Past Presidents of CMA

Shri Dharamsey M. Khatau 1961 to 1964

Shri G.D. Somani 1965 to 1967
Shri V.H. Dalmia 1968 to 1969
Shri R.D. Shah 1970 to 1973
Shri P.K. Mistry 1974 to 1976
Shri A.K. Jain 1977 to 1978
Shri R.P. Nevatia 1979 to 1980
Shri S. Krishnaswamy 1981 to Aug82
Shri V.L. Dutt Oct82 to Oct83
Shri J.R. Birla Nov83 to Mar87
Shri M.H. Dalmia Mar87 to Jul89
Shri M.N. Mehta Jul89 to Jul91
Shri N. Srinivasan Jul91 to Aug94
Shri M.C. Bagrodia Aug94 to Sep96
Shri N.S. Sekhsaria Sep96 to Jun98
Shri A.L. Kapur Jun98 to Mar99
Shri Y.H. Dalmia Mar99 to Aug99
Shri M. Karnani Aug99 to Oct00
Shri T.M.M. Nambiar Oct00 to Oct02
Shri B.L. Jain Oct02 to Sep04
Shri N. Srinivasan Sep04 to Dec.06
Shri Manoj Gaur Dec06 to Jul07
Shri H.M. Bangur Jul07 to Oct09
Smt. Vinita Singhania Oct09 to Jan12




Shri M.A.M.R. Muthiah
President, CMA





Shri O.P. Puranmalka
Vice President, CMA

CEMENT MANUFACTURERS' ASSOCIATION


PRESIDENT
Shri M.A.M. R Muthiah


VICE PRESIDENT
Shri O.P. Puranmalka

MEMBERS OF THE MANAGING COMMITTEE

Shri Ajay Kanoria
Shri Harsh V. Lodha
Shri B.R. Nahar
Shri Rajendra Chamaria
Shri R.K. Vaishnavi
Shri Alok Patni
Shri P.S. Bakshi
Shri Puneet Dalmia
Ms. Rupa Gurunath
Shri T.S. Raghupathy
Shri Rakesh Singh
Shri V.M. Mohan
Shri R.K. Razdan
Shri Sunny Gaur
Shri Raghavpat Singhania
Shri Shailendra Chouksey
Mrs. V.L. Indira Dutt
Shri K.C. Jain
Shri Uday Khanna
Shri P.R.R. Rajha
Shri K. Padmakumar
Shri Bhagwat Pandey
Shri Alok Sanghi
Shri M.S. Gilotra
Shri M.K.Singhi
Shri K.K. Kaul
Thiru Ka. Balachandran, IAS
Shri Ratan K. Shah
Shri S.N. Jajoo
Shri K.C. Birla
Shri Krishna Srivastava

PERMANENT INVITEES

Smt. Vinita Singhania
Shri H.M. Bangur
Shri Manoj Gaur
Shri N. Srinivasan
Shri B.L. Jain
Shri Y.H. Dalmia
Shri M.N. Mehta
Shri M.H. Dalmia
Shri V.L. Dutt


SECRETARY GENERAL
Shri N. A. Viswanathan
i

FOREWORD
The 51
st
Annual Report of CMA for the year 2011-12 is before you. The comprehensive
Report has covered a review of the performance of the cement industry during the
year under reference.
The Indian economy has been currently passing through a slowdown in its growth,
consequent upon unstable world economy and Euro Zone crisis. Indias GDP grew at
6.5% in the FY12, the lowest in nine years, after growing at 8% and 8.4% in the FY10 and
FY11 respectively. The economy still continued to experience high inflation,
weakening of the rupee value against dollar, higher interest rates of borrowings and
dampening construction activities. The Government of India has recently moved
ahead with reforms needed to arrest down-trend in the economy. We are sanguine,
Govts reforms process will get Wings to push the economy even much more than
the expected level, if cement concrete roads are adopted on a large-scale in the
country replacing the conventional bitumen roads. We keenly to look forward with
hope that the Government will take the reforms process further and the fiscal
position will improve.
The economic slowdown impacted adversely the infrastructure development and
more importantly the construction activities in housing sector. This inevitably left a
severe dent on the growth of the cement industry, which witnessed moderation
from an average growth of around 9%-10% in the last couple of years to a lower
growth of 5% in FY11 and 6.3% in FY12 respectively. Partly as a result, the capacity
utilization of the industry registered a sharp drop. The year under report was
particularly stressful and witnessed additional challenges over and above those
generated by economic slowdown and both the Industry and the Association had to
devote substantial time to correct the negative perception of the Industry. The
fallout of the Order passed by Competition Commission of India only added to the
unfortunate perception of negative image of the industry being only interested in
profiteering when the facts are quite otherwise. The amount of resources and man-
hours spent in activities related to modernization, technology upgradation and
ii

discharging of social responsibilities through CSR obligation and other activities by
the Industry are too well-known, to be dilated here.
From our perspective, we can only say that the Order regarding cartelisation by the
Industry and your Association providing a platform to the Members for this purpose,
is unfortunate and has resulted from a selective and truncated appreciation of the
role, duties and the procedure followed by the Association, without taking into
account, the ground realities, including the obligation cast on us by the Government
to furnish them a variety of information from time to time, including material for
replies to Parliament Questions and Annual and Five Year Cement Industry
projections for helping the Government firm up their own sectoral plans for
infrastructural growth and support of logistics, such as the requirement of Coal,
Rakes, etc. Our ability to obtain aggregated country-wise data of major international
cement producing countries in the absence of our own ability to reciprocate the
same, has been the first casualty. We can only hope that at the appellate level,
where the matter is pending, the Industry and your Association will be provided the
requisite relief.
There are a number of constraints and bottlenecks which are plaguing the growth of
this core sector industry. Cement industry has been experiencing a glut situation as
there has been mammoth mis-match between cement demand and its supply, the
country at present having about 90 million tonnes of excess cement capacity, which
was created after making colossal investments. The Industry had created about 160
million tonnes of cement capacity in the XI Plan, on the back of Govt.s projection of
potential cement demand arising out of the thrust given for infrastructure
development in the country and the allocation of funds ear-marked for the purpose,
which however eluded realisation.
Coal availability to the Industry is another major constraint. There has been a steep
drop in the supply of linked coal to the Cement Industry from 70% in FY04 to almost
39% now, mainly due to diversion of coal to the Power Sector. What is worse, new
capacities are not being given any coal under the Linkage Scheme. The Industry has
to depend on imported coal, which is 2 to 2.5 times costlier than administered cost.
iii

Supply constraints of wagons particularly during the peak period, coupled with
frequent increases in freight rates and other charges in addition to infrastructure
constraints at terminals are hampering the planned movement of cement to the
consumption centers and thereby adversely impacting the production schedule.
Another major constraint is of Fly ash. Power plants which were supplying Fly-ash to
the cement industry free of cost have started charging for Fly-ash from 2009. This has
impacted the production cost of Portland Pozzolana Cement (PPC). Cement Industry,
which has already invested more than Rs.1000 crores for effectively utilizing the
industrial waste like Fly-ash submits that the principle of Polluter to Pay needs to
be re-visited.
Cement, a high volume low value product, is highly taxed (60% of the ex-factory
price), even more than luxury goods. For other important construction materials like
steel, the tax structure is much lower. State levies for which there is no Cenvat
Credit facility, coupled with Govts encouragement for import of cement into India
with No Custom Duty have lowered our cements export by 50% in the last few years,
despite the fact that we are having excess cement capacity and world-class
production facility and technology.
It is imperative to bring back this core Cement Industry on higher and faster growth
trajectory by revival of cement demand. The Working Group on Cement Industry for
XII Plan in its Report submitted to the Planning Commission in December 2011, has
made a number of positive and strong recommendations, after deeply examining
various aspects of the Industry, for reviving the sluggish cement demand through
adopting long lasting and cost-effective cement concrete roads; housing for all, and
also suggesting possible solutions to the major constraints pertaining to coal, power,
rail transportation, energy, environment, export, taxation, etc. confronted by the
Industry.
If these suggested recommendations and measures contained in the Report are
given effect to, cement industry will not only become a leader amongst the various
sectors of the industry but will also emerge as a showpiece of model infrastructural
growth, contributing, in turn, to the economic growth.
iv

It is heartening to mention that in order to mitigate the fuel crisis, CMA has recently
entered into a Consulting Agreement with Institute for Industrial Productivity,
Washington to identify the barriers and address them for increasing the use of
Alternate Fuel and Raw Materials in the cement industry. It is hoped that synergies
created out of this venture will enable cement industry to tap alternate fuel and raw
materials as fuel increasingly over time in the next decade.
Separately, CMA has also become a Communication partner with Cement
Sustainability Initiative (CSI) of Switzerland based World Business Council for
Sustainable Development (WBCSD). This should facilitate in sharing the knowledge
through CSIs network of studies, in-plant learning of good practices, etc.
The Ministry of Commerce and Industry, DIPP has always been highly supportive of
our industry for which, I am grateful to its Secretary, Joint Secretary and other senior
officers. I am equally indebted to Secretaries, Addl. Secretaries, Joint Secretaries and
other Officers from Ministries of Coal; Steel and Mines; Environment and Forests;
MORTH; and Chairmen, Members, Additional Members and Executive Directors from
Railway Board; NHAI; CPCB; Coal India; BIS; BEE among others, for their esteemed
counsel, continued assistance, steady support and cooperation.
I wish to thank Senior Members, Members of the Managing Committee and various
other CMA Committees for their valuable guidance, co-operation and assistance.
I would like to place on record my deep appreciation of the dedicated and yeoman
service rendered by the CMA Secretariat to the Government, Industry and, most
importantly the Consumer, under the supervision and mature guidance of Secretary
General, Shri N.A. Viswanathan. I am sure that the Secretariat would continue to
provide its valuable service in future too.


New Delhi (M.A.M.R. Muthiah)
November 2012 President
51
st
Annual Report
1

CEMENT MANUFACTURERS' ASSOCIATION
51
ST
ANNUAL REPORT 2011-12
(Under Rule 49 - Rules & Regulations of CMA)

The Managing Committee is happy to
present its 51
st
Annual Report for the
year 2011-12.
THE YEAR AT A GLANCE
Economy
The Indian Economy, which had shown
resilience, by registering a GDP growth
of 8% in 2009-10, post financial
meltdown of 2008-09 when the GDP
growth registered at 6.7%, maintained
the trend of nearing the same growth in
2010-11 at 8.4%. However, during the
year under review (2011-12), the
terminal year of the XIth Plan, the
countrys economic growth fell to 6.5%,
the lowest in nine years. As per the
recent indications by the Planning
Commission, the GDP growth for the
year 2012-13 could moderate itself at
6%. This is due to re-emergence of the
global crisis, hardening of crude oil
prices in the international market, euro
zone crisis and also domestic factors.
Industrial production dropped to 2.8%
during the year 2011-12 as compared
to 8.2% last year. Manufacturing sector
registered a low growth of 2.5% as
against the growth of 7.6% in 2010-11.
Agriculture Sector registered a sharp
decline in growth at 2.8% during
2011-12 as compared to 7.0% previous
year. Likewise Construction Sector
registered a low growth of 5.3% in
2011-12 as against 8.0% in 2010-11.
On the External Trade front, Indias
Exports grew by 21% (from USD 251.1
Billion in 2010-11 to USD 303.7 billion
in 2011-12). Similarly, Import grew by
32% (from USD 369.8 in 2010-11 to
USD 488.6 Billion) for the same period.
To bring back the economy on the
required growth trajectory, calls for
immediate action/measures and bold
policy decisions to be taken by the
Authorities.
Cement Industry
The Cement Industry has been vibrant
sustaining an 8% growth over the last
two decades. The Industry exhibited

2

resilience in the face of
the global financial
meltdown, recording an
8% growth during
2008-09, which jumped
up to a double-digit
growth in 2009-10. This
high growth
performance of the
Cement Industry during
2009-10 was largely helped by the
increased construction activity in
infrastructure catalyzed by stimulus
packages provided by the Government.
With the withdrawal of stimulus
packages announced by Government in
2009-10 coupled with the slowdown in
construction activities of infrastructure
development and low growth in
housing sector, the growth of the
Cement Industry (CMA Member
Companies) slipped to 5.3% and 6.4%
during 2010-11 and 2011-12
respectively.
The Cement Industry has been adding
capacities year-after-year, much ahead
of the actual increase in demand.
During the five-year period ending 31st
March 2012, the terminal year of the
XIth Plan, more than 160 mn.t capacity
was added taking pan India cement
capacity of the Industry, including of
mini cement plants to 340.44 mn.t in
2011-12 from 323.02 mn.t in 2010-11.
Cement production was 247.45 mn.t in
2011-12 as against 227.80 mn.t in the
previous year. The slowdown in the
economy and retarded growth in
demand have seriously affected the
Cement Industry as there is at present
a serious demand/capacity mismatch
resulting in low capacity utilization.
Growth of the Cement Industry over
time is shown in the above Graph.

Outlook : Cement Industry
Cement being the basic construction
material, the growth of the Cement
Industry depends directly on the
growth of the construction activity.
Growth of Cement Industry

51
st
Annual Report
3

Thus, the drivers of cement demand are
development of infrastructure that
include construction of Roads, Ports,
Airports, Power Houses, Community
Development Projects like Dams,
Irrigation Canals, etc. and Mass
Housing Projects, both urban and rural.
In this backdrop, it may be noted that
the Union Budget 2012-13, with its
thrust on inclusive growth, has
focussed on the issues that would give
a boost to demand for cement. A few of
the positive steps announced are
presented below:
During 12th Plan period, investment
in infrastructure to go up to Rs. 50
lakh crore with half of this, expected
from private sector.
Allocation of the Road Transport
and Highways Ministry enhanced by
14 per cent to Rs.25,360 crore.
Target of covering a length of 8,800
kilometer under NHDP next year.
External Commercial Borrowings
(ECBs) proposed to be allowed for
capital expenditure on the
maintenance and operations of toll
systems for roads and highways, if
they are part of original project.
Delhi-Mumbai Industrial Corridor
In September 2011 Central
Assistance of Rs.18,500 crore
spread over 5 years approved - US $
4.5 billion as Japanese participation
in the project.
Allocation for PMGSY increased by
20 per cent to Rs.24,000 crore to
improve connectivity.
Allocation under Rural
Infrastructure Development Fund
(RIDF) enhanced to Rs.20,000 crore.
Rs.5,000 crore earmarked
exclusively for creating
warehousing facilities.
Various proposals to address the
shortage of housing for low income
groups in major cities and towns
including allowing ECB for low cost
housing projects and setting up of a
credit guarantee trust fund etc.
The Report of the Working Group on
Cement Industry for the XIIth Five Year
Plan has already been submitted to the
Planning Commission. As per the
Report, average growth in cement
demand during the XIIth Five Year
Plan, could be within the range of 8%
to 10.75%, depending upon the
Government support and incentives for
infrastructure development and export.
The details of the Working Group
Report are given elsewhere in this
Report.

4

PERFORMANCE HIGHLIGHTS 2011-12
(CMA Members Only)
AT A GLANCE
Capacity at the end of Mar'12 (Mn.t)
(Previous year 238.40 Mn.t)
: 244.05
- Addition in 2011-12 (Mn.t) : 5.65
- Growth, % : 2.37
Cement Production (Mn.t)
(Previous year 169.21 Mn.t)
: 180.00
- Highest ever in a month (Mar'12) (Mn.t) : 17.99
- Growth, % : 6.38
Clinker Production (Mn.t)
(Previous year 132.88 Mn.t)
: 137.22
Capacity Utilization (%)
(Previous year 76%)
: 75
Stock at the end of Mar'12
- Cement (Mn.t)
(Previous year 1.59 Mn.t)
: 1.34
- Clinker (Mn.t)
(Previous year 6.88 Mn.t)
: 5.56
- Highest Clinker Stock in May11 (Mn.t) : 7.85
Exports
- Cement (Mn.t)
(Previous year 1.52 Mn.t)
: 1.62
- Clinker (Mn.t)
(Previous year 2.67 Mn.t)
: 1.86
Consumption (Domestic Despatches)
(Previous year 166.54 Mn.t)
: 177.50
ALL-INDIA PERFORMANCE - 2011-12 (Est.)
(Including Non-Members Large and Mini Cement Plants)*
Capacity at the end of Mar'12 (Mn.t)
(Previous year 323.02 Mn.t)
: 340.44
Cement Production (Mn.t)
(Previous year 227.80 Mn.t)
: 247.45
Per Capita Consumption (kg.)
(Previous year 180 kg.)
: 202

* Information collected indirectly from different sources.
Mn.t = Million Tonnes, Est.= Estimated
51
st
Annual Report
5

Addition of Capacity
A capacity of 5.65 mn.t has been added
by CMA Members during the year
2011-12, the Terminal Year of the XIth
Five Year Plan. Of this, around 73%

(4.10 mn.t) was through Greenfield
projects while expansions accounted
for around 27% (1.55 mn.t).
Details of capacity added during
2011-12 are given below:
Capacity Additions during 2011-12*
(Mn. t)
Name of the Plant State Month of
Commissioning
Capacity
Existing
Capacity
Added
Total

(a) New
Bokaro Jaypee (G) JHK. Jul 11 - 2.10 2.10
Jaypee Cement -Sikandrabad (G) U.P. Jul 11 - 1.00 1.00
Jaypee Cement - Baga H.P. Feb 12 - 1.00 1.00
Total (a) 4.10
(b) Expansion
Meghalaya Cements Ltd. MEG. Jul 11 0.30 0.35 0.65
Lafarge-Jojobera (G) JHK. Sep 11 3.40 1.20 4.60
Total (b) 1.55
Total (a)+(b) 5.65
Capacity as on 31
st
March 2012 244.05 Mn.T.
* CMA Members only G = Grinding Unit
Cement and Clinker Production
Cement production by Members of
CMA during the year 2011-12 was
180.00 mn.t, as against 169.21 mn.t in
the previous year, posting a growth of
6.38%. Company-wise/Unit-wise
performance is given in Annexure-I.
Clinker production by Members of CMA
during the year 2011-12 was 137.22
mn.t, against 132.88 mn.t in 2010-11
showing a growth of 3.27%. Cement
despatches by Members of CMA during
the year 2011-12 was 179.12 mn.t as
against 168.06 mn.t in 2010-11
showing a growth of 6.58%.
Details of Pan India Performance of
Cement Industry during 2011-12
(including non-Members - Large and
Mini Plants) and Region-wise Capacity
and Production (Large Plants of
Member Companies) are reflected in
Annexure-II.

