand
driver of cement, accounting for about 65% of the total
consumption in India.
• The other major consumers of cement include public
infrastructure at 20% and industrial development at 15%.
• The industry is currently producing 280 MT for meetings its
domestic demand and 5 MT for exports requirement.
• Cement, being a bulk commodity, is a freight intensive
industry. Hence, divided into regions viz. north, south, west,
east and the central region.
• The Southern region of India has the highest installed
capacity, accounting for about one-third of the country's
total installed cement capacity.
MAJOR PLAYERS IN THE INDUSTRY
• Acc • Ramco
limited.(1936),Mumbai. cement.(1957),Chennai.
• Ultra tech • JK cement,(1975),new
cement,(1987),Mumbai. Delhi.
• Ambuja • Prism
cement,(1983),Mumbai. cement,(1997),Mumbai.
• Jaypee • Rain
cement(2001),Noida. cement(1986)Hyderabad
• India • Shree
cement,(1946),Chennai. cement(1970).Kolkata
MARKET SHARE OF COMPANIES
MARKET SHARE

Acc Ltd
10.73 Ambuja Cements
Ultratech Cements Ltd.
9.82 India Cements
38.6
Jaypee Groups
Shree Cements
9.44
J.K Groups
Ramco Cements
8.53 Rain Cements
Others
5.11
4.04 4.95 4.72
4.06