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The cement sector in India is among the country’s foundational industries. In Madras, India, organized cement production began in 1904. (Now Chennai). In addition to limestone, sea shells, sludge from chemical fertilizers, and slag from the iron and steel sector have recently been employed as raw materials.
Overview of India’s Cement Production, Cement Manufacturing States, and Cement Plants
The cement industry in India is among the country’s foundational industries. In Madras, India, organized cement production began in 1904. (Now Chennai). It is essentially a weight-loss enterprise. As a result, the industry’s localization is in the area of raw resources. Coal, limestone, and gypsum are their primary raw resources. Because Madhya Pradesh has the most limestone reserves, it has seen the most development in this business. In addition to limestone, sea shells, sludge from chemical fertilizers, and slag from the iron and steel sector have recently been employed as raw materials.
Plants that use marine shells, sludge, and slag as raw materials.
- Seashells made from plants: Chennai, Dwarika, Porbandar, Thiruvananthapuram,
- Sludge-based plant: Sludge from Sindri’s fertilizer plant serves as the foundation for Sindri’s cement plant.
- Slag-based plants: Cement plants in Jhinkpani (Chaibasa, Jharkhand), Visakhapatnam, Jodhpur, Bhadravati, and Durg (Chhattisgarh) have been built alongside iron and steel plants.
In India, How Many Establishments Are There?
The additional 350 micro cement plants account for at least 210 big cement plants, which have an installed capacity of 410 MT across the country. In India, there are 77 large cement facilities, the bulk of which are in Rajasthan, Andhra Pradesh, and Tamil Nadu.
The Cement Industry’s Importance In India
The cement industry is the second greatest essential primary and basic industry for India’s economic development, second only to the iron and steel industry. The cement industry is a basic industry that contributes significantly to the development of other factory industries, construction, and even agriculture. Every industry requires cement, and cement is an integral component of industrial infrastructure. It employs a big number of people directly and indirectly and contributes significantly to the GDP (GDP).
Cement is an important industry in the infrastructure sector. However, the industry’s performance and cement pricing are closely watched.
Importance Of The Cement Industry
(1) Ownership concentration: There is no other industry in India with such centralization of control and ownership than the cement business. The majority of cement units are controlled by the government, the A.C.C., the Dalmia Jain, and the Birlas. The centralization of control and ownership has unavoidably resulted in the administrative and financial integration of various cement manufacturers, having a significant impact on the size and number of units.
Diversified around the country:- Because the making of cement requires weight-losing elements such as limestone or chalk, clay, and gypsum, the industry has a propensity to be lured at the point of lowest transportation costs in comparison to raw materials. Excellent grade limestone is abundant in many regions of the country, and it is close to railway lines, therefore industry has a tendency for regional distribution of productive activity. However, as late as 1980, the majority of cement factories were concentrated in the country’s southern and western regions.
Indian Cement Industry Analysis
India is the world’s second-largest cement producer, accounting for more than 7% of worldwide installed capacity. In FY20, India’s total cement manufacturing capacity was around 545 million tonnes (MT). The private sector accounts for 98 percent of overall capacity, with the public sector accounting for the remainder. The top 20 cement businesses account for almost 70% of total cement cultivation in India. Because India has a large amount and quality of limestone reserves all over the country, the cement sector has enormous expansion potential.
Because of the growing demand in various sectors such as housing, commercial development, and industrial construction, the cement industry’s demand is predicted to reach 550-600 MTPA by 2025.
In FY21, India’s total cement production was 294.4 million tonnes (MT), up from 329 million tonnes (MT) in FY20.
In February 2021, India’s cement production increased by 7.8 percent over February 2020.
In FY21, India’s total cement production was 262 million tonnes (MT) (Till February 2021). In FY22, cement output is predicted to increase by 10percent in terms to 12%, with utilization expected to be around 65%.
Conclusion
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The cement business is intertwined with a country’s economy both forward and backward. Given the massive architectural necessities of a developing and industrializing country, as well as its achievements in terms of direct and indirect jobs, the cement industry’s value offer is even greater for a growing and transforming economy like India. With the inauguration of many projects spanning manufacturing, housing, and education, the Indian government has emphasized its commitment to infrastructure development.