6

MEETINGS OF THE MANAGING
COMMITTEE AND HIGH
POWER COMMITTEE
Four meetings of the Managing
Committee and three meetings
of the High Power Committee
were held during 201112 to
review and deliberate on the
issues relating to the problems
and growth of the Cement
Industry.
CMA COMMITTEES
The following Committees were
re-constituted to render
assistance to the Management
of the Association during the
year 2011-12 to address various
emerging issues and problems,
affecting Cement Industry.
CMA High Power Committee.
CMA Committee on Coal
Matters.
CMA Technical Committee.
o Energy Task Force.
o Environmental Task
Force.
CMA Finance/ Legal Matters
Committee.
CMA Committee on Railway Matters.
Names of the Chairmen/Co-chairmen
of the above Committees are indicated
in Annexure-III.
CEMENT INDSUTRYs PRE-BUDGET
MEMORANDUM
In November 2011, CMA submitted a
comprehensive Pre-Budget
Memorandum 2012-13 to Honble
Finance Minister. The Memorandum
covered various aspects of the Cement
Industry to ensure high growth.
The main proposals/suggestions made
in the Memorandum include:
Uniform and Specific Rate of Excise
Duty on Cement.
Scrapping of Import Duty on Coal,
Pet Coke, Gypsum & Other Inputs.
Levy of Import Duty on Cement
Imports.

Meeting of CMA Managing Committee in Progress

Meeting of CMA Technical Committee : A view
51
st
Annual Report
7

Waste Heat Recovery to be treated
as Renewable Energy Source.
Abolition of Import Duty on Tyre
Chips.
Classifying Cement as Declared
Goods.
Reduction of basic rate of Custom
Duty in case of Project Import from
5% to 3%.
Besides, CMA also gave suggestion
for consideration of Government
before introduction of GST viz.
Single Rate of Tax, Criteria/process
for availing Input Tax Credit to be
made simple and unambiguous,
Creation of a Common Dispute
Resolution Mechanism throughout
all the States and one common
authority for all the States to be
established for Advance Ruling, after
implementation of GST;
Continuation of various Central/
State level exemptions and
incentives currently under
Excise/VAT laws till the dates of
expiry etc.
In addition to the above, other major
submissions made in the Memorandum
included support required from
Government for Promotion of
Cement/Clinker exports, reduction of
Customs Duty on Imports under EPCG
Scheme, full exemption of import duty
for importing Plant, Machinery,
Equipment etc. for setting up of Solar
Power Plants, inclusion of Limestone
Royalty as part of Drawback, Limestone
Royalty and Duty/Cess paid on
indigenous coal be allowed as
Cenvat/VAT Credit, Cenvat Credit on
Coal Clean Energy Cess, eligibility of
Cenvat Credit on Cement, Steel, Gases
etc. used in relation to business activity
if the same is liable to Excise
Duty/Service Tax, issuance of Circular
clarifying that Education Cess and
Secondary Education Cess is not
leviable on Countervailing Duty(Clean
Energy Cess, Excise Duty) on Coal, CER
sale to be treated as Capital Receipt,
issues relating to Tax Administration
etc.
A Pre-Budget Meeting was taken by the
Chairman (CBEC) on 14th November,
2011. On behalf of CMA, a team of
CMA representatives headed by
Shri MAMR Muthiah, Vice President,
CMA accompanied by Shri S. Chouksey
and others participated in the same. A
Power Point Presentation, based on the
Pre-Budget Memorandum, was made at
the Meeting. Subsequently, in the Pre-
Budget consultation meeting chaired
by the Honble Finance Minister on
13th January, 2012 Shri MAMR
Muthiah, President, CMA, succinctly
brought out the Cement Industrys
suggestions for the Union Budget
2012-13.

8

In April, 2012 CMA represented to the
Secretary (DIPP), Ministry of
Commerce & Industry stressing that as
there are no duties on Cement Imports,
it is only logical that no customs duty
should be charged on the imported
input materials used in the cement
manufacture i.e. on Pet-coke, Gypsum
and other inputs in line with the
established principle that Import Duty
on inputs should not be higher than on
the finished product and requested
Secretary (DIPP) to take up the matter
with appropriate Government
Departments for scrapping the import
duty on Pet-coke, Gypsum and other
input materials used in production of
cement.
Honble Finance Minister, Shri Pranab
Mukherjee, presented the Union
Budget 2012-13 in the Parliament on
16th March, 2012.
Managing Committee Meeting held
on 6
th
January 2012 in New Delhi

Seated on Dais (LtoR) Mrs. Vinita Singhania, Past President, CMA, S/Shri O.P. Puranmalka,
Vice President, CMA, M.A.M.R. Muthiah, President, CMA, and N.A. Viswanathan,
Secretary General, CMA
51
st
Annual Report
9

Managing Committee Meeting held
on 18
th
May 2012 in New Delhi


Seated on Dais (LtoR) Mrs. Vinita Singhania, Past President, CMA, Shri M.A.M.R. Muthiah,
President, CMA and Shri N.A. Viswanathan, Secretary General, CMA

Managing Committee Meeting in progress

10

CMA Managing Committee Meeting held
on 18
th
September 2012 in New Delhi



Members of Managing Committee in serious discussion

Seated on Dais (LtoR) Shri B.L. Jain, Past President, CMA, Mrs. Vinita Singhania,
Past President, CMA, Shri O.P. Puranmalka, Vice President, CMA,
Shri M.A.M.R. Muthiah, President, CMA, Shri N.A. Viswanathan, Secretary General, CMA,
Shri Manoj Gaur, Past President, CMA and Shri H.M. Bangur, Past President, CMA
51
st
Annual Report
11

MAJOR HIGHLIGHTS OF UNION BUDGET 2012-13
RELEVANT TO CEMENT INDUSTRY
The Excise structure on cement manufactured and cleared in packaged form has been rationalized. The
graded Retail Sale Price (RSP) slabs for the purpose of charging Excise Duty on cement manufactured
and cleared in packaged form has been done away with.
Revised Excise Duty Rates on Cement and Cement Clinkers
SN Description of goods
Before Budget
Upto 16.3.2012
After Budget
w.e.f. 17.3.2012
1. Packaged cement manufactured in a mini-cement
plant

(i) Of retail sale price not exceeding Rs.190 per 50 kg
bag or of per tonne RSP not exceeding Rs.3800
10% ad valorem
6% ad valorem
+Rs.120 PMT (ii)Of retail sale price exceeding Rs.190 per 50 kg
bag or of per tonne RSP not exceeding Rs.3800
10% ad valorem
+ Rs. 30 PMT
2. Packaged cement manufactured in a plant other
than a mini-cement plant -

(i) Of retail sale price not exceeding Rs.190 per 50 kg
bag or of per tonne RSP not exceeding Rs. 3800
10% ad valorem
+ Rs.80 PMT

12% ad valorem
+ Rs.120 PMT
(ii)Of retail sale price exceeding Rs.190 per 50 kg
bag or of per tonne RSP not exceeding Rs.3800
10% ad valorem
+ Rs.160 PMT
3. Cement, not cleared in packaged form* 10% ad valorem 12% ad valorem
4. Cement clinker 10% ad valorem
+ Rs. 200 PMT
12% ad valorem
* Corrigendum dated 22
nd
March,2012 to Notification No.20/2012-Central Excise dated 17
th
March, 2012
For the words Cleared in packaged form
read
Cleared in packaged form:
Provided that where the retail sale price of the goods are not required to be declared under the Legal
Metrology (Packaged Commodities) Rules, 2011 and thus not declared, the duty shall be determined as in
the case of goods cleared in other than packaged form
Portland cement has been notified under section 4A of the Central Excise Act. Accordingly, the
value for the purpose of charging duty on packaged cement would be determined on the basis
of the Retail Sale Price.
Abatement of 30% from the RSP has also been notified.
Full exemption from Basic Customs Duty and a concessional CVD of 1 per cent to Steam Coal for
a period of two years till March, 2014.
Increase in Service Tax Rates from 10% to 12%.
GST network to be set up as a National Information Utility and to become operational by August
2012.
Your Managing Committee is happy to report that a few of the submissions made by CMA to the
Honble Minister of Finance, have been accommodated in his Budget Speech.

12

INCREASE IN INPUT COSTS
The year 2011-12, witnessed
substantial increases in the costs of
inputs for cement manufacture
comprising Wages, Cost of Fuel,
Railway Freight, Petroleum Products,
etc.
INFRASTRUCTURE
The Cement Industry provides the
basic material cement for development
of infrastructure like roads, housing,
ports, airports, etc. and heavily
depends on three main inputs viz. Coal,
Power and Railways.
Coal is the main fuel for use in kilns and
power is essential for various
operations of plants. The Railways
provide the logistics support for
inward transportation of coal, gypsum
and other inputs to the cement
factories and for outward movement of
clinker and cement. These key
infrastructure inputs for the Cement
Industry are in the public sector over
which the Industry has no control.
Coal
During the year 2011-12, CMA had
regular interaction with various
Government Authorities on coal-
related issues, such as, sanction of
Long-Term Linkages, problems in
submitting documents against each of
the 16 specified Milestones as per
Letter of Assurance (LOA) issued to
concerned cement plants by the linked
coal company, the issue of signing FSAs,
E-auction, quality of coal, stepping up
the supplies of linked coal and
allocation of coal blocks etc. CMA
representatives also attended meetings
convened by Honble Minister of Coal,
Deptt. of IPP and Ministry of Coal in
connection with matters, such as, New
Coal Supply Policy, Working Group on
Coal & Lignite for XIIth Plan and views
of stakeholders on competitive bidding
of coal blocks as also on enhancing
supply of coal to Cement Industry.
Procurement of total coal/fuel by
Cement Industry
Coal is the key input in the manufacture
of cement and the Cement Industry
depends for its supply on Coal India Ltd
(CIL) and Singareni collieries Company
Ltd (SCCL) through the system of Long-
Term Linkages and FSAs.
Unfortunately, the percentage supply of
linked coal has been progressively
decreasing year after year and,
therefore, to meet the Industrys
growing requirement of coal/fuel, the
Cement Industry has been procuring
the same from other sources i.e.
through coal imports, e-auction/
51
st
Annual Report
13

market purchase, pet coke usage,
lignite and other alternate fuels. This
not only increases the input cost but
also creates an environment of
uncertainty in the matter of coal/fuel
procurement.
The Source-wise break up of various
fuels may be seen in the Table given
below:

Procurement of Fuel by Members of CMA
(Mn.T.)
Year Linked
Coal
Imported
Coal
Coal
Procured
from Open
Market/
E-auction
Pet
Coke
Lignite &
Others
Total Fuel
Procure-
ment
Total Fuel
Consum-
ption
% of Linked
Coal against
Total
Procure-
ment
2002-03 13.34 3.66 0.77 1.04 0.05 17.87 17.83 75
2003-04 13.35 3.18 1.03 1.41 0.11 19.08 18.85 70
2004-05 14.84 3.63 1.27 1.87 0.76 22.37 21.21 66
2005-06 14.81 3.40 1.55 2.16 0.82 22.74 22.39 65
2006-07 14.43 4.96 2.94 2.09 0.83 25.25 25.02 57
2007-08 14.56 6.08 5.00 2.27 0.93 28.84 27.33 50
2008-09 14.29 6.97 6.17 2.41 0.36 30.20 29.57 47
2009-10* 10.79 6.95 4.36 3.92 0.23 26.25 25.80 41
2010-11* 11.90 8.48 4.92 3.18 0.36 28.84 28.06 41
2011-12* 10.45 9.40 4.50 4.69 0.76 29.80 28.30 35
Note: *The figures from 2009-10 onwards exclude two cement companies who discontinued
their Membership from CMA.

Total Consumption vis--vis
Fuel/Coal Procurement
Total fuel consumption by Member
Units, during the year 2011-12 was
28.30 mn.t [19.59 mn.t in Kiln and 8.71
mn.t in CPPs].
The total fuel procurement by Member
Units was 29.80 mn.t in 2011-12 as
against 28.84 mn.t in 2010-11. Details
of year-wise procurement and
consumption of fuel, including for
Captive Power Plants, may be seen at
Annexure-IV.

14

Coal Receipt against
FSA/Linkage
The supply of coal through
linkage was as high as 70%
of total procurement in
2003-04, which has now
come down to 35% in
2011-12.
The steep reduction in
percentage supply has
taken place due to (a)
change in Coal Distribution
Policy due to which only
75% of the normative
requirement of Cement
Industry is to be met through
FSA/linkage, (b) delay in signing of FSA
between LOA Holders (cement
companies) and coal companies, and
(c) delay in sanctioning linkage to
new/enhanced cement capacities.
Coal receipt against FSA/Linkage by
Member Units of CMA was 10.45 mn.t
in 2011-12 as against
11.90 mn.t in 2010-11.
Month-wise coal receipts
against FSA/Linkage are
given in Annexure-V.
It will be observed that
during the year 2011-12,
while the coal supply
through FSA/Linkage by
Member units was only
10.45 mn.t, the total fuel
consumption of the
Member units was 28.30
mn.t, leaving a gap of
17.85 mn.t between the
Trend of Fuel Consumption and Linked Coal Receipts

Note: The figures from 2010-11 onwards exclude two cement
companies who discontinued their Membership from CMA.
Trend of Coal Imports

Note: The figures from 2010-11 onwards exclude two cement
companies who discontinued their Membership from CMA
51
st
Annual Report
15

actual requirement and linked coal
supply.
Coal Imports
The coal imported by Member units
was 9.40 mn.t during 2011-12. In the
Union Budget 2012-13, steam coal has
been fully exempted from the basic
Custom Duty. Most of the coal imports
for cement companies are from South
Africa and Indonesia attracting Custom
Duty @ 5% and 2% respectively upto
31.3.2012, which have been abolished
w.e.f. 1.4.2012. This may financially
help the Cement Industry to some
extent, as around 10 mn.t is being
imported by CMA members only.
Open Market procurement
of Coal/ E-auction
The Cement Industry, because of
shortage of coal/fuel, is obliged to buy
substantial quantities from open
market/e-auction. A total of 4.50 mn.t
of e-auction/open market coal was
purchased during 2011-12 as against
4.92 mn.t during 2010-11.
Pet Coke
A large number of the cement plants
have now been using pet coke as fuel in
the Kilns as also in Captive Power
Plants (CPPs) to some extent. The main
source of supply of pet coke is from
refineries of Reliance Industries Ltd.
(RIL) at Jamnagar and Indian Oil
Corporation (IOC) at Panipat and some
quantity of pet coke is imported from
USA (Gulf). During the year under
review, the Cement Industry consumed
4.69 mn.t of pet coke as against 3.18
mn.t during 2010-11.
The duty on imported pet coke is 2.5%.
However, CMA has been pursuing with
Government authorities to fully exempt
the Custom Duty on pet coke as has
been done for coal imports in the Union
Budget 2012-13.
Pet coke will be also available shortly
from the new refinery of Essar, which
has come up near Jamnagar (Gujarat).
Another refinery is also coming up at
Bhatinda (Punjab).
Lignite
A quantity of about 0.48 mn.t of Lignite
was used as fuel in 2011-12, mainly in
the cement plants of the Southern and
Western Regions as against 0.14 mn.t
during 2010-11. The trend is expected
to continue in coming years as well.
Other Fuels
In view of the increasing requirement
of coal/fuel by the Cement Industry and
reduced availability of the same from
usual sources, the Industry has taken
initiative for using other alternative
fuels like husk/municipal wastes/

16

biomass etc. and
consumed 0.30 mn.t in
2011-12 as against 0.22
mn.t in 2010-11.
Coal Loading by Rail
Average loading of linked
coal for the entire
Cement Industry, during
the year 2011-12, was
1110 wagons FW per
day, as against 1270 FW
per day in 2010-11 i.e. a
decrease of 160 FW per
day over last year.
Requirement of Coal
during 2012-13
For the year 2012-13, the first year of
the XII
th
Plan, a target of 272 mn.t has
been fixed for cement production by
the Working Group on Cement Industry
as per best scenario. For achieving this
target, the Cement Industry, as a whole,
would need about 46.2 mn.t of coal for
kilns. Additionally 17.8 mn.t will be
required for captive power plants i.e. a
total of 64.0 mn.t as estimated in the
Report of Working Group on Cement
Industry.
Given the constraints in supply of
linked coal, the Cement Industry has no
alternative but to continue to procure
substantial quantity of imported coal,
pet coke and open market/e-auction
coal during 2012-13, as coal supplies
against linkage through FSA regime will
continue to be inadequate.
Switch over to New Gross Calorific
Value (GCV) based pricing
mechanism as compared to the
existing Useful Heat Value (UHV)
based prices
As is known, the Useful Heat Value
(UHV) based system of pricing has been
replaced by Gross Calorific Value (GCV)
based system of pricing w.e.f. 1.1.2012.
The range of GCV grades and relevant
prices have also been duly notified by
CIL and SCCL.
Though it was being stated by
authorities that the switch over will be
revenue-neutral, it was found that
Details of Coal Loading by Rail

