Displaying items by tag: India
Dalmia Cement launches Dalmia Masters
25 September 2020India: Dalmia Bharat subsidiary Dalmia Cement has announced the launch of Dalmia Masters, an online platform for builders using Dalmia products. The company says that the platform “will offer opportunities for skill advancement, best-in-class construction practice sharing and a wide range of rewards.”
Chief operating officer (COO) Ujjwal Batria said, “As a leading cement brand, our product’s validation and recommendation by the contractor and technocrat community plays a large role in our success. Reaching out to thousands of contractors and masons, Dalmia Masters will help redefine what construction professionals can expect from cement brands.”
Executive director and head of marketing Pramesh Arya added, “Dalmia Cement’s outreach to construction professionals has always been pioneering. Dalmia Masters is a robust performance-linked loyalty programme, which will also expand our Future Today promise. The programme respects and celebrates the contractor community’s skill and vision, and will further strengthen the relationship we have built with it.”
India: A public hearing over Birla Corporation subsidiary Reliance Cement’s planned 3.9Mt/yr Mukutban cement plant in Yavatmal district, Maharashtra has raised objections against the company’s quarry plans. The Times of India newspaper has reported that the plant is due to source its limestone from a 7.6km2 quarry in Korpana, Chandrapur district. Critics say that the company has failed to complete a wildlife management plan, and that the site of the mine lies on a 120km wildlife corridor between the Tipeshwar Wildlife Sanctuary and the Kawal Wildlife Sanctuary in neighbouring Telangana. Reliance Cement said that an environmental report had shown the presence of no scheduled species within 10km of the proposed site.
Maharashtra state wildlife board member and honorary wildlife warden Bandu Dhore said, “Although there is no forest area under the proposed mining site, it acts as a regular corridor as there is forest on either side within 1km. We are pursuing the matter with the forest department and would press it with higher officials to ensure that the precious corridor remains undisturbed. Protection of corridors is a must for conservation of wildlife and hence we are going to raise the demand of re-survey of the project site from the wildlife point of view.”
Bashundhara Group plans 4Mt/yr cement plant in eastern Bangladesh
23 September 2020Bangladesh: Bashundhara Group has taken a loan of US$82.0, which it says will go towards the construction of a 4.0Mt/yr cement plant in eastern Bangladesh for a total investment of US$117m. The Daily Star newspaper has reported that the new plant will produce cement primarily for export to northeast India. Bashundhara Group’s two cement plants currently have the capacity to produce 5.1Mt/yr of its King Brand cement.
Bank Asia is the lead arranger for the syndicated loan, which it will provide along with Dhaka Bank, First Security Islami Bank, Pubali Bank, Social Islami Bank and United Commercial Bank. Full repayment is due in 2027.
Fitch Ratings predicts Indian cement demand fall
22 September 2020India: Credit rating agency Fitch Ratings has forecast a 15% year-on-year decline in domestic cement demand in the 2021 financial year, which ends on 30 March 2021 due to “weak property demand and a sluggish construction cycle.” Fitch Ratings gave the reasons for the decline as “low consumer confidence caused by business uncertainty and unemployment concerns,” causing “underlying appetites of financial institutions to lend to the construction sector to remain weak” in spite of the Reserve Bank of India’s temporary funding relief measures to the sector, which include “loan restructuring, moratoriums and relaxed lending limits.”
Fitch Ratings reported that steel demand will also fall by 10% in the 2021 financial year.
Iran: Data from the Islamic Republic of Iran Customs Administration (IRICA) shows that cement producers exported 5.85Mt of cement in the first five months of the local 2021 financial year, which began on 20 March 2020. The value of cement exports fell by 52% year-on-year to US$128m from US$266m, according to the Tehran Times newspaper. Iraq, Kuwait and Afghanistan were the top destination for the exports. Cement was also sent to India, Russia, Qatar, Kenya, Sri Lanka, Pakistan, Armenia, Turkmenistan, Kazakhstan, Azerbaijan, Bangladesh, China, and Oman.
In its 2020 financial year Iran exported a total of US$7.0bn-worth of building materials and produced 85Mt of cement against a domestic consumption of 65Mt.
Ramco Cements commissions 9MW waste heat recovery power plant at Jayanthipuram cement plant
14 September 2020India: Ramco Cements has commissioned a 9MW waste heat recovery (WHR) power plant at its 3.7Mt/yr Jayanthipuram, Andhra Pradesh cement plant. Chief executive officer (CEO) Av Dharmakrishnan said, “Besides savings in power cost, the installation of WHR systems in our plants will also reduce CO2 emissions substantially, which will have a positive impact on the environment.”
BusinessLine Online News has reported that Ramco Cements is currently building a 12MW WHR power plant at its upcoming Kolumigundla, Andhra Pradesh cement plant. When the plant becomes operational it, will bring the company’s total WHR power generation capacity to 39MW.
