Indian Cement Industry, which today is the 2nd largest producer, after China, has a pride of place in the world both in terms of quality of cement which is comparable to the best in the world and its State-of-the-Art technology. With 340.4 MnT cement capacity and 247.3 MnT cement production in 2011-12, our industry today accounts for about 7% of the global production.
However, the current per capita consumption of 191 kg (as per Global Cement Data Report) as compared to the world average of 513 kg and 1,518 kg in China underlines the tremendous scope for further growth in the industry in the long term, notwithstanding the moderation in growth that the industry has been witnessing, of late.
Indian Cement Industry has large focus on Energy conservation. Cogeneration of power, through waste heat- recovery, is well established now and offers a very high potential, for reducing burden on National grid, and thereby affect significant energy savings through reduced coal consumption, and consequent reduction in equivalent carbon dioxide. Based on empirical results, it is estimated that even if plants with 1 MnT capacity adopt this technology, the industry potential savings can be to the tune of more than 1,000 MW, through cogeneration. The current Government Policies and acute supply constraints of Coal, Railway wagons, fly-ash and high incidence of Government levies (60% of the ex-factory price) have adversely impacted the growth of this core sector industry. If this Industry and the Indian Economy have to bounce back on their growth track, it is imperative that all the above issues need to be favorably addressed, particularly in respect of supply of fly-ash, the principle of ‘Polluter to Pay” for disposal of wastes is implemented.