Note: The figures from 2010-11 onwards exclude two cement companies
who discontinued their Membership from CMA
51
st
Annual Report
17

actually, there was substantial increase
in prices leading to abnormal increase
in the procurement cost of coal. This
resulted in natural resentment among
all the sections of consumers including
cement plants and powerhouses. The
media also came out heavily against
this price rise. On its part, CMA
represented to Honble Minister of Coal
to provide urgent relief to cement
sector/coal consumers, so that the
switch over to GCV system is really
revenue-neutral.
Power Sector, Cement Sector and other
consumers including Coal Consumers
Association of India strongly took up
this matter with Honble Minister of
Coal and others pointing out that :
Coal companies presently do not
have necessary infrastructure like
Automatic Samplers or Auger
Samplers to collect proper coal
samples.
Coal companies do not possess
adequate number of Bomb-
calorimeters for determining GCV.
High ash and moisture % in Indian
coal does not lend itself to
uniformity in sampling and no
attempt has been made to
discount/account for this factor.
The price increase as a result of
switch over is abnormally high
particularly in the lower grades.
Consequently, CIL by its Price
Notification dated 31.01.2012 replaced
the aforesaid new price notification,
whereby coal prices were brought
down by CIL. The revised prices were
made applicable retrospectively w.e.f.
1.1.2012.
Sanction of Long Term Coal
Linkages to New Capacities
It may be recalled that last SLC (LT)
meeting was held in November 2007.
MOC and its senior officers, at various
forums, have been indicating that the
availability of coal vis-a-vis the demand
is getting progressively reduced and as
such MOC is not keen on making new
commitments regarding new long-term
linkages to cement sector.
Consequently, no SLC (LT) meeting for
cement sector has taken place in the
last four years.
In view of the present situation the
availability of linked coal is unlikely to
improve any time soon.
Delay in Signing of FSA for
new units through LOA Route
In the aforesaid SLC (LT) meeting held
on 20th November 2007, about 40 new
units (Brownfield/Greenfield capacity)
were sanctioned Long Term Coal
Linkage and LOAs were issued to them

18

immediately thereafter. LOA holders
were required to submit documents
against each of the 16 specified
Milestones with the concerned coal
companies to enable the cement plants
to sign the FSA.
As per feedback from concerned
members/LOA holders, the required
documents have already been
submitted quite sometime back and
South Eastern Coalfields Limited
(SECL), with whom most FSAs are to be
signed, even held one-to-one meeting
with the concerned LOA holders in
October 2011. Despite this, there has
been no further development. As of
now there are 19 pending cases for
signing FSA; 17 in SECL and one each
in WCL and ECL.
The matter has been taken up several
times with Secretary (Cordn.),
Secretary (DIPP), Secretary Coal,
Chairman, CIL and respective Coal
Companies. There has been no
response so far. CMA will continue to
pursue and hope that the problem gets
resolved.
Auction of Coal blocks
through competitive bidding
It may be recalled that the system of
allocating Captive Coal Blocks was
introduced in 2003 for Power and Steel
sectors and for cement sector, in the
year 2006. As per available
information, a total of 218 coal blocks
were allocated to the various public
and private companies by March 2012.
Taking into consideration the de-
allocated/re-allocated coal blocks, net
allocated coal blocks are 195 in
number. The number of allottees in
cement sector is presently 13 out of
which 11 are CMA members.
Government of India has now
introduced the system of competitive
bidding for allocation of coal blocks.
Therefore, henceforth, all new coal
blocks will be allocated to End-Users
like power, steel and cement sector
through competitive bidding. The bids
are expected to be invited soon.
The Central Government has also now
notified Rules to be followed in the
matter of allocation of coal blocks
through competitive bidding in Gazette
of India dated 2
nd
February 2012,
which involves submission of technical
and commercial bids.
Revision of Rates of Royalty
on Coal and Lignite
The revision of Royalty rates was last
effected from 1.8.2007. As more than 3
years had already passed since the last
revision, the State Governments were
51
st
Annual Report
19

pressing for revision/enhancement of
royalty. MOC constituted a Study Group
on 4.2.2010 under the Chairmanship of
Addl. Secretary Coal.
The Study Group/MOC in consultation
with various stakeholders and after
due deliberations sent the following
recommendations to Cabinet
Committee on Economic
Affairs/Government of India for
approval:
Introduction of an ad-valorem
royalty on coal @14% of price as
reflected in the invoice excluding
taxes, levies and other charges.
The proposed royalty revision not to
be extended to the State of West
Bengal unless the cesses imposed,
are withdrawn. For States other
than West Bengal that levy cess or
other taxes, the revision of royalty
allowed shall be adjusted for the
local cesses or such taxes so as to
limit overall revenue to the ad-
valorem royalty yield.
Introduction of an ad-valorem
royalty on lignite @ 6%.
For the purpose of calculating the
royalty for captive coal mines, the
price of coal produced from captive
coal mines shall mean the basic
pithead price of Run of Mine (ROM)
coal and lignite, as reflected in the
invoices, excluding taxes, levies and
other charges of Coal India Limited
(CIL), Neyveli Lignite Corporation
Limited (NLC) and Singareni
Collieries Company Limited (SCCL)
for similar grades of coal/lignite in
the mine nearest to the captive
mines.
These recommendations have been
approved and a Gazette Notification
revising the rates of Royalty has been
issued effective 10
th
May 2012. With
this, the rates of Royalty on Coal and
Lignite, which were already very high,
have gone up further.
TRANSPORTATION - RAILWAYS
Railway, an ideal mode of transport for
Cement Industry for the outward
movement of finished products cement
and clinker and inward movement of
input materials viz. coal, gypsum,
limestone, fly ash, slag, etc., has been
fast losing its primacy to road
transport, for the last few years. Rail
share of cement which used to be 53%
of the total cement despatches in
1992-93 has come down to less than
34% in 2011-12.
During the year under review
(2011-12), steep increase in the freight
rates, coupled with supply constraints
of wagons, more particularly during
peak period, infrastructure bottlenecks
at terminals, etc. have adversely
affected the cement loading plans of the
cement units. This despite the

20

assurances from the
Chairman, Railway Boards
Office that there would be no
scarcity of wagons for the
Cement Industry and also the
rail-related problems of the
Industry being brought to
their notice by CMA, would
be suitably considered and
eased.
Cement Loading: During the
year 2011-12, Cement
Despatches of CMA Member
Companies by Rail were 60.11 mn.t,
out of the total despatches of 179.12
mn.t, a Rail share of 33.56%. During
the last financial year 2010-11, of the
total despatches of 168.06 mn.t, CMA
Member Companies had moved 58.16
mn.t of Cement by Rail which was
34.61%. Although, in absolute terms,
there has been a growth of over 3% in
the cement loading, but when
considered as a percentage to the total
despatches, there has been a negative
growth. This has been the trend for the
last couple of years which
continued this year too.
Clinker Loading: During
2011-12, CMA Member
Companies despatched 34.06
mn.t of Clinker. Out of this,
18.30 mn.t of Clinker was
moved by Rail i.e 53.73% as
against the Rail share of
50.31% registered during
2010-11 when the Industry
had despatched 16.42 mn.t of
Clinker by Rail out of the
total Clinker despatches of
32.64 mn.t.
Cement Loading by Rail, Road and Sea
from 2007-08 to 2011-12

Clinker Loading by Rail, Road and Sea
from 2007-08 to 2011-12

51
st
Annual Report
21

Cumulative Despatches by Rail
(Cement + Clinker): During 2011-12,
cumulative despatches by Rail were
78.41 mn.t out of the total despatches
of 213.18 mn.t, pegging the Rail share
as 36.78% as against the Rail share of
37.16% in the financial year 2010-11
when the cumulative despatches of the
CMA Member Companies stood at
74.58 mn.t out of the total despatches
of 200.70 mn.t.
Year-wise details of Cement Despatches
by Rail/Road/Sea for the period
1992-93 to 2011-12 and Clinker
dispatches from 2005-06 to 2011-12
are given at Annexure-VI.
Increase in Rail Transportation Cost
The Rail Transportation cost has
significantly gone up further as a result
of the following Policy measures taken
by the Railways:
The Freight Rates for all
commodities including Cement and
Clinker and inputs materials like
Coal, Limestone, Fly ash, and Slag
had gone up by 20% with effect
from 6th March 2012. The effective
average impact on the Industry due
to this hike was 24%.
Development surcharge on all goods
traffic was increased from 2% to 5%
on normal Tariff Rate from 15th
October, 2011.
Busy Season Charge on all
commodities had gone up from 7%
to 10% from 15th October, 2011.
4% increase in freight rates had
taken place from 27th December,
2010
Increase in Terminal Charges for
cement from Rs. 20 per tonne per
terminal to Rs. 40 per tonne per
terminal had taken place from
November 2010.
Steep six times of the normal freight
penalties/wharfage and demurrage
charges were imposed by the
Railways.
CMA had impressed upon the
Authorities in the Pre-Rail Budget
Memorandum that not only the latest
hike in freight rates be withdrawn but
the Classification Slab both for cement
and clinker should also be lowered to
140 from the present 150 Slab so as to
mitigate, to some extent, the additional
burden on Rail transportation of
cement and clinker.
CMA Committee on Railway Matters
In the last one year, the CMA
Committee on Railway Matters, under
the Chairmanship of Shri Kamal
Kishore, met several times to discuss
various Rail-related issues and also
evolve strategies and action plans for
taking them up with concerned

22

Authorities. The Committee is now
being headed by Shri Rajeev Mehta,
Executive President (Logistics),
UltraTech Cement Ltd.
Meetings with and Representations/
Presentations to Railway Officials
During the year under review,
representatives of the Cement Industry
and the Members of the CMA
Committee on Railway Matters had
Meetings with Chairman, Member
(Traffic), Member (Commercial),
Advisors, Executive Directors and other
senior officers of the Railway Board.
Some of the Meetings were attended by
officials from the Zonal Railways also.
In addition, a number of
Representations/ Presentations were
made to them highlighting Industrys
Rail-related problems together
with suggestions for their
amicable solutions. Secretary
and Joint Secretary, DIPP,
Ministry of Commerce and
Industry were also requested,
through representations, to take
up Industrys concerns with the
concerned authorities strongly
and favourably.
Seminar on Problems and
Prospects of Cement
Transportation by Rail
CMA organized a Seminar on
Problems and Prospects of
Cement Transportation by Rail
on 5th December, 2011 in New Delhi.
Shri K.K. Srivastava, Member Traffic,
Railway Board was the Chief Guest on
the occasion. On behalf of Railways,
S/Shri A.K. Patnaik, Adviser (Comml.)
and A.S. Upadhyay, ED TT (F) also
participated in the Seminar.
Member Traffic addressed the
representatives of the Cement Industry
and also responded favourably to some
of their questions raised at the Open
House Session.
During the course of the Presentation
made by Shri Kamal Kishore, Chairman,
CMA Committee on Railway Matters
and also at the Open house discussions
that ensured, the following submissions
were made to the Railways for

Seated on Dais (LtoR) Shri Rajeev Mehta, Executive President (Logistics),
UltraTech Cement Ltd, Shri Kamal Kishore, Chairman, CMA Committee on
Railway Matters, Shri K.K. Srivastava, Member (Traffic), Railway Board,
Shri N.A. Viswanathan, Secretary General, CMA, Shri A.K. Patnaik ,
Advisor (Commercial), Railway Board and Shri A.K Upadhyay,
ED TT (F), Railway Board
51
st
Annual Report
23

redressal so that declining trends in the
Rail share is reversed speedily.
a. Rail Cement Co-ordination Group
(RCCG) and Railways Working
Group on Cement Industry (RWGCI)
whose working have almost become
defunct in the recent past should be
revived, both at Board and Zonal
levels, as early as possible for
addressing the Rail-related issues of
the Cement Industry.
b. Supply constraints of wagons, which
often become acute particularly
during peak period, be resolved and
Industry be ensured consistent and
regular supply of wagons, including
BCN Wagons.
c. Counting of free time for the second
rake, simultaneously placed, be
commenced only after the free-time
for loading/unloading in the first
rake is over as Industry is heavily
paying penalties on this count
without their fault.
d. The inadequate infrastructure
facilities at Terminal/ Goods-sheds
be upgraded on an urgent basis
from the huge Terminal
Development Charges being
collected by the Railways from the
Cement Industry.
e. High capacity BCNHL wagons can be
used effectively only if they are at
least permitted for a two-point
destinations to meet the demand of
smaller markets; corresponding
free-time for such wagons be
increased to 13 hrs. from the
present 9 hrs and also the door
design of existing wagons is
modified to facilitate full loading
capacity through mechanized
means. (Subsequently, the free time
for loading/unloading in such
wagons has been increased to 11
hrs.).
f. Zonal Railways suddenly withdraw
the permitted Two-point Rakes
facility without any prior
information to the users. This
severely affects the despatch plans
of the Cement units. This may be
avoided. Even if it is required on
some operational grounds, cement
units may kindly be informed in
advance.
g. Withdrawal of 2-3 hours of shunting
time permitted to cement plants
earlier may be restored.
h. The high rate of Demurrage and
Wharfage penalties be reduced
suitably.
i. The frequent en-route weighment of
cement and clinker rakes is causing
lot of hardships to the cement
plants. Cement being the excisable
commodity, this may be avoided as
was being done in the past.
j. Railways to impress upon State
Bank of India (SBI) to remove the
anomaly in respect of E-payment
transaction cost being charged a
very hefty of Rs. 750/- per
transaction made through towards
Freight Payment to the Railways
while the transaction cost charged

24

by SBI is only Rs. 50/- per
transaction when the Electronic
Transfer facility is used by the
cement manufacturers to provide
credit facility to their vendors or
associates, even in cases where the
credit amount is matching with the
Railway freight.
k. High cement loaders are mostly
deprived of the incentives being
given for any incremental loading of
cement as it is difficult for such
cement units to enhance any loading
by Rail after reaching to the
saturation level. It was suggested
that some practical benchmark be
fixed for high loaders so that they
can also avail of the benefits of such
incentive schemes.
l. Any Scheme which is announced by
the Railways should be transparent
and customer friendly.
m. Bulk movement of cement and fly-
ash be encouraged by giving
attractive incentives.
n. Under the Wagon Investment
Scheme, the concession on
incentives be provided for the entire
life of wagons i.e. 35 years.
Cement Industry - Pre-Railway
Budget (2012-13)
As in the past, this year also, CMA, on
behalf of the Cement Industry,
submitted its Memorandum to the
Board wherein the following important
submissions were made for
incorporation in the Railway Budget
2012-13:
Adequate funds may be allocated for
the terminals/goods-sheds which do
not have even the basic
infrastructure facilities viz.
approach roads, lights, sheds, etc.
and need immediate up-gradation to
facilitate faster evacuation of
cement and clinker.
Terminal Charges which have been
doubled from Rs. 20 per tonne per
terminal to Rs. 40 per tonne per
terminal from 1st November, 2010
may be withdrawn.
To tap the sizable short lead cement
transportation business from the
road (upto 300 kms. from plants),
there is need to provide attractive
freight rebates to the cement units.
Incentives for the entire traffic that
is moved in empty-flow direction be
accorded.
For any Scheme of the Railways
under which wagons are to be
purchased by the Users, attractive
freight concessions, including
committed supply of wagons, be
provided and that too for the entire
life of wagons i.e. 35 years.
To regulate and rationalise all rail
matters including tariff and
demurrages a Regulatory
Mechanism need to be established.
Your Managing Committee is happy to
report that some of the suggestions/
submissions made by CMA have found
place in the Budget Speech of the
Honble Minister of Railways.
51
st
Annual Report
25

MAJOR HIGHLIGHTS OF RAILWAY BUDGET 2012-13
RELEVANT TO CEMENT INDUSTRY
Freight Terminals
To undertake up-gradation of our goods sheds as also to provide last mile servicing
for freight traffic, Railway Minister proposes to create a Logistics Corporation for
development and management of existing railway goods sheds and multimodal
logistics parks. This Corporation would aim to provide total logistics solutions to
the rail-users, thereby cutting down on their operating costs.
Public Private Partnerships
The existing schemes for Wagons Leasing, Sidings, Private Freight Terminals,
Container Train Operations, rail-connectivity projects (R3-i and R2C-i) are being
made more attractive to PPP partners.
Connectivity to Neighbouring Countries
Construction of Jogbani-Biratnagar and Jaynagar-Bijalpura-Bardibas new lines
already in progress to provide connectivity to Nepal.
Project to connect Agartala with Akhaura in Bangladesh to be taken up in 2012-13.
Railway Tariff Regulatory Authority
There has been a demand from several quarters for setting up of an independent
Railway Tariff Regulatory Authority that will suggest the level of tariffs both for
freight and fares. This is an important area and needs a serious debate. The pros
and cons of the decision are required to be considered carefully. There is no
exclusive body to advise whether an independent regulatory body is desirable.
Railway Minister is, therefore, appointing a body of Experts with representatives of
customers, passengers, trade/industry, and public representatives etc. to examine
this important issue. On receipt of the report and after debating in Parliament a
suitable decision will be taken.


