How is Cement manufactured?

Cement is made in 8 simple steps: getting raw materials like limestone and clay from quarries, crushing them, grinding and mixing into raw meal, pre-heating, heating in a kiln to make clinker, cooling and mixing with gypsum, storing, and finally packing and shipping. Focus is on controlling dust and saving energy to cut down pollution.

♦  What are the types of cement and their uses?

1. Ordinary Portland Cement (OPC): 95% clinker; used for regular work like homes and bridges.
2. Portland Pozzolana Cement (PPC): 65-75% clinker + fly ash; gives less heat, good for environment; best for big projects like dams.
3. Portland Blast Furnace Cement (PBFC): 45-65% clinker + slag; resists sulfates well; for sea structures and strong foundations.
4. Ready Mix Concrete (RMC): Ready-made mix, delivered straight to site for quick use.

♦  Who are the top 10 cement companies in India?

As per installed capacity (MTPA) in September 2025:

1. UltraTech Cement (~186 MTPA)
2. Adani Cement (Ambuja + ACC, over 100 MTPA)
3. Shree Cements (~62.8 MTPA)
4. Dalmia Bharat (~45 MTPA)
5. JK Cement (~25 MTPA)
6. Nuvoco Vistas (~25 MTPA)
7. Ramco Cements (~20 MTPA)
8. Birla Corporation (~16 MTPA)
9. Heidelberg Cement (~13 MTPA)
10. Prism Johnson (~7 MTPA)

♦  What are the global trends in the cement industry?

Main trends: going green with alternative fuels, carbon capture (CCUS), AI for better operations, and new income from supplementary materials (SCM) up to USD 40-60 billion by 2035. India sees 7-9% growth, plus strong demand in Middle East and Africa.

♦  What is the history of the cement industry in India?

1889-1947: Started in Kolkata (1889), first factory in Porbandar (1914); grew slowly to 1.8M tonnes by independence.
1947-1982 (Govt Control): Like a monopoly with price controls; capacity from 3.3M to 30M tonnes (about 7% yearly growth).
1982-2000 (License Raj): Partial then full freedom; tech improvements; capacity hit 109M tonnes.
2000-2020 (Privatisation): Big mergers like Holcim buying ACC/Ambuja; grew to 550M tonnes.
2020+ (M&A Boom): Adani and UltraTech leading; top companies control about 60%.

♦  What are the key raw materials for cement production and their costs?

Main ones: limestone (for CaO), clay (silica/alumina/iron), gypsum, fly ash, slag. Costs break down like: raw materials 25%, power/fuel 26%, transport 33%, others 16%. Mining rule changes have pushed up royalties and overall costs.

♦  How do national players benefit in the cement sector?

Big players gain from consolidation: better pricing power (10-15% higher prices, less ups and downs), improved profits (EBITDA up 200-300 points), cost savings (15-20% less on logistics, 9-12% on new plants via scale), tech upgrades for efficiency (3-5%). It leads to less competition, focused resources, higher margins, more capacity investment, and further growth.

♦  What is the new GST rate on cement after the 2025 reforms?

The GST rate on cement has been cut to 18% from 28%, as part of the Next-Gen GST overhaul. This applies to all types like OPC, PPC, and PBFC. The reduced 18% GST on cement kicks in from September 22, 2025. It’s part of the 56th GST Council decisions to make everyday items more affordable.