Standard matters
09 September 2020The Bureau of Indian Standards (BIS) has warned local cement producers to rein in their more outlandish claims. In a letter reported upon by the Economic Times newspaper this week, the government department has accused some manufacturers of making both objective and subjective claims about their products that strained credulity and didn’t fit the corresponding official standards. One industry source from the newspaper blamed the crackdown on some producers claiming that their cement products helped protect people from Covid-19! In their view the bureau was now over-enforcing its rules in retaliation. Given the severity of the outbreak in India - it has the second highest number of reported cases in the world this week - the response of the authorities is understandable to say the least.
The distinction between objective and subjective exaggeration that the BIS makes it worth looking at in more detail. For example, objective or supposedly fact-based claims the BIS cited included: ‘Protect Steel in Concrete’; ‘Protect Concrete from Corrosion’; ‘Corrosion Resistant’; ‘Weather Proof’; and ‘Damp Proof.’ Then, there were subjective, or more emotionally evocative, claims along the lines of ‘strong’ or ‘high performance.’ The BIS then outlines the specific ways in which objective and subjective assertions can be used. Objective claims should be avoided on marketing and packaging material. Subjective claims should, “explicitly indicate that such claims are not covered under the scope of BIS licence granted to them and the responsibility of such claims lies with them.”
Marketing is a big part of standing out in the crowded Indian cement market with producers sponsoring major sports teams. This might seem odd to readers elsewhere in the world but it demonstrates the target market, the importance of cement as a commodity to the general public and the power of brand awareness. Amubja Cement’s logo of a man with a Charles Atlas style physique cuddling a building sums up the message they want to convey: strength. No wonder producers are wary of the BIS wading in.
Standards also appeared in another news story this week with the announcement that Taiwan Cement Corporation (TCC) had obtained the first cement product carbon footprint label issued by the Environmental Protection Administration (EPA) in the country. Its products will be marked with carbon footprint labels from the fourth quarter of 2020.
This shows a general trend in cement products towards showing sustainability credentials from putting environmental footprint data in front of specifiers for large projects towards making it a more basic retail selling point. Lots of other cement producers around the world have done and/or are doing similar things, from the dedicated slag cement manufacturers to the larger producers routinely releasing and promoting new low-CO2 products. To pick one example from many, in July 2020 LafargeHolcim France introduced ‘360Score CO2 emissions reduction ratings’ to its bagged cement range. The score, between ’A’ and ’D,’ corresponds to the factor of CO2 compared to CEM-I Ordinary Portland Cement (OPC), with ‘A’ products producing less CO2 than ‘D’ products in their overall creation.
To look at an older example of the need for standards generally, building collapses in Nigeria appeared to increase post-2000, with the misuse of lower-grade cements blamed for the situation. The Standards Organisation of Nigeria (SON) took action in 2014, local producers introduced higher strength cements and the problem was reduced. Given the intangible nature of measuring sustainability in cement products there is a need for reliable standards. Unlike performance metrics, such as a strength or durability, the CO2 footprint of a cement product will generally remain utterly intangible for most end-users. The effects of CO2 emissions are continually analysed and debated, but the negative climate effects of cement products are more akin to someone else’s house flooding on the other side of the world 50 years later, than one’s own house falling down a decade later due to using the wrong strength cement. So, some form of trustworthy enforcement for sustainability standards is crucial. Standards may represent ‘boring’ bureaucratic red tape at its most officious but we need them. In India and elsewhere though, the debate on enforcement continues.
Uttar Pradesh government approves three grinding plant plans
08 September 2020India: The state government of Uttar Pradesh has granted approval to three planned grinding plant projects with a total value of US$115m. The Hindustan Times newspaper has reported that Kanodia Cement ’s Amethi grinding plant will cost US$39.6m, Eco Plus Cement Industries’ Prayagraj grinding plant will cost US$38.6m and Eco Plus Cement Industries’ Mirzapur grinding plant will cost US$37.1m.
Bureau of Indian Standards warns of product description rule changes
08 September 2020India: The Bureau of Indian Standards (BIS) has warned producers to avoid the use of objective product descriptions which may subsequently be proven as false claims. The Economic Times newspaper has reported that the advice follows an internal circular of the Ministry of Consumer Affairs, Food and Public Distribution detailing plans for a tightening of standards around the use of objective terms such a ‘corrosion resistant,’ ‘weather proof’ and ‘damp proof’ by cement producers.
Ramco Cement increases Lynks Logistics stake to 69%
07 September 2020India: Ramco Cement has increased its stake in Lynks Logistics to 69% following its acquisition of a 23% stake in the company for US$273,000. The group previously invested US$700 in a 46% stake on 27 January 2020.