26

POWER
The Cement Industry is highly energy-
intensive in nature. A major chunk of
cement manufacturing cost goes to pay
for power. Cement plants are,
therefore, making all possible efforts to
ensure availability of uninterrupted
and quality power in their
manufacturing operations. To meet this
objective, more and more Cement
Plants are coming up with Captive
Power Plants. There is also a concerted
drive to harness the Kiln waste gas heat
recovery (WHR) potential for
co-generation of power to supplement
the energy needs. Simultaneously the
plants are also leaving no stone
unturned to acquire state-of-the-art
technologies and Computerized Energy
Management Systems (CEMS) to
upgrade the existing operations and
reduce the power consumption.
As a sequel to the best practices being
adopted by the Cement Industry,
cement plants have already touched the
best electrical energy consumption
figure of 67 KWH/ tonne of Cement,
which is comparable to the best
reported figure of 65 KWH/ tonne of
Cement in a developed country like
Japan. As per information available
with the CMA, the Member Cement
Companies have added 400 MW of
captive power generation during the
year under review, taking the total
installed capacity to 3000 MW -
Thermal as well as Diesel based. New
plants are including Captive Power
Plant as Project item itself. In addition,
the Cement Industry has installed Wind
Farms of around 240 MW.
Ironically, even as Industry is making
all out efforts to arrange for availability
of quality power by investing huge
amounts on captive generation, some of
the States are imposing electricity duty
on power consumed from captive
power generation which results in
increase of cost of production of
cement.
The prices of conventional energy
resources are rising higher and higher
and further, greater use of these is
bound to adversely affect the
environment. In order to promote
Renewable Energy (RE) generation,
some of the States (Rajasthan,
Maharashtra) have already made it
mandatory to generate/purchase a
certain percentage of total power
consumption from RE sources.
Cement Industry has already taken
initiatives for setting up Waste Heat
Recovery Project (WHRP). Presently,
the installed capacity of WHR power in
the Industry stands at about 108 MW.
51
st
Annual Report
27

These projects not only conserve fossil
fuels but also help in controlling
greenhouse emissions. Moreover,
these projects have been recognized as
CDM projects by UNFCCC for the
purpose of grant of CERs to incentivize
such additional effort for GHG emission
reduction in developing countries.
Electricity Regulators of some of the
States have recognized WHRP as
Renewable Energy source. The
Ministry of New and Renewable Energy
has given several incentives to
producers of renewable energy
particularly in the field of Solar Power
and Wind power.
In order to encourage Cement Industry
to go for WHRS, CMA in its Pre-Budget
Memorandum requested Government
that such energy generation in WHRP
be treated as Renewable Energy
Source.
EXPORT
The declining trends in the
cement exports continued
during the year under
review 2011-12. This is
despite the fact that Indian
Cement Industry is having
substantial surplus cement
capacity with world-class
production facilities and
technologies.
It is a matter of great concern that
after attaining 9.0 mn.t mark of cement
and clinker exports from India in
2006-07, the exports have been
gradually plummeting and in 2011-12
it touched to 3.48 mn.t, registering a
negative growth of 16.5% when
compared to the last years exports of
4.19 mn.t.
Cement exports have been scaling
down continuously mainly because of
high level of State levies and royalties
for which there is no Cenvat Credit,
infrastructure constraints; high
transportation cost from plants to
border points/ports; in addition to
Governments encouragement for
import of cement with no custom duty,
thus distorting a level playing field
between domestic produce and
imported cement.

(*CMA Members only)

28

In order to encourage exports from
India, CMA made representations to the
Government, from time to time, with
the following submissions:
To enhance global competitiveness
of Indian cement producer, 50%
freight subsidy may be considered
for cement/clinker logistic cost upto
the port/jetty from the
manufacturing unit, as most plants
are located in hinterland.
The State levies and royalties paid
on limestone, etc. should be
neutralized for export of cement.
This is in consistent with the
approach that domestic taxes are
not exported.
Cement /clinker export is subject to
high customs/port/bunker
charges. Exemption from
these charges will give a fillip
for exports.
Investment in private
jetties/ports for export of
cement / clinker result in de-
congesting our National
ports. Therefore, the
investment made for the
creation of such assets
should be allowed a higher
rate of depreciation.
Country-wise cement and clinker
exports during 2010-11 and 2011-12
are given in Annexure-VII.
PROMOTIONAL ACTIVITY:
ADVOCACY AND AWARENESS
GENERATION
Cement Concrete Roads
CMA has, for long, been pursuing
consistently with the Central and State
Governments, Local-Self Governments
and other authorities for construction
of Cement Concrete Roads/White-
Topping in Urban and Rural India, as
also Highways. It has brought out
several technical publications, as a part
of propagation and documentation.
Over the years, National

A View of Cement Concrete Road
51
st
Annual Report
29

Seminars/Workshops have been
organised, inter-active meetings held,
and representations/presentations
made to authorities. These sustained
efforts of CMA have resulted in change
in the mind-set of engineering
fraternity, officers and decision makers
in Government and Semi-Government
Bodies in favour of Cement Concrete
Roads/White-Topping.
In order to intensify and deepening the
efforts of CMA and as a part of an
aggressive awareness campaign, CMA
together with the Nodal Cement
Companies and Cement Companies
having major presence have been
organizing meetings with concerned
State Authorities.
Seminars/Workshops by CMA
During August 2010 to December 2011,
CMA jointly with the Nodal Cement
Companies and active support of the
Cement Companies having large
presence in the State(s) and under
guidance of authorities organized Nine
Experience-Sharing Workshops on
Cement Concrete Roads/White
Topping at Bhubaneshwar (Odisha),
Pune (Maharashtra), New Delhi (Delhi),
Chiplun (Maharashtra), Guwahati
(Assam), Trivandrum (Kerala), Panji
(Goa), Raipur (Chhattisgarh) and
Gandhinagar (Gujarat).
Out of the above, three Experience-
Sharing Workshops on Cement
Concrete Roads/White-Topping
were organised during the year under
review.
CMA jointly with UltraTech Cement
Ltd. (nodal Cement Company for
popularizing Cement Concrete
Roads in Maharashtra, Gujarat,
Karnataka and Goa) organised
Experience-Sharing Workshop on
Cement Concrete Roads/White-
Topping on 22nd December 2011
at Gandhinagar. Shri M.B.
Bhalala, Director, Staff Training
College and Chief Engineer, Roads
& Building Departments (R&B),
Gujarat State inaugurated the
Workshop.
CMA and Lafarge India Pvt. Ltd.,
(Nodal Cement Company for
popularizing Cement Concrete
Roads in Bihar, Chhattisgarh,
Jharkhand and West Bengal States)
had organized Experience-Sharing
Workshop on Cement Concrete
Roads/White-Topping on 24th
September 2011 at Raipur,
Chhattisgarh.

30

Shri P.K. Janwade,
Engineer-in-Chief, PWD,
Government of
Chhattisgarh Inaugurated
the Event in the morning.
Honble Shri Brijmohan
Agrawal, Minister of PWD
joined the Workshop in the
afternoon as Chief Guest
and addressed the gathering.
CMA jointly with UltraTech
Cement Ltd. (nodal Cement
Company for popularizing
Cement Concrete Roads in
Maharashtra, Gujarat,
Karnataka and Goa)
organised Experience-
Sharing Workshop on Cement
Concrete Roads/White-Topping on
8th June 2011 in Panaji, Goa. Shri
J.J.S. Rego, Principal Chief
Engineer, PWD, Government of
Goa Inaugurated the Event.
On the occasion, CMA organised an
Exhibition wherein Exhibits highlighted
Success of the Cement Industry,
Advantages of Cement Concrete Roads,
CMA Publications, etc.
In these Workshops, the participants
evinced keen interest and the
discussions that followed showed open
mind of the Engineers and Officers of
State Governments and other
authorities towards adoption of new
technologies. These Workshops have
been well attended by decision makers,
Senior Officers of Government and
Semi-Government bodies, Stake-
holders, etc. These are not one-off
exercises, but a step in a long and
enduring association to follow in the
cause of creation of world-class
infrastructure.
The focus of these Workshops has,
inter alia, been on Concrete
Roads/White-Topping for Sustainable
and Cost Effective Development,
Construction & Maintenance of
Concrete Roads, Modern Technology in
Concrete Roads and White-Topping,
Shifting of Utilities, Use of CMA
Software for Design. These Experience-
Sharing Workshops have provided an
Experience - Sharing Workshop on Cement Concrete
Roads/White Topping - 24
th
September 2011 in Raipur

Honble Shri Brijmohan Agrawal, Minister of PWD delivering
Address. Seated on the dias (R to L) Mrs. Madhumita Basu,
Sr. Vice President (Mktg), Lafarge India Pvt. Ltd., Shri P.K. Janvade,
Engineer-in-Chief, PWD,Govt. of Chhattisgarh and
Shri Ram Avtar, Chief Consultant (R), CMA
51
st
Annual Report
31

excellent opportunity and useful
interactive platform to all the stake-
holders to exchange valuable
experience. CMA publications on
Cement Concrete Roads were
distributed at the Workshops.
Workshops/ Seminars Co-sponsored
by CMA
During the year, CMA Co-Sponsored/
Participated in the Workshops/
Seminars relating to Concrete Roads,
which were organized by other
Organizations. These included (i)
Joining hands in the Concrete Show
India 2012 held on 23-25 February
2012 in Mumbai and a Two-day
Conference on Concrete organized by
UBM India Pvt. Ltd and Indian Concrete
Institute (ICI) on 23
rd
and 24
th
February
2012. During the Conference, Shri N.A.
Viswanathan, Secretary General, CMA
made a Presentation on Emerging
Trends in the Cement Industry and (ii)
a Two-day International Conference on
Infrastructure in India :Building
Prosperity to Posterity organized by
Jaisubhai Group with the support of
CHEMTECH Foundation, on 19-20
March 2012, wherein Secretary
General, CMA made a detailed
comprehensive Presentation on
Emerging Trends in the Cement
Industry Integral Part of
Infrastructure.
The detailed list of
Workshops/Seminars on Cement
Concrete Technology participated/
sponsored by CMA is at Annexure-VIII.
Presentations/Meetings/
Communication
CMA officials along with
representatives of cement companies
held interactions and organized
presentations with a large number of
Central and State Government officials,
City Development Authorities,
Municipal Corporations, etc. for
promotion of Cement Concrete
Road/White-Topping. The List of
Presentations/ Meetings is at
Annexure-IX.
The Presentations made covered cost
comparison of cement concrete roads
and bituminous roads and other
technical aspects, apprised the
engineers regarding the choice of the
pavement and advantages of cement
concrete roads over bituminous ones,
presented the life cycle and monetary
and non-monetary benefits to the
Government and users and other pros
and cons with advanced technology of
cement concrete pavement in the
construction of roads.
CMA addressed letters to the various
authorities highlighting the advantages
of building road network in cement.
CMA also urged authorities to take

32

policy decision to construct
Urban and Rural
Roads/National Highways/State
Highways and Bus Terminals
with concrete pavement to
avoid regular heavy recurring
expenditure on the maintenance
of bitumen pavements.
Technology Demonstration
Project White-Topping
Enthused by the response and
results of the two demo projects
constructed in Bengaluru and
Jaipur jointly by the few cement
companies represented in the
area, two more new demo
projects are being executed in
Chennai (0.750 km. and
Hyderabad (1.0 km). The
Chennai project is reported to
be almost nearing completion.
NHDP Projects
CMA has impressed upon the
concessionaires/ contactors to whom
NHAI has recently awarded the
projects under NHDP Phase III, V and
VII to consider adoption of cement
concrete roads for these projects. An
offer to work out for them the
comparative cost economics of cement
concrete and bituminous pavements on
getting certain requisite inputs had also
been made. Two companies viz SEW
Infrastructure Ltd., Hyderabad and
Punj Lloyd Ltd. have requested for the
cost economic details. Accordingly,
CMA has been taking further necessary
action in the matter.
CMA has provided the list of NHDP
Phase III, V and VII works awarded by
NHAI and also the detailed addresses of
the contractors/ concessionaires to the
Nodal Officers. Nodal Officers have also
been requested to impress upon the
Technology Demonstration Project

White-Topping at Jaipur

White-Topping at Bengaluru
51
st
Annual Report
33

contractors/concessionaires to opt for
cement concrete pavement in projects
awarded to them.
Cost Comparison
CMA and respective Nodal Cement
Companies are carrying out for the
interested agencies cost-comparison
between bitumen and cement concrete
roads, both initially and on life cycle
cost basis, through the Software
developed by CMA
Tenders Notices for Cement
Concrete Roads
CMA has been obtaining details of the
tender notices for construction of
cement concrete roads floated by
various Government and other
Authorities and passing them on to the
construction agencies. While
requesting them to take proper quality
control measures, CMA has been
distributing its publication DOs and
DONTs to them.
Publications
White-Topping of Roads Concrete
Overlay Technology
To mark the Golden Jubilee of CMA,
CMA brought out a revised and
enlarged Publication titled White-
Topping of Roads Concrete Overlay
Technology, to account for the
progress achieved and the strides made
in the field of White-Topping since the
earlier publication of 1994, and also to
update our constituents, about another
emerging technique of Thin White-
Topping.
The Publication was released by Shri
P.K. Chaudhery, Secretary (DIPP),
Ministry of Commerce and Industry,
who was the Chief Guest at CMAs 50th
Annual Session held on 6th January
2012 at New Delhi.
Cement Concrete Roads
Construction, DOs and DONTs
CMA had brought out the Booklet
Cement Concrete Roads
Construction, DOs and DONTs in June
2009, wherein the precautions
required to be taken for a top quality
construction were highlighted. The
spark for this idea had come from the
then Secretary (DIPP), Ministry of
Commerce and Industry, Shri Ajay
Shankar, who had while commending
the advantages of Cement Concrete
Roads, also suggested bringing out the
Booklet.
Encouraged by the tremendous
response the earlier booklet received,
your Association revised and updated
Cement Concrete Road Construction
- DOs and DONTs in May 2011,

34

incorporating DOs and DONTs
specific to White-Topping as
well in the Booklet.
Impact of CMAs Activities
CMA is happy to report that
looking to the quality of work of
demo projects constructed last
year and the white-topping
work by Municipal Corporation
of Greater Mumbai (MCGM),
Honble Minister of Works,
Government of Kerala evinced
keen interest in adopting White-
Topping technology in Kerala State. At
his instance, CMA organised a visit of
the Minister and his team to see the
white-topping work done by the
Mumbai and Thane Municipal
Corporations when the team also had a
detailed interface with Chief Engineers
and other officers of both the
Corporations.
It is heartening to report that Chennai
Municipal Corporation, Bengaluru
Municipal Corporation and also Public
Works Department, Delhi have
finalized appreciable lengths of roads
which are to be white topped. The
work on certain stretches in Delhi has
already been commenced. Besides,
various other agencies involved in the
road construction in Noida, Pune,
Indore, Gurgaon, etc. are seriously
contemplating to go in for white-
topping/cement concrete roads in the
areas under their respective domain.
About 47,000 kms internal roads in
villages have already been constructed
in Uttar Pradesh, Odisha, Karnataka,
Maharashtra, Andhra Pradesh, Tamil
Nadu, Gujarat and more such road
projects are being planned.
Your Managing Committee is hopeful
that more and more Cement Concrete
Roads and White-Topping Projects
would be adopted by the Authorities in
the country, looking to its various
inherent advantages and contribution
for the growth of the economy.

Shri Aseem Gupta, Addl. Municipal Commissioner (E.S.), MCGM
presenting a set of publications ( STAC Report and Manuals
prepared by MCGM on Roads) to Honble Shri Ebrahim Kunju,
Minister (Works) Government of Kerala.
51
st
Annual Report
35

TECHNICAL MATTERS
As a follow-up to the aggressive steps
undertaken during the year by the
Government Bodies in implementing
energy conservation and
environmental protection policy
measures in the Indian Cement
Industry, CMA too took pro-active steps
in working in tandem with the
Government.
Energy Efficiency
On the Energy Front, the Gazette
Notification of the Bureau of Energy
Efficiency regarding implementation of
the PAT (Perform, Achieve and
Trade) Scheme was issued by the
Ministry of Power, Government of India
on 30th March, 2012. With this
Notification, the Indian Cement
Industry, as one of the eight designated
sectors (energy-intensive) has to
comply with the apportioned target of
reduction in specific energy
consumption, assigned plant-wise with
respect to the baseline in the 1st cycle
(2012 -2015) of the Scheme. Indian
Cement Industry played a leading role
in shaping the PAT scheme for
implementation. CMA Technical
Committee has been having detailed
discussions from time to time with BEE
for removing major bottlenecks to
arrive at a realistic formulation of an
implementable scheme. One of the
major initiatives in this regard was
undertaken by the CMA Technical
Committee in commissioning of a study
jointly by NCB and Acropetal
Technologies on Techno-Economic
Modelling of Cement Industry on PAT
Scheme, the Final Report of which was
duly presented by the Secretary
General, CMA to the Director General of
BEE through a presentation at BEE
Head Quarters, New Delhi on 16th
September, 2011 in presence of the
Technical Experts from both sides.
Based on the outcome of the
recommendations of the study and the
discussions with BEE and subsequent
meetings of BEEs Sectoral Experts
Committee, most of the issues
concerning the implementation of the
scheme were sorted out, and for the
remaining few issues particularly
regarding normalization/ correction
factors, etc, a sub-committee for
normalization has been constituted by
BEE which shall look into and decide on
a case-to-case basis.
Environment
The Cement Industry has all along been
co-operating with the authorities in
right earnest. Lately, with a view to

36

helping Central Pollution Control Board
(CPCB) to evolve realistic emission
norms for SO2, NOx and load-based
emission standards for particulate
matters for the cement plants, CMA,
based on feedback from Member
Companies, had provided all necessary
and relevant inputs/data to the Board.
In this regard, CPCB got a Study
conducted through NCB (National
Council for Cement and Building
Materials), and organized several
stakeholders consultation meetings to
discuss the outcome of this Study with
CMA and the Cement Industry before
proposing the norms. In the absence of
any emission norms in the country as
to above parameters, CMA represented
that the parameters be monitored
under different conditions of cement
plant operations and then only
pragmatic emission norms be worked
out, considering the various technical
aspects of technology vintages, raw
material and fuel qualities etc. and also
keeping in view the availability and
adaptability of advanced pollution
control technologies under our
conditions in the backdrop of
sustainability issues. CMA, therefore,
sought for necessary time before
arriving at any stringent norms and
pressed for relaxed emission norms to
begin with, for its phase-wise
implementation. After a series of
meetings held at CPCB HQs, CPCB
proposed the following norms:
NOx : 1000 mg/Nm
3
for the present,
and 800 mg/Nm
3
after 3 years
for existing plants;
600 mg/Nm
3
for new plants
(Processed/Cleared after
Notification).
SO2 : 100 mg/Nm
3
(at 10% O2) from
date of Notification;
50 mg/Nm
3
(at 10% O2) after
one year;
To be case-specific for plants
with raw material sulphur
content >0.25%.
Load Based : To be derived using a
(Particulate gas volume of 2.5
Matter) Nm
3
/kg of clinker.
Subsequently, a number of plants
expressed their reservations in meeting
the above norms. Consequently, CMA
has once again approached CPCB to
revisit the issue and consider the
Industrys views/representations again
before proceeding further and also to
consider comparatively relaxed
emission norms to make a beginning.
Bureau of Indian Standards (BIS)
On Quality issues, in the 19th Meeting
of Cement & Concrete Sectional
Committee, CED 2 of BIS held in BIS
HQs, New Delhi, on 19th & 20th April,
51
st
Annual Report
37

2012, in joint session with 18th
Meeting of Cement, Pozzolana &
Cement Additives Sub-Committee, CED
2:1, and 17th Meeting of Concrete Sub-
Committee, CED 2:2, BIS finalized the
revisions in respect of all the three
grades of OPC in line with the
recommendation by the Panel, CED 2:1.
Members will be glad to know that
along with these revisions, the much
awaited CMA proposal of raising the
SO3 limit in cement from 3 to 3.5 % has
finally been approved by BIS.
Other Initiatives
Use of Alternate Fuels: With reducing
availability and quality of fossil fuel
Coal, an ever-increasing need has
arisen to find avenues for using
alternate fuels. Cement Industry,
having demonstrated capability of
providing safe, ecologically sustaining
and environmentally sound solutions
for the management of both Municipal
and Industrial Hazardous as well as
Non-hazardous wastes, can effectively
supplement these efforts of waste
management in the country in an
economically viable and effective
manner. CPCB has already identified a
large number of such wastes and has
also provided necessary guidelines for
their use in Cement plants. While the
Cement Industry has equipped itself for
using these wastes as a part
replacement of coal, the actual usage is
still less than 1%. This nominal and
minimal usage is mainly due to non-
availability of adequate/assured
quantity of such alternative fuel near to
the plant locations, besides some
contentious regulatory issues involving
restrictions in the inter-state
movement of these materials. While the
utilization of used tyres is well
established, its adequate availability is
posing a big problem including
permission to import. CMA undertook
further initiatives during the year to
widen the knowledge base to further
explore the feasibility of increasing the
usage of alternate fuel in the Indian
Cement plants.
Under a CMA-CII Joint Project on
Enhancing the Usage of Alternate Fuels
in the Cement Industry, a 14-member
Indian delegation comprising
representatives from Central and State
Pollution Control Boards, CII, CMA and
the Cement Industry visited plants in
Europe during December 8 14, 2011
to have a first-hand experience on the
status of actual high usage of various
alternate fuels. The information so

38

gathered was disseminated to the
Members of the CMA Technical
Committee. Picking upon the
momentum gained, further efforts were
made in this direction, and CMA
representatives held consultations with
GIZ India who expressed their
readiness to extend necessary
cooperation and technical support
particularly in the usage of tyre chips.
As a sequel to this, the Consulting
Agreement between Institute for
Industrial Productivity (IIP), a non-
profit International Organization with
Headquarters at Washington, and CMA
for the IIP funded Project for Increasing
the Use of Alternate Fuel and Raw
Materials (AFRs) in the Indian Cement
Industry (Phase-I) has since been
jointly signed for proceeding ahead
with CMA as the Anchor for the Project.
The Project has M/s Holtec and
independent Consultant Ex-Member-
Secretary, CPCB as team Members.
CMA CSI Collaboration: CMA has
now become Communication Partner of
Cement Sustainability Initiative (CSI),
which is a joint contribution of Ten
major cement companies to sustained
development under the Geneva Based
World Business Council for Sustainable
Development (WBCSD).
Becoming a Communication Partner
with CSI would enable CMA to
participate in Annual CSI
Forum/Activities. This will also result
in knowledge-sharing through CSI
worldwide network of studies, in-plant
learning opportunities of Industry good
practices.
The partnership will also enable CMA
to expand the scope of its sustainable
development activities by providing us
with an international collaborative
platform to share good practices, and
share all tools, guidelines, protocols etc.
developed. CSI should enable CMA to
complement its national work on
behalf of the Indian Industry as a
whole.
CMA will also benefit from CSI
furnishing regular information about
the agreed commitments taken by CSI
Members for enabling CMA Members to
emulate the same. Under this
arrangement, CSI will also help and
support the activities of CMA on
sustainable development.
Green Procurement: Under the
project on Green Public Procurement
(GPP), CII had sought the views of the
concerned stakeholders for the
proposed guidelines for the
procurement of the products covered
under the study viz., Paper,
51
st
Annual Report
39

Pharmaceuticals, Electric Appliances,
Water Cooler Purifier, Public Works
(Cement/Bricks/Steel), IT equipment,
Office Furniture, Lighting and Mobile
Phone. CMA provided its comments on
the Eco-mark Cement besides the
consideration for Energy Consumption
data generated under PAT Scheme,
Emission Norms, Fly Ash/ Slag
Content in Cement and
Technology. CMAs comments
have since been incorporated in
the Draft Report submitted by
CII to MoEF.
CMA Technical Committee and
Task Forces
The Technical Committee and
the two Task Forces on Energy,
Environment held regular
Quarterly joint meetings during
the year [49th Meeting on 10th
June 2011 (Ahmedabad), 50th
Meeting on 17th October 2011
(Kolkata), 51st Meeting on 7th
January 2012(Chennai)].
CMA Technical Committee was
specially privileged to be
addressed by Shri M.A.M.R.
Muthiah, our President in the
51
st
Meeting at Chennai,
immediately following his
taking over the Leadership of
the Association.
Representatives from plants in their
respective regions attended these
meetings enabling thereby
dissemination of information and
discussion on technology-related
regulatory issues and in reaching
widely converging decisions. Since the
CMA Technical Committee meets only

A snapshot of the 51st Meeting of CMA Technical Committee
held in Chennai, on 7
th
January 2012


52nd Meeting of CMA Technical Committee in progress
at Hyderabad on 6
th
April 2012

40

once in a quarter, it was felt that small
Sub-Groups of the Technical Committee
may be constituted to go into the
details of the decisions taken in the
quarterly meetings to ensure their
follow up and review the status of
progress on the various decisions taken
in the Technical Committee.
Accordingly, two Sub-Groups on BIS
Quality and Environment were
constituted. Both these Sub-Groups
held a series of meetings between
January and March 2012. These
forums of Sub-Groups have enabled
CMA to effectively crystalize and
consolidate the Industrys approach to
different technical issues and to
articulate our response in a concerted
manner to the authorities on a case-to-
case basis.
Technological Information
Dissemination & Publications
During the year under review, CMA
published three issues of the Quarterly
Journal, Cement, Energy and
Environment, covering the periods
April to June, July to September,
October to December 2011 and January
March 2012 (the last one published
as a Special Issue to commemorate the
Golden Jubilee of CMA).
The Journal continues to serve as an
excellent medium of communication
amongst the ground level technical
personnel and executives of the
Member Cement Companies on rapidly
advancing spheres of technology and
developments across the world
including energy, environment, climate
change and sustainability issues
bearing huge impact on the Cement
Industry. Articles from eminent
National and International Experts
dealing with these subjects are
regularly published. Alongside, there
are regular insertions of summary of
important articles, news briefs and
events summary culled from reputed
journals, published brochures,
monographs of companies across the
world, daily, weekly and fortnightly
newspapers and news magazines on
these topics.
A major part of the Journal is also
hosted on the CMA website
(www.cmaindia.org) for easy access by
readers in the Industry.
The Journal also plays an important
role in maintaining a regular linkage
and communication with other
International Cement Associations.
Seminars & Conferences
During the year, CMA jointly organized
the following Events with a view to
promoting and sharing new
developments and technical
51
st
Annual Report
41

innovations with different stakeholders
in the long-term interest of the
Industry:
On the occasion of 12
th
NCB
International Seminar on Cement
and Building Materials, NCB-CMA
jointly brought out a publication
Indian Cement and Construction
Industry Outlook and Vision 2020
The publication focussed on issues
relating to global economic scenario,
challenges and outlook for the
cement and construction industries
in India to achieve the milestones
set in the vision 2020. CMA was also
one of the sponsors in the
International Seminar.
As a part of the CMA & CII Joint
Initiatives on increasing AFR usage
in Cement Industry, a Workshop on
Waste to AFR
(Alternative Fuels &
Raw Materials) & Co-
processing in
Cement Plants was
organized on 23
rd

November 2011 at
Jaipur. On the
occasion, in his
Special Address,
Secretary General,
CMA, elaborated on
CMA Initiatives in
the Cement
Industry. This was followed by a
Technical Presentation by
Consultant (Technical), CMA, on
Alternate Fuel Usage in Cement Kiln.
More than 150 people from Cement
Plants and Head Quarters of Cement
Companies participated and
benefited from the interaction. The
Workshop was also addressed by,
among other, the Chairman, Central
Pollution Control Board, Chairman,
Rajasthan, PCB.
CMA-CII Godrej GBC (CII Sohrabji
Godrej Green Business Centre) have
been jointly organizing the Annual
International Conference on Cement
Technologies Green Cementech for
the past four years. This year, the 8
th

Green Cementech was held on 24 &
25 May 2012 at Hyderabad.

Shri M.A.M.R. Muthiah, President, CMA delivering his Special Address
at Green Cementech

42

CMA President, Shri MAMR Muthiah
delivered a Special Address at the
Inaugural Session. The Technical
Sessions, which followed, covered a
variety of topics, such as Energy
Efficiency in Pyro-processing; Waste
Heat Recovery Systems;
Environment Management; Climate
Change & Carbon Mitigation;
Alternative Fuels & Raw Materials
Utilization in Cement Industry, etc.,
apart from the Case Studies on PAT.
CMA President, Shri MAMR Muthiah
also participated in the Second
Global Investors Meet (GIM) held on
7
th
& 8
th
June 2012 at Bengaluru.
The Investors Meet showcased the
investment potential of the State in
various sectors and brought
together business leaders, investors,
corporations, thought leaders, policy
and opinion makers, wherein Shri
Muthiah also delivered a Speech on
the occasion, appreciating the
efforts of the Karnataka
Government, for creating a forum,
which would result in a win-win
situation for all the Stakeholders.
A detailed list of Seminars/Workshops/
Conferences on Technical Matters
sponsored and participated by CMA are
given at Annexure-X.
JUTE PACKAGING FOR CEMENT
INDUSTRY
During the year under review, cement
continued to be out of the list of
commodities to be packed in jute bags.
COMPETITION COMMISSION OF
INDIA
(i) Case No. 29/2010; and
(ii) RTPE No. 52/2006 filed by
Builders Association of India
The Office of the Director General,
Competition Commission of India had
issued summons and examined
President, CMA on 13th April, 2011 in
Case No. 29/2010 and RTPE
No.52/2006.
In June, 2011 CMA received copies of
two Investigation Reports in the above
matters from Competition Commission
of India as submitted by the Director
General on complaint/information filed
by Builders Association of India for
filing reply/objections within three
weeks of receipt of the report.
Even as CMA had prepared the
reply/objections and was about to
appear before the Commission through
authorized representative(s) on
16.08.2011, as directed, the
Commission vide its Order dated
08.08.2011 directed that parties need
not file their respective replies/
objections to the reports of the DG
which were supplied to them in Case
No. 29 of 2010 and RTPE No. 52 of
2006 till further order(s) of the
Commission in the light of certain
51
st
Annual Report
43

technical, legal and procedural
deficiencies raised by some of the
Opposite Parties. It was also ordered
that each of the parties to whom the
reports of the DG were supplied by the
Commission in the above matters shall
destroy such reports including any
copies thereof that may have been
made by the parties and to furnish an
undertaking that the above directions
have been complied. Alongside, the DG
was directed to submit the public
version (non-confidential version) of
the reports in accordance with the
General Regulations to the Commission
within a period of 7 days.
In compliance of above directions, the
required undertaking was furnished to
the Competition Commission by the
CMA Secretariat after destroying all
copies of the Reports.
In December 2011, the Competition
Commission sent to CMA a copy each of
the Investigation Report (non-
confidential version) filed by the
Director General for filling CMAs
response/objections, if any, within two
weeks of the receipt of their letter. The
Commission also directed CMA to file
the Profit & Loss Account and Annual
Balance Sheet of the Association for the
last three financial years (i.e.2008-09,
2009-10 and 2010-11). Further, the
Commission also directed the parties of
both sides to appear before the
Commission for oral hearing, if they so
desire, on 17.01.2012 and 18.01.2012.
In Compliance, CMA submitted in
January, 2012 its reply to the Reports
along with Income & Expenditure
Account and Annual Balance Sheet of
CMA for the last three financial years
(i.e. 2008-09, 2009-10 and 2010-11)
with the Commission (hard as well as
soft copies). The matters were listed
on 17th January, 2012. Since many
Respondents had not filed their replies
the cases were adjourned to 21st, 22nd
and 23rd February, 2012 for oral
hearing.
Since the matter involved substantial
issues, CMA engaged Senior Counsel,
Shri Ashok Desai for presenting the
Associations case before the
Commission. As directed by the
Commission, Shri Pramod Agarwala,
Advocate, CMA submitted written
submission, on behalf of CMA, with the
Commission on 7th March, 2012
capturing the points brought out by
CMAs Senior Counsel/Counsel before
the Commission during the oral hearing
on 21st and 22nd February, 2012 in the
above mentioned cases.

44

The Competition Commission of India
vide its Order dated 20.06.2012 in case
No. 29/2010 held 10 Cement
Companies viz.(i)ACC Ltd. (ii) Ambuja
Cements Ltd. (iii)Binani Cement
Ltd.(iv) Century Textiles Ltd., (v) India
Cements Ltd(vi) J K Cement Ltd, (vii)
Lafarge India Pvt. Ltd. (viii) Madras
Cements Ltd. (ix)Ultratech Cement Ltd.
(x) Jaiprakash Associates Ltd. guilty of
limiting and controlling supplies in the
market and of determining prices
through anti-competitive agreement
detrimental to the cause of consumer
and the economy and found CMA guilty
of providing a platform for exchange of
information on production and prices
of the competing parties.
Based on above, the Commission
imposed penalty of 0.5 times of their
net profit for 2009-10 and 2010-11 on
above 10 cement companies. In case of
CMA, the Commission has imposed a
penalty of Rs.73.00 lakh. In addition,
Commission issued following
directions:
(i) The Opposite Parties should Cease
and Desist from indulging in any
activity relating to agreement,
understanding or arrangement on
prices, production and supply of
cement in the market;
(ii) CMA should disengage and
disassociate itself from collecting
wholesale and retail prices through
the member cement companies and
also from circulating the details on
production and dispatches of
cement companies to its members;
and
further directed that compliance of the
directions, as above, should be ensured
within 90 days of receipt of the Order.
The Commission further clarified that
the directions are limited only to this
case and is independent of any other
information, which may be filed
subsequently and also independent of a
decision in case No. 52 of 2006 pending
before the Commission.
In line with the Managements decision
that CMA should strongly contest the
Order of the Commission and move for
filing an Appeal pressing for complete
Stay of the operation of the
Commissions Order, CMA engaged
Senior Advocates S/Shri Mukul Rohatgi
and Nageswara Rao for settling the
Appeal and arguing the same before the
Competition Appellate Tribunal (CAT)
on behalf of CMA.
The Appeal filed by CMA against the
CCI order dated 20.6.2012 in Case No.
29/2010 was taken up by the
Competition Appellate Tribunal on
51
st
Annual Report
45

13.09.2012. Shri Mukul Rohatgi, Senior
Advocate and Shri Pramod Agarwala,
Advocate appeared before the Tribunal
on behalf of CMA.
After hearing the concerned parties the
Ld. Presiding Officer issued notice on
the Appeal to the Respondents
returnable for 11th October, 2012 and
observed that till then no coercive
action for recovery of penalty be taken
against the Appellant. The matter was
heard on 11th October, 2012. The
Presiding Officers after hearing the
parties directed the Competition
Commission of India (CCI) to supply the
data withheld in its Order dated
20.6.2012 and allowed the Appellants
leave to file amended Appeal, if any,
within two weeks from the date of
receipt of CCIs amended order. The
CCI was also allowed two weeks
thereafter to file its counter from the
date of receipt of a copy of the
amended appeal. The matter has now
been fixed for 6th December, 2012.
In Case No. RTPE 52/2006 the
Competition Commission in its Order
dated 30.07.2012 mentioned that
parties in Case No. 29 of 2010 and in
the present case are the same except
M/s. Shree Cement Ltd., which was not
a party in Case No. 29 of 2010. In the
Order, the Commission held 11 cement
manufacturers, including Shree Cement
Ltd and CMA guilty of contravention of
the provisions of section 3(3) (a) and
3(3)(b) read with section 3(1) of the
Act. The Commission imposed a
penalty on Shree Cement Ltd at the rate
of 0.5 times of its profits for the years
2009-10 and 2010-11 aggregating to
Rs.397.51 Crores. With regard to other
companies and CMA, the Commission
said as they were fined in earlier case
(29/2010) it was not imposing any
penalty on them again for the same.
The Commission also directed M/s.
Shree Cement to Cease and Desist
from indulging in any activity relating
to agreement, understanding or
arrangement on prices, production and
supply of cement in the market. The
Commission directed that M/s. Shree
Cement should deposit penalty amount
within a period of 90 days from the
date of receipt of the Order and also file
an undertaking in compliance of above
direction within same period.
Since the Commission held CMA guilty
in the instant case also, CMA filed
Appeal in this matter also before the
Competition Appellate Tribunal on
27th September 2012.
The Appeal in the matter was heard on
1st November, 2012 along with
Appeals filed by other parties. While

46

listing the matter for 22nd November,
2012 the Tribunal directed issue of
notice on the appeals returnable before
that date.
Your Managing Committee is hopeful
that the Competition Appellate
Tribunal will consider the facts placed
by CMA in the Appeals favourably and
Set aside the Orders of the Commission.
SERVICE TAX
As already reported last year, CMA had
received a Show Cause Notice (SCN) in
October, 2010 from Commissioner
Service Tax, New Delhi stating that the
amount recovered by the CMA as
Subscription (during 2005-06 to
September, 2009) are in the nature of
value of taxable services provided by
the Association to its clients in terms of
provisions of the Service Tax Act and
Rules.
Therefore, CMA was required to Show
Cause to the Commissioner, Service
Tax, New Delhi as to why Service tax
amounting to Rs.3,84,07,363/- should
not be demanded and recovered from
CMA along with interest and penalties
applicable under various sections of the
Finance Act, 1994. The matter was also
brought to the notice of the Managing
Committee at its meeting held on 3rd
December, 2010.
In response, CMA filed its reply, duly
drafted/vetted by M/s.
Lakshmikumaran & Sridharan, Legal
Experts to the SCN with the
Commissioner, Service Tax, Delhi, in
June, 2011. CMA has not heard
anything till date on the reply.
Subsequently, as opined by M/s.
Lakshmikumaran & Sridharan and Shri
N Venkataraman, Chennai based
Advocate, CMA registered itself with
the Service Tax Department in
September, 2011 for payment of
Service Tax on Membership
Subscription. After registration, CMA
has been collecting Service Tax from
Members on Membership Subscription
and depositing, under protest, with the
Service Tax Department regularly.
On 24th April, 2012, Superintendent,
Service Tax Department, Delhi visited
CMA, Noida Office and served a fresh
Show Cause Notice to CMA assessing
the Membership Subscription Amount
and based on their best judgment, for
the subsequent period, that is Oct.2009
to Sept.2011 (presumably for the
period prior to Registration), as
Rs.62,48,13,936/- and worked out
Service Tax including Cess as
Rs.6,43,55,835/-. Applying best
judgment assessment u/s 72 of the
Service Tax Chapter V of the Finance
51
st
Annual Report
47

Act,1994, and enhancing by 25%
notional growth for the period
1/10/2009 to 30/9/2011 for every half
year on the above figures. Service Tax
Department has worked out the above
figures.
As against the assessed demand of
Service Tax Department, as per our
records, between Oct.2009 and
Sept.2011, CMA received an amount of
Rs.7,81,61,071/- towards Membership
Subscription, out of which
Rs.2,09,50,000/- was received after
Registering the Association with the
Department, and, on this amount CMA
had collected and deposited the Service
Tax with the Authorities.
Hence, for the relevant period under
notice, that is, Oct.2009 - Sept.2011,
CMA, in fact, received just
Rs.5,72,11,071/- on which Service Tax
had not been collected and
consequently not deposited with the
Authorities. Service Tax including Cess
on this amount @ 10.3% works out to
just Rs.58.92 lakhs as against the huge
Rs. 643.55 lakhs worked out and
demanded by the Service Tax
Department on the basis of their best
judgment.
CMA engaged M/s. Lakshmikumaran &
Sridharan, who have been handling our
Service Tax matters, for drafting
suitable reply to this SCN as well and
briefed them on all aspects.
The reply to the SCN, as drafted by M/s.
Lakshmikumaran & Sridharan, was
filed by CMA with the Commissioner,
Service Tax, Delhi in August, 2012.
The Office of the Commissioner, Central
Excise & Service Tax, Panchkula vide
their communication dated 21.8.2012
informed us that in terms of Orders
dated 28.05.2012 issued by Chief
Commissioner, Central Excise, New
Delhi our above mentioned SCNs have
been transferred to Commissioner,
Central Excise, Panchkula. The
personal hearing in the matters was
fixed on 11.09.2012 in Panchkula
which was attended by the Advocate of
M/s. Lakshmikumaran & Sridharan.
The Commissioner, Central Excise and
Service Tax, Panchkula vide his Order
dated 31.10.2012 has confirmed
Service Tax amounting to
Rs.1,24,78,600/- (including Cess) in
respect of Show Cause Notice
(SCN) C.No.1-26(494)ST/Adt./Gr.-BIII/
CMA/09, dated 21.10.2010 for the
period 1.04.2008 to 30.09.2009; and
Service Tax amounting to
Rs.72,98,813/- (including Cess) for the
period 1.10.2009 to 30.09.2011 in

48

respect of Show Cause Notice C.No.
D-I/ST/R-V/CMA/SCN/42/2012/6607,
dated 20.04.20012, reducible by
Rs.21,57,850/- as tax liability subject to
the verification of the amount
deposited by CMA. Additionally,
demanded interest on the above
confirmed amount under Section 75 of
the Finance Act, 1994 and Penalty of
Rs.10,000/- have been imposed under
Section 77 of the Act in addition to
Penalty of Rs.1,24,78,600/- and
Rs.72,98,813/- in respect of the first
and second Notices respectively. This
works out to a total amount of
Rs.3,52,49,126 besides interest as
against the notices for the amount of
Rs. 10,27,63,198/- plus penalty and
interest.
Your Association has taken steps for
filing an Appeal, in both the cases in
consultation with our Advocate.
INDUSTRIAL RELATIONS
Your Managing Committee is glad to
report that the Industrial Relations in
the Member Cement companies
continued to be cordial, harmonious
and healthy during the period under
review.
WORKING GROUP ON CEMENT
INDSUTRY FOR XII FIVE YEAR PLAN
As mentioned in the last years Report,
Planning Commission (Industries
Division) by its Office Memorandum
dated 29th April 2011 constituted a
Working Group on Cement Industry for
the XIIth Five Year Plan (2012-2017)
under the Chairmanship of Secretary,
Department of Industrial Policy &
Promotion (DIPP), Ministry of
Commerce and Industry with other
stake holders including President,
Cement Manufacturers Association as
Member.
The above Working Group had
constituted the following Sub-Groups
to look into the various aspects of the
Industry.
Sub-Group I
Macro overview of Cement
Industry and Measures for
Demand Stimulation in Housing,
Infrastructure and Concrete
Roads
Sub-Group II
Productivity, Technology,
Environment, Sustainability,
Standards, Skill Development and
Research and Development
(R&D)
Sub-Group III
Taxes and Capital Funding
Sub-Group IV
Logistics including Railways and
Issues related to Raw Materials,
Fuel, Fly ash, Minerals Rights and
Land Acquisition
51
st
Annual Report
49

Your Managing Committee is happy to
report that CMA had actively
participated in all the meetings of the
four Sub-Groups and had also
contributed significantly at every stage,
from formulation to finalization of the
Report. All major concerns of the
Industry in respect of creation of more
cement demand; possible solutions to
infrastructure constraints (coal, power
and transport); technical and
environmental bottlenecks; high
Government levies, etc. have been
appropriately addressed and effective
recommendations have also been made
in the Report for their suitable
resolution.
Highlights of Cement Demand
Projections, Capacity Additions and a
few important recommendations are

Projections made by Working Group
on Cement Industry for the
XII Five Year Plan
Year Cement
Capacity
(Mn.t)
Cement
Production
(Mn.t.)
2012-13 349.6 272.0
2013-14 374.9 299.9
2014-15 405.1 332.1
2015-16 440.6 367.8
2016-17 479.3 407.4
Fiscal support to housing and roads
could accelerate the demand for
cement quite substantially. Given
the housing shortages in rural and
urban areas and given the increase
in the cost of affordable house
income tax relief for the interest
paid on the house building loans
may be extended from Rs 1.5 lakh to
Rs. 4 lakh per annum.
With a view to creating a world-
class road infrastructure in the
country for the rapid and inclusive
growth of the economy, all new
expansions in the National and State
Highways may be made of cement
concrete as a Policy. To begin with,
this percentage could be 30% of the
total allocations.
Increasing supply of coal under
Linkage for Cement: Post 2007, no
new linkage has been granted to any
cement manufacturer. Even in cases
where linkage has been granted,
actual supply against such linkages
is poor. Thus, unless the linkage coal
is quickly increased the fuel supply
gap shall put upward pressure on
cement production costs.
Cement Industry be exempted from
MOEF notification of 3rd November
2009 which makes it mandatory for
Cement Industry, having captive
power plants to provide 20% of fly
ash generated by them free of cost
to the small brick / tile
manufacturers within 100 Km

50

vicinity of their plants, which
otherwise would have been utilized
by cement plants for their own
consumption.
Cement plants should be permitted
to move waste from other states
with minimum restrictions if they
are following standing guidelines.
Cement demand and capacity
projections made by the Working
Group on Cement Industry, including
some of the summarized key-
recommendations of the Report are
given at Annexure-XI.
GOLDEN JUBILEE OF CMA
The year-long celebrations of the
Golden Jubilee of CMA concluded
successfully in May 2012. This Special
Year was, inter alia, utilized for
building a positive image of the
Industry and also for enlightening all
those who matter about the strides and
achievements of the Industry through
seminars, presentations, articles,
special publications, etc. in various
fora. The following important issues
were highlighted :
Over the years, Indian Cement
Industry has transformed itself into
a Green and Environment-Friendly
Industry.
Cement Industry today is world-
class in quality of cement,
technology and energy
consumption. It ranks 2
nd
largest in
the world both in cement
production and capacity.
Production cost is one of the lowest
in the world. However, Government
levies and taxes are very high.
Cement Industry contributes
significantly for the socio-economic
development through its CSR
activities in the field of education,
health, water supply, forestry, etc. to
the neighbouring and surrounding
areas of the cement plants.
In order to arrest the slackening
economic growth and bring it back
to its normal mode, cement concrete
roads and white- topping need to be
adopted in the country on a larger
scale, as a conscious Government
Policy.
In one of the functions, the 50
th
Annual
Session of the Association, Past
Presidents and Members of the
Managing Committee of CMA were
felicitated by Shri P.K. Chaudhery,
Secretary, DIPP, for their invaluable
guidance and contribution in building
the CMA brick by brick over the years
and helping it achieve its current
stature as an Apex body of the Cement
Industry. On the occasion, services of
all the employees of CMA were also
recognized and acknowledged with a
Memento, presented by the Secretary.
51
st
Annual Report
51

CMA PUBLICATIONS/PERIODICALS
During the year 2011-12, CMA brought
out/ updated the following
publications/ periodicals:
o Indian Cement Industry Statistics
o Basic Data on Indian Cement
Industry
o DOs and DONTs for Cement
Concrete Road Construction
o White Topping of Roads - Concrete
Overlay Technology
o Cement, Energy and Environment
Quarterly
o Cement Journal Quarterly
o Cement News Digest Weekly
A detailed list of CMA publications is
given in Annexure-XII.
AUDIT
The Accounts of the Association for the
year ended 31st March 2012 have been
audited by M/s K.S. Aiyar & Co.,
Chartered Accountants.





New Delhi (M.A.M.R. Muthiah)
November 2012 President

52

50th Annual Session of CMA 6th January 2012

Seated on Dais in the Centre: Chief Guest, Shri P.K. Chaudhery, Secretary (DIPP), Ministry of
Commerce and Industry. To his left: Mrs. Vinita Singhania, President, CMA and Shri K.C.
Jain, Senior President, Kesoram and Vasavadatta Cement. To his right: Shri M.A.M.R.
Muthiah, Vice President, CMA and Shri N.A. Viswanathan, Secretary General, CMA

Mrs. Vinita Singhania, President, CMA lighting the auspicious Lamp
51
st
Annual Report
53





























Mrs. Vinita Singhania, President, CMA delivering Welcome Address. Seated on Dais
(LtoR) S/Shri N.A. Viswanathan, Secretary General, CMA, M.A.M.R. Muthiah, Vice
President, CMA, Chief Guest, Shri P.K. Chaudhery, Secretary (DIPP), Ministry of Commerce
and Industry and Shri K.C. Jain, Senior President, Kesoram and Vasavadatta Cement

Mrs. Vinita Singhania, President, CMA presenting Bouquet to the Chief Guest, Shri P.K.
Chaudhery, Secretary (DIPP),Ministry of Commerce and Industry. Seen in the Picture
Shri M.A.M.R. Muthiah, Vice President, CMA

54



















Chief Guest, Shri P.K. Chaudhery, Secretary (DIPP), Ministry of Commerce and
Industry delivering Inaugural Address. Seated on Dais (LtoR) S/Shri N.A. Viswanathan, Secretary
General, CMA, M.A.M.R. Muthiah, Vice President, CMA, Mrs. Vinita Singhania, President, CMA and
Shri K.C. Jain, Senior President, Kesoram and Vasavadatta Cement

Shri S. Chouksey, Wholetime Director, JK Lakshmi Cement Ltd making a Presentation on Cement
Industry. Seated on Dais (LtoR) S/Shri N.A. Viswanathan, Secretary General, CMA, M.A.M.R.
Muthiah, Vice President, CMA, Mrs. Vinita Singhania, President, CMA and Shri K.C. Jain, Senior
President, Kesoram and Vasavadatta Cement
51
st
Annual Report
55


























Mrs. Vinita Singhania, President, CMA presenting a Memento to Chief Guest
Shri P.K. Chaudhery, Secretary (DIPP), Ministry of Commerce and Industry.
Seen in the Picture Shri M.A.M.R. Muthiah, Vice President, CMA

Chief Guest, Shri P.K. Chaudhery, Secretary (DIPP) releasing the CMA Publication
White Topping of Roads Concrete Overlay Technology"

56















































Mrs. Vinita Singhania, President, CMA presenting the first copy of the Report of the
Working Group on Cement Industry for XIIth Five Year Plan (2012-17) to Chief Guest Shri
P.K. Chaudhery, Secretary (DIPP), Ministry of Commerce and Industry

Shri M.A.M.R.Muthiah, Vice President, CMA proposing Vote of Thanks.
Seated on Dais (LtoR) S/Shri N.A. Viswanathan, Secretary General, CMA, Chief Guest, Shri
P.K. Chaudhery, Secretary (DIPP), Ministry of Commerce and Industry, Mrs. Vinita
Singhania, President, CMA and Shri K.C. Jain, Senior President, Kesoram and
Vasavadatta Cement
51
st
Annual Report

57

LIST OF ANNEXURES
ANNEXURE-I Performance of Member Cement Companies
(Company-wise/Unit-wise)
ANNEXURE-II Pan India Performance of Cement Industry
(Including Non-Members Large and Mini Cement Plants)
Pan India Performance of Large Cement Plants
Region-wise Capacity and Production
(Large Plants of Member Companies)
ANNEXURE-III Chairmen/Co-Chairmen of CMA Committees
ANNEXURE-IV Procurement and Consumption of Fuel including for Captive
Power Plants
ANNEXURE-V Month-wise Coal Receipts against FSA/Linkage
ANNEXURE-VI Year-wise Cement and Clinker Despatches by Rail/Road and Sea
ANNEXURE-VII Country-wise Cement and Clinker Export
ANNEXURE-VIII List of Seminars/Workshops on Cement Concrete Technology
Co-Sponsored/Participated by CMA
ANNEXURE-IX List of Presentations/Meetings held by CMA officials along with
representatives of cement companies
ANNEXURE-X List of Seminars/Workshops/Conferences on Technical Matters
sponsored and participated by CMA
ANNEXURE-XI Cement Demand and Capacity Projections including some of the
summarized Key Recommendations of the Report of the
Working Group on Cement Industry for the XIIth Five Year Plan
(2012-2017)
ANNEXURE-XII List of CMA Publications/Periodicals

*****


58

ANNEXURE-I

PERFORMANCE OF MEMBER CEMENT COMPANIES 2011-12
(Company-wise/Unit-wise)
(000' Tonnes)
Sl. No. Company/Plant Location State Capacity Clinker Clinker Cement Cement
(Monthly Prodn. Ground Prodn. Desp.
Add Up)
Andhra Cements Ltd.
1 Vizag (G) Vishakhapatnam AP 622.00 - Nil Nil Nil
2 Nadikude Durga Cement Nadikude AP 800.00 Nil Nil Nil Nil
Total - Andhra Cements Ltd. 1422.00 Nil Nil Nil Nil
Binani Cement Ltd.
3 Binani Cement-Sirohi Sirohi Road RAJ. 4850.00 4663.07 3858.87 4375.83 4394.95
4 Binani Cement-Sikar (G) Neem Ka Thana RAJ. 1400.00 - 832.23 1208.08 1207.57
Total - Binani Cement Ltd. 6250.00 4663.07 4691.10 5583.91 5602.52
Birla Corporation Ltd.
5 Birla Vikas Satna MP 1550.00 2532.16 1295.58 1836.50 1835.82
6 Satna Cement
7 Birla Cement Chittorgarh RAJ. 2000.00 1210.89 1632.83 2223.35 2247.46
8 Chanderia Cement
9 Birla Cmt-Raebareli (G) Raebareli UP 630.00 - 463.29 702.14 703.47
10 Durgapur (G) Durgapur W.B. 600.00 - 239.23 502.69 508.68
11 Durga Hitech Cement (G) Durgapur W.B. 1000.00 - 449.91 641.37 648.91
Total - Birla Corporation Ltd. 5780.00 3743.05 4080.84 5906.05 5944.34
Cement Corporation of India Ltd.
12 Adilabad Adilabad AP 400.00 Nil Nil Nil Nil
13 Akaltara Akaltara CTG 400.00 Nil Nil Nil Nil
14 Bokajan Bokajan ASSAM 200.00 117.74 100.50 103.33 105.11
15 Charkhi Dadri Charkhi Dadri HAR 172.00 Nil Nil Nil Nil
16 Kurkunta Kurkunta KAR 200.00 Nil Nil Nil Nil
17 Mandhar Mandhar CTG 380.00 Nil Nil Nil Nil
18 Neemuch Neemuch MP 400.00 Nil Nil Nil Nil
19 Rajban Rajban HP 200.00 153.01 118.62 140.28 137.25
20 Tandur Tandur AP 1000.00 567.31 568.17 610.94 611.00
21 Delhi (G) Tughalakabad DELHI 500.00 - Nil Nil Nil
Total - Cement Corporation of India Ltd. 3852.00 838.06 787.29 854.55 853.36
Cement Manufacturing Co. Ltd.
22 Cement Manu. Co. Ltd. Lumshnong MEG. 594.00 714.78 379.22 498.23 499.95
23 Megha T & E (P)Ltd. (G) Lumshnong MEG. 673.00 - 407.88 605.57 608.71
Total - Cement Manufacturing Co. Ltd. 1267.00 714.78 787.10 1103.80 1108.66





51
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59

Company-wise (000' Tonnes)
Sl. No. Company/Plant Location State Capacity Clinker Clinker Cement Cement
(Monthly Prodn. Ground Prodn. Desp.
Add Up)
Century Textiles & Industries Ltd.
24 Century Cement Tilda CTG 2100.00 1377.20 1356.29 1975.56 1965.10
25 Maihar Cement Maihar MP 3800.00 2824.41 2581.18 3670.70 3674.21
26 Manikgarh Cement Manikgarh MAH. 1900.00 1404.67 1353.76 1878.61 1887.88
Total - Century Textiles & Industries Ltd. 7800.00 5606.28 5291.23 7524.87 7527.19
Chettinad Cement Corporation Ltd.
27 Chettinad-Karur Karur TN 1600.00 962.82 966.64 1346.60 1349.16
28 Chettinad-Karikkali Karikkali TN 4300.00 1400.14 1365.49 2004.70 1993.02
29 Chettinad-Ariyalur Keelapaluvur TN 4600.00 1524.80 1414.50 1781.59 1783.22
Total - Chettinad Cement Corporation Ltd. 10500.00 3887.76 3746.63 5132.89 5125.40
Dalmia Cement(Bharat) Ltd.
30 Dalmia-Dalmiapuram Dalmiapuram TN 4000.00 2423.64 2372.00 3145.28 3139.34
31 Dalmia-Kadapa Jammalamadugu AP 2500.00 1122.51 1129.31 1236.13 1244.01
32 Dalmia-Ariyalur Thamaraikulam TN 2500.00 741.70 737.00 998.10 1000.27
Total - Dalmia Cement(Bharat) Ltd. 9000.00 4287.85 4238.31 5379.51 5383.62
Heidelberg Cement(I) Ltd.
33 HCIL-Ammasandra Ammasandra KAR 570.00 215.62 163.86 339.39 337.63
34 HCIL-Damoh Damoh MP 1025.00 1222.21 650.57 1045.18 1053.26
35 HCIL-Jhansi (G) Jhansi UP 500.00 - 565.51 900.71 903.33
36 HCIL-Dolvi (G) Raigad MAH. 1000.00 - 302.05 557.10 555.01
Total - Heidelberg Cement(I) Ltd. 3095.00 1437.83 1681.99 2842.38 2849.23
The India Cements Ltd.
37 Sankarnagar Talaiyuth TN 2050.00 955.76 988.90 1378.85 1383.26
38 Sankaridurg Sankaridurg TN 860.00 377.20 370.74 560.40 561.16
39 Chilamkur Chilamkur AP 1460.00 950.25 919.44 1067.93 1071.93
40 Dalavoi Trichy TN 1850.00 927.22 912.17 1348.10 1350.89
41 Visaka Tandur AP 2400.00 1626.94 1132.49 1328.97 1324.69
42 Yerraguntla Yerraguntla AP 730.00 412.17 434.47 530.11 528.87
43 Raasi Wadapally AP 2500.00 1921.34 1382.27 1750.82 1742.98
44 Vallur (G) Vallur TN 1100.00 - 528.52 745.30 746.84
45 Parli (G) Parli MAH. 1100.00 - 522.11 723.97 723.83
46 Trinetra Banswara RAJ. 1800.00 765.76 778.93 989.20 987.31
Total - The India Cements Ltd. 15850.00 7936.64 7970.04 10423.65 10421.76
J.K. Cement Ltd.
47 J.K-Nimbahera Nimbahera RAJ. 3300.00 2273.66 2082.74 2622.79 2631.95
48 J.K-Mangrol Mangrol RAJ. 750.00 633.97 662.49 842.57 844.26
49 J.K-Gotan Gotan RAJ. 470.00 177.21 209.40 320.08 321.85
50 J.K-Muddapur Mudhol KAR 3000.00 1282.60 1252.45 1531.98 1530.18
Total - J.K. Cement Ltd. 7520.00 4367.44 4207.08 5317.42 5328.24



60

Company-wise (000' Tonnes)
Sl. No. Company/Plant Location State Capacity Clinker Clinker Cement Cement
(Monthly Prodn. Ground Prodn. Desp.
Add Up)
JK Lakshmi Cement Ltd.
51 JK Lakshmi Cement Ltd. Sirohi Road RAJ. 4200.00 3800.21 2912.21 3652.85 3643.22
52 JK Lakshmi-Kalol (G) Kalol GUJ. 547.50 - 365.94 561.57 564.15
Total - JK Lakshmi Cement Ltd. 4747.50 3800.21 3278.15 4214.42 4207.37
Jaypee Group
53 Dalla Dalla UP 500.00 2030.46 270.10 391.17 394.38
54 Chunar (G) Chunar UP 2500.00 - 1401.74 2032.49 2038.56
55 Jaypee-Rewa Rewa MP 3000.00 2545.30 2080.36 2557.00 2552.80
56 Jaypee-Bela Bela MP 2400.00 1776.33 1669.61 2131.45 1776.75
57 Jaypee-Sadva Khurd (B) Sadva Khurd UP 600.00 - - 572.62 574.14
58 Jaypee-Ayodhya (G) Tanda UP 1000.00 - 593.84 877.35 885.35
59 Jaypee-Panipat (G) Panipat HAR 1500.00 - 753.90 1076.58 1074.97
60 Jaypee-Sidhi Sidhi MP 1500.00 1160.44 791.80 1098.83 1076.86
61 Jaypee-Kutch Sewagram GUJ. 2400.00 2565.83 1517.65 1600.73 1597.42
62 Jaypee-Wanakbori (G) Sonipur GUJ. 2400.00 - 993.71 1350.67 1345.27
63 Jaypee-Roorkee (G) Roorkee UTK 1200.00 - 554.24 836.86 834.11
64 Jaypee-Bagheri (B&G) Bagheri HP 1750.00 - 1140.13 2406.06 1711.36
65 Jaypee-Baga Baga HP 166.67 2296.37 49.02 59.00 52.07
66 Jaypee-Sikandrabad (G) Sikandrabad UP 750.00 - 359.55 520.33 517.70
Bhilai Jaypee (clk) Babupur MP 981.86 Clinkerisation Unit
67 Bhilai Jaypee (G) Bhilai CTG 2200.00 - 723.31 1503.89 1501.69
68 Bokaro Jaypee (G) Bokaro JHK 1575.00 - 405.02 706.58 690.37
Total - Jaypee Group 25441.67 13356.59 13303.98 19721.61 18623.80
The K.C.P. Ltd.
69 K.C.P. Ltd-Macherla Macherla AP 825.00 566.26 690.31 739.02 733.53
70 K.C.P. Ltd-Muktyala Jaggayyapet AP 1520.00 681.19 523.52 553.49 542.59
Total - The K.C.P. Ltd. 2345.00 1247.45 1213.83 1292.51 1276.12
Kesoram Industries Ltd.
71 Kesoram Cement Ramagundam AP 1500.00 820.00 818.06 1074.54 1068.61
72 Vasvadatta Cement Sedam KAR 5750.00 3173.79 3210.25 3885.73 3881.20
Total - Kesoram Industries Ltd. 7250.00 3993.79 4028.31 4960.27 4949.81
Lafarge India Pvt. Ltd.
73 Lafarge-Arasmeta Bilaspur CTG 1600.00 1431.16 928.67 1442.71 1446.70
74 Lafarge-Sonadih Sonadih CTG 550.00 2551.14 346.51 556.20 556.58
75 Lafarge-Jojobera(G) Singbhum JHK 4100.00 - 1800.29 3651.47 3638.76
76 Lafarge-Mejia (G) Mejia W.B. 1000.00 - 741.30 1199.45 1199.20
Total - Lafarge India Pvt. Ltd. 7250.00 3982.30 3816.77 6849.83 6841.24

51
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61

Company-wise (000' Tonnes)
Sl. No. Company/Plant Location State Capacity Clinker Clinker Cement Cement
(Monthly Prodn. Ground Prodn. Desp.
Add Up)
Madras Cements Ltd.
77 Ramasamyraja Nagar R.S.Raja Nagar TN 1800.00 677.45 808.85 1192.15 1173.64
78 Jayantipuram Jaggayyapet AP 3600.00 1752.91 1275.28 1631.77 1629.17
79 Alathiyur Works-I&II Alathiyur TN 3120.00 1568.10 1425.67 2013.44 2016.81
80 Madras Cmts-Ariyalur Govindapuram TN 2000.00 1506.10 1109.12 1441.17 1452.77
81 Madras Cmts-Uthiramerur(G) Uthiramerur TN 600.00 - 214.97 321.08 312.61
82 Madras Cmts-Salem (G) Valapadi TN 600.00 - 251.77 388.02 387.80
83 Madras Cmts-Kolaghat (G) Kolaghat W.B. 1000.00 - 274.30 399.40 394.86
Total - Madras Cements Ltd. 12720.00 5504.56 5359.96 7387.03 7367.66
Malabar Cements Ltd.
84 Malabar Cements Palghat KERLA 420.00 356.15 380.64 528.68 530.12
85 Malabar Cements (G) Alappuzha KERLA 200.00 - Nil Nil Nil
Total - Malabar Cements Ltd. 620.00 356.15 380.64 528.68 530.12
Mangalam Cement Ltd.
86 Mangalam Cement Morak RAJ. 2000.00 1413.34 1304.42 1632.03 1636.98
87 Neer Shree Cement
Total - Mangalam Cement Ltd. 2000.00 1413.34 1304.42 1632.03 1636.98
Mehta Group
88 Saurashtra Cement Ranavav GUJ. 1501.00 1141.13 1153.74 1258.65 1260.53
89 Gujarat Sidhee Cement Veraval GUJ. 1200.00 1270.41 1238.44 1351.26 1354.63
Total - Mehta Group 2701.00 2411.54 2392.18 2609.91 2615.16
OCL India Ltd.
90 OCL India-Rajgangpur Rajgangpur ODISA 4000.00 1236.74 1056.81 2080.02 2089.08
91 OCL India-Kapilas (G) Kapilas ODISA 1350.00 - 495.53 998.89 1008.18
Total - OCL India Ltd. 5350.00 1236.74 1552.34 3078.91 3097.26
Orient Cement
92 Orient Cement-Devapur Devapur AP 3000.00 2806.79 1648.20 2229.27 2229.59
93 Orient Cement-Jalgaon (G) Jalgaon MAH. 2000.00 - 1127.10 1550.60 1549.66
Total - Orient Cement 5000.00 2806.79 2775.30 3779.87 3779.25
Penna Cement Industries Ltd.
94 Penna-Tadipatri I&II Tadipatri AP 1500.00 837.90 830.19 997.70 1000.78
95 Penna-Ganeshpahad Ganeshpahad AP 1000.00 697.56 710.51 836.66 844.32
96 Penna-Boyareddypalli Boyareddypalli AP 2000.00 1036.08 1035.17 1299.34 1310.47
97 Penna-Tandur Tandur AP 2000.00 708.75 676.02 773.66 776.18
Total - Penna Cement Industries Ltd. 6500.00 3280.29 3251.89 3907.36 3931.75
Prism Cement Ltd.
98 Prism Cement-I Satna MP 2000.00 2031.02 1677.65 2189.91 2186.01
Prism Cement-II Satna MP 3600.00 1908.30 1912.08 2562.15 2555.64
Total - Prism Cement Ltd. 5600.00 3939.32 3589.73 4752.06 4741.65



62

Company-wise (000' Tonnes)
Sl. No. Company/Plant Location State Capacity Clinker Clinker Cement Cement
(Monthly Prodn. Ground Prodn. Desp.
Add Up)
Rain Cements Ltd.
99 Rain Cements Un-I Ramapuram AP 1400.00 536.07 527.72 659.63 661.94
100 Rain Cements Un-II LN 1 Racherla AP 600.00 116.06 306.52 374.72 374.61
Rain Cements Un-II LN 2 Racherla AP 2000.00 1231.29 978.80 1217.42 1216.94
Total - Rain Cements Ltd. 4000.00 1883.42 1813.04 2251.77 2253.49
Shree Cement Ltd.
101 Shree-Beawar Beawar RAJ. 3000.00 2217.04 1938.44 2566.95 2600.90
102 Shree-Ras Ras RAJ. 3000.00 5885.46 2453.69 2985.18 2995.48
103 Shree-Khushkhera (G) Khushkhera RAJ. 3000.00 - 1805.97 3031.98 3042.99
104 Shree-Suratgarh (G) Suratgarh RAJ. 1200.00 - 710.31 1185.93 1185.55
105 Shree-Roorkee (G) Laksar UTK 1800.00 - 705.63 1161.51 1161.73
106 Shree-Jaipur (G) Jobner RAJ. 1388.00 - 128.94 215.49 211.01
Total - Shree Cement Ltd. 13388.00 8102.50 7742.98 11147.04 11197.66
Tamil Nadu Cements Corporation Ltd.
107 Alangulam Alangulam TN 400.00 106.66 119.69 134.64 134.90
108 Ariyalur Ariyalur TN 500.00 366.71 339.15 388.05 387.20
Total - Tamil Nadu Cements Corporation Ltd. 900.00 473.37 458.84 522.69 522.10
UltraTech Cement Ltd.
109 UltraTech-Rajashree Malkhed KAR 3200.00 4210.17 2613.46 3021.83 3017.00
110 UltraTech-Hotgi (G) Hotgi MAH. 1800.00 - 1595.22 1841.23 1841.90
111 UltraTech-Vikram Jawad Road MP 3000.00 3225.30 2652.59 3443.43 3456.95
112 UltraTech-Aditya I&II Shambhupura RAJ. 5000.00 3759.89 2908.76 3704.74 3713.75
113 UltraTech-Rawan Raipur CTG 2500.00 1690.49 1232.40 2017.58 2018.81
114 UltraTech-Reddipalayam Reddipalayam TN 1400.00 696.69 741.61 983.03 989.15
115 UltraTech-ACW Chandrapur MAH. 3600.00 2715.77 2635.71 3269.43 3278.77
116 UltraTech-JCW (G) Jharsuguda ODISA 1000.00 - 793.06 1182.32 1189.95
117 UltraTech-HCW Hirmi CTG 1900.00 2700.16 1723.22 2295.12 2297.87
118 UltraTech-Gujarat Pipavav GUJ. 5800.00 4417.44 3592.46 4258.40 4300.03
119 UltraTech-APCW-I&II Tadpatri AP 5600.00 4025.90 3003.98 3836.33 3809.53
120 UltraTech-Jafrabad Jafrabad GUJ. 500.00 1461.48 372.81 406.66 405.93
121 UltraTech-Magdalla (G) Magdalla GUJ. 700.00 - 616.05 719.91 723.57
122 UltraTech-Ratnagiri (G) Ratnagiri MAH. 400.00 - 397.19 420.59 417.17
123 UltraTech-ARCW (G) Arakonam TN 1100.00 - 616.60 802.21 804.80
124 UltraTech-Bhatinda (G) Bhatinda PUB 1750.00 - 1009.21 1542.64 1541.11
125 UltraTech-WBCW (G) Durgapur W.B. 1200.00 - 738.76 1113.42 1117.85
126 UltraTech-Dadri (G) Dadri UP 1300.00 - 563.10 824.23 830.44
127 UltraTech-Panipat (G) Panipat HAR 1300.00 - 575.08 857.21 867.95
128 UltraTech-Ginigera (G) Ginigera KAR 1300.00 - 261.28 543.26 547.46
129 UltraTech-Kotputli Kotputli RAJ. 3100.00 2401.60 1656.88 2145.25 2152.70
130 UltraTech-Aligarh (G) Koil UP 1300.00 - 137.43 199.83 197.93
Total - UltraTech Cement Ltd. 48750.00 31304.89 30436.86 39428.65 39520.62

51
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63

Company-wise (000' Tonnes)
Sl. No. Company/Plant Location State Capacity Clinker Clinker Cement Cement
(Monthly Prodn. Ground Prodn. Desp.
Add Up)
Zuari Cement Ltd.
131 Zuari Cement Krishna Nagar AP 2200.00 2428.28 2285.04 2660.64 2662.87
132 Sri Vishnu Cement Sitapuram AP 1200.00 794.60 809.09 992.18 993.46
Total - Zuari Cement Ltd. 3400.00 3222.88 3094.13 3652.82 3656.33
Others
133 Shree Digvijay-Sikka Sikka GUJ. 1075.00 754.57 806.70 923.75 923.25
134 Bagalkot Cmt&Ind Ltd. Bagalkot KAR 297.00 141.13 175.27 245.36 248.14
135 J&K Ltd Khrew J&K 200.00 171.54 170.06 176.94 177.69
136 Kalyanpur Cement Banjari BIHAR 1000.00 417.42 427.43 627.57 628.90
137 Mawmluh Cherra Cherrapunji MEG. 200.00 52.16 48.31 48.98 50.43
138 Panyam Cements Bugganipalle AP 531.00 438.52 421.29 468.68 466.33
139 Shriram Cements Kota RAJ. 400.00 286.11 282.62 396.00 395.18
140 Sanghi Indus. Ltd. Abdasa Taluka GUJ. 2600.00 1986.74 1788.85 1998.12 2010.62
141 My Home Indus. Ltd. Mellacheruvu AP 3200.00 2052.28 1723.29 2087.61 2077.85
142 Meghalaya Cements Ltd. Lumshnong MEG. 560.25 452.94 358.57 449.62 453.30
143 Khyber Indus.(P) Ltd. Khunmoh J&K 330.00
144 Anjani Portland Cement Mellacheruvu AP 1160.00 665.09 668.43 789.17 792.50
Total - Others 11553.25 7418.50 6870.82 8211.80 8224.19
Grand Total 241852.42 137217.39 134145.78 179998.29 179116.88

Not Available




64

ANNEXURE-II


PAN INDIA PERFORMANCE OF CEMENT INDUSTRY
(Including Non-Members Large and Mini Cement Plants)


(Mn.t)
Year

Capacity at
the Year End
Cement
Production
VII Plan
1989-90 (Terminal Year) 61.74 45.42

Annual Plans
1990-91 64.55 48.90
1991-92 66.98 53.61

VIII Plan
1992-93 70.61 54.08
1993-94 77.38 57.96
1994-95 84.22 62.35
1995-96 96.18 69.64
1996-97 105.68 76.22

IX Plan
1997-98 110.93 83.16
1998-99 116.98 87.91
1999-00 120.16 100.45
2000-01 133.04 100.11
2001-02 146.04 106.90

X Plan
2002-03 150.48 116.35
2003-04 157.05 123.50
2004-05 164.70 133.57
2005-06 171.10 147.81
2006-07 178.89 161.64

XI Plan
2007-08 209.20 174.31
2008-09 232.54 187.60
2009-10 294.32 217.44
2010-11 323.02 227.80
2011-12 340.44 247.45

51
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65

ANNEXURE-II (Contd.)

PAN INDIA PERFORMANCE OF LARGE CEMENT PLANTS
(Mn.t)
Year Capacity at
the Year End
Cement
Production
VII Plan
1989-90 (Terminal Year) 57.15 42.92
Annual Plans
1990-91 59.31 45.75
1991-92 61.73 50.61
VIII Plan
1992-93 65.36 50.72
1993-94 71.68 54.09
1994-95 78.52 58.35
1995-96 87.18 64.54
1996-97 96.68 69.98
IX Plan
1997-98 101.93 76.74
1998-99 107.98 81.67
1999-00 111.16 94.21
2000-01 121.94 93.61
2001-02 134.94 102.40
X Plan
2002-03 139.38 111.35
2003-04 145.95 117.50
2004-05 153.60 127.57
2005-06 160.00 141.81
2006-07 167.79 155.64
XI Plan
2007-08 198.10 168.31
2008-09 221.44 181.60
2009-10 283.22 211.44
2010-11 311.92 221.80
2011-12 329.34 241.45

REGION-WISE CAPACITY AND PRODUCTION
(Large Plants of Member Cement Companies)
(Mn.t.)
Region 2007-08 2008-09 2009-10 * 2010-11* 2011-12*
Inst. Cap. Prodn. Inst. Cap. Prodn. Inst. Cap. Prodn. Inst. Cap. Prodn. Inst. Cap. Prodn.
North 47.47 36.46 50.27 41.20 48.77 34.15 51.56 37.93 52.56 42.36
East 29.00 23.85 31.30 25.99 27.10 21.38 29.14 23.16 32.79 24.60
South 61.81 54.23 79.50 59.90 92.11 59.29 96.57 60.16 96.57 60.81
West 32.17 28.75 32.72 28.46 28.62 20.85 30.52 21.71 30.52 24.67
Central 27.65 25.02 27.65 26.05 26.00 25.08 30.61 26.25 31.61 27.56
Total 198.10 168.31 221.44 181.60 222.60 160.75 238.40 169.21 244.05 180.00
* Since Region-wise break-up of capacity and production of non-members of CMA are not available from 2009-10 onwards, the
same has been excluded from the table showing Region-wise figures.


66

ANNEXURE-III

CHAIRMEN/CO-CHAIRMEN OF CMA COMMITTEES


CMA HIGH POWER COMMITTEE

Shri M.A.M.R. Muthiah Chairman
President, CMA &
Managing Director
Chettinad Cement Corpn. Ltd

Shri O.P. Puranmalka Co-Chairman
Vice President, CMA &
Wholetime Director
UltraTech Cement Ltd


CMA COMMITTEE ON COAL MATTERS

Shri P.K. Chand Chairman
Chief Financial Officer (Upto July 2012)
Birla Corporation Ltd

Shri Arun Daga Co-Chairman
Sr. Vice President (From July 2012 took over
Head - Central Procurement Cell as Chairman)
UltraTech Cement Ltd

Shri C.G. Sudarshan Co-Chairman
General Manager (Mtls.)
Madras Cements Ltd


CMA COMMITTEE ON RAILWAY MATTERS

Shri Rajeev Mehta Chairman
Executive President (Logistics)
UltraTech Cement Ltd

Shri Sunil Agrawal Co-Chairman
Head (Marketing Services)
JK Lakshmi Cement Ltd

51
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Annual Report

67

ANNEXURE-III (Contd.)


CMA FINANCE/LEGAL MATTERS COMMITTEE

Shri Shailendra Chouksey Chairman
Wholetime Director
JK Lakshmi Cement Ltd

Shri Girish Gokhale Co-Chairman
Sr. Vice President (Legal & Secretarial)
Lafarge India (P) Ltd

CMA TECHNICAL COMMITTEE

Shri S.K. Wali Chairman
Wholetime Director
JK Lakshmi Cement Ltd

Shri L. Rajasekar Co- Chairman
Executive President
(Technology & Research Centre)
UltraTech Cement Ltd

CMA ENERGY TASK FORCE
(Part of Technical Committee)

Shri D. Sivagurunathan Chairman
President (Mfg.)
The India Cements Ltd

Shri R. Bhargava Co-Chairman
Jt. Vice President (Environment)
Shree Cement Ltd

CMA ENVIRONMENTAL TASK FORCE
(Part of Technical Committee)

Shri L. Rajasekar Chairman
Executive President
(Technology & Research Centre)
UltraTech Cement Ltd

Shri P.L. Subramaniam Co-Chairman
Sr. President (Operations)
The India Cements Ltd


68

ANNEXURE-IV
PROCUREMENT AND CONSUMPTION OF FUEL INCLUDING
CAPTIVE POWER PLANTS
(1992-93 to 2011-12)
(Mn.t)
Year
Procurement
Total
Procurement
Actual
Fuel
Consumption

Receipt
against
Linkage
E-auction/
Open
Market
Imported
Coal
Lignite,
Pet Coke
and
other
Fuel

VIII Plan
1992-93 10.49 1.27 0.09 0.80 12.65 12.05
1993-94 10.34 0.86 0.12 0.70 12.02 12.78
1994-95 10.28 2.32 0.71 0.80 14.11 13.29
1995-96 10.06 2.80 1.30 0.80 14.96 14.25
1996-97 10.45 2.48 1.65 0.70 15.28 15.03
IX Plan
1997-98 9.61 1.62 3.52 0.42 15.17 14.98
1998-99 8.24 0.77 4.66 0.20 13.87 13.98
1999-00 9.01 0.63 6.04 0.05 15.73 15.42
2000-01 9.74 0.79 4.40 0.42 15.35 15.37
2001-02 11.09 0.87 3.37 0.96 16.29 15.81
X Plan
2002-03 12.35 0.77 3.66 1.09 17.87 17.83
2003-04 13.35 1.03 3.18 1.52 19.08 18.85
2004-05 14.84 1.27 3.63 2.63 22.37 21.21
2005-06 14.81 1.55 3.40 2.98 22.74 22.39
2006-07 14.43 2.94 4.96 2.92 25.25 25.02
XI Plan
2007-08 14.56 5.00 6.08 3.20 28.84 27.33
2008-09 14.29 6.17 6.97 2.77 30.20 29.57
2009-10 * 10.79 4.36 6.95 4.15 26.25 25.80
2010-11 * 11.90 4.92 8.48 3.54 28.84 28.06
2011-12 * 10.45 4.50 9.40 5.46 @ 29.80 28.30
@ Lignite 0.48 mn.t, pet coke 4.70 mn.t, other fuels 0.28 mn.t
Note: * The figures from 2009-10 onwards exclude two cement companies who discontinued their
Membership from CMA.

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ANNEXURE-V

MONTH-WISE COAL RECEIPT AGAINST FSA/LINKAGE
(2007-08 to 2011-12)
(Mn.t)
Month 2011-12* 2010-11* 2009-10* 2008-09 2007-08
April 0.97 0.90 0.91 1.09 1.25
(1.31) (1.18) (1.15) (1.54) (1.42)

May 0.94 0.96 0.86 0.99 1.10
(1.31) (1.18) (1.15) (1.54) (1.42)

June 0.95 0.92 0.83 1.16 1.21
(1.31) (1.18) (1.15) (1.54) (1.42)

July 0.91 1.06 0.92 1.05 1.30
(1.31) (1.18) (1.23) (1.50) (1.33)

August 0.94 1.15 1.00 1.05 1.30
(1.32) (1.18) (1.23) (1.50) (1.33)

September 0.70 1.02 0.85 1.09 1.26
(1.32) (1.18) (1.23) (1.50) (1.33)

October 0.62 1.24 0.98 1.24 1.34
(1.32) (1.28) (1.23) (1.54) (1.35)

November 0.83 1.01 0.95 1.32 1.20
(1.34) (1.28) (1.23) (1.54) (1.35)

December 1.07 0.97 0.78 1.36 1.12
(1.34) (1.28) (1.23) (1.54) (1.35)

January 0.77 1.03 0.89 1.49 1.18
(1.34) (1.30) (1.22) (1.54) (1.35)

February 0.83 0.73 0.93 1.23 1.13
(1.34) (1.30) (1.22) (1.54) (1.35)

March 0.92 0.91 0.89 1.22 1.17
(1.34) (1.30) (1.22) (1.54) (1.35)
Total 10.45 11.90 10.79 14.29 14.56
(15.90) (14.82) (14.49) (18.36) (16.35)

Figures in brackets pertain to FSA Quantity/Linkage
There may be small difference in figures indicated elsewhere due to rounding off.
Note: * The figures from 2009-10 onwards exclude two cement companies who discontinued their
Membership from CMA.


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ANNEXURE-VI
YEAR-WISE CEMENT DESPATCHES BY RAIL, ROAD AND SEA
(1992-93 to 2011-12)
(Large Plants)
(Mn.t)
Despatches %age
Year Despatches
Rail Road Sea Total by Rail
to Total

VIII Plan
1992-93 26.99 23.69 - 50.68 53
1993-94 28.45 25.77 - 54.22 52
1994-95 29.29 29.02 - 58.31 50
1995-96 29.12 35.37 - 64.49 45
1996-97 31.08 38.81 - 69.89 44
IX Plan
1997-98 32.58 43.99 - 76.57 43
1998-99 32.72 49.11 - 81.83 40
1999-00 38.71 55.29 - 94.00 41
2000-01 36.80 56.64 - 93.44 39
2001-02 36.20 64.06 2.11 102.37 35
X Plan
2002-03 37.12 72.25 1.70 111.07 33
2003-04 39.28 76.45 1.50 117.23 34
2004-05 41.45 83.55 2.14 127.14 33
2005-06 48.11 85.61 7.85 141.57 34
(10.62) (6.07) (2.34) (19.03) (56)
2006-07 59.37 88.25 7.62 155.24 38
(11.19) (6.90) (2.95) (21.04) (53)
XI Plan
2007-08 63.86 98.01 5.81 167.68 38
(12.59) (6.55) (2.89) (22.03) (57)
2008-09 68.33 107.36 5.50 181.19 38
(14.61) (8.17) (3.47) (26.25) (56)
2009-10 * 56.85 100.42 2.57 159.84 36
(14.41) (10.80) (3.40) (28.61) (50)
2010-11 * 58.16 107.65 2.25 168.06 35
(16.42) (13.40) (2.82) (32.64) (50)

2011-12 * 60.11 116.55 2.46 179.12 34
(18.30) (13.62) (2.14) (34.06) (54)
Figures in brackets pertain to Clinker Despatches
Note: *The figures from 2009-10 onwards exclude two cement companies who
discontinued their Membership from CMA.
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ANNEXURE-VII
COUNTRY-WISE CEMENT AND CLINKER EXPORT
(2010-11 and 2011-12)


(Tonnes)
Country
2011-12 2010-11 2011-12 2010-11 2011-12 2010-11
Nepal 369896 558491 978285 1041595 1348181 1600086
Sri Lanka 345078 94708 16999 82943 362077 177651
South Africa 52151 53497 - - 52151 53497
Bangladesh - - 40500 - 40500 -
Maldives 35328 33629 - - 35328 33629
Mozambique 21665 8105 - 47605 21665 55710
Medagaskar 21622 - - - 21622 -
France 12739 - - - 12739 -
Seychelles 4812 1204 - - 4812 1204
Sudan 3920 9520 - - 3920 9520
Bhutan 2595 - - 2492 2595 2492
Central Africa 1400 - - - 1400 -
Uganda 420 - - - 420 -
Myanmar - 19020 - - - 19020
Iraq - 2468 - - - 2468
Others ($) 745354 740928 824287 1498024 1569641 2238952
Total 1616980 1521570 1860071 2672659 3477051 4194229
($) - Country-wise break-up not available
Total Export Cement Export Clinker Export





72

ANNEXURE-VIII

LIST OF WORKSHOP/SEMINARS ON CEMENT CONCRETE TECHNOLOGY
PARTICIPATED/SPONSORED BY CMA
1
st
May 2011 marked the 50
th
year of the State of Maharashra. The Maharashtra Economic
Development Council (MEDC) in association with Government of Maharashtra and Others organised a
Golden Maharashtra Expo from 28
th
April 1
st
May 2011 in Mumbai.
The MEDC had approached CMA for support to the Event without any financial commitment. As
support organization, CMA carried out the B/W advertisement of the Event in our Quarterly Journal
CEMENT and Weekly Cement News Digest. MEDC offered a complimentary stall as a reciprocal
gesture where CMA put up Exhibits on the theme, Socio-Economic Success of Cement Industry.
During a Workshop organized by Task Force on Quality Assurance in Govt. Construction in Karnataka
on State Highway Development Programme on July 7, 2011 at Bengaluru, a presentation was made
by Dr. L.R. Kadiyali, on behalf of CMA and Ultra Tech Cement Ltd. The Workshop was presided over by
the Honble Minister for Public Works, Ports and Inland Water Transport, Govt. of Karnataka. CMA
officials from NOIDA attended the Workshop. Principal Secretary, Secretary CEs, SEs of PWD
participated in the Workshop. Secretary PWD apprised the Govts decision to construct cement
concrete pavement in the inhabited portions of State Highways and carrying out the resurfacing of
10% of the roads in the State by White-Topping instead of bituminous overlay. Both Honble Minister
and the Task Force were greatly in favour of concretizing roads in the state.
Seminar on Metamorphosis in Construction & Building Industry 2011, was organized by Minerals
& Metals Review, Braj Binani Group on 30th July 2011 in Mumbai. One of the sessions was devoted to
Cement & Cement Concrete. Dr. Manamohan R. Kalgal, Head-Technical Services, UltraTech Cement Ltd,
made an articulate Presentation on Sustainable Development with Concrete. Joint Secretary, CMA,
Mumbai attended the Seminar.
CMA supported the Training Programme on Concrete Roads Including Pavements : Design,
Construction and Testing organized by National Council for Cement and Building Materials (NCBM)
from 13-15 December 2011 at Hyderabad, by providing its publications for distribution amongst the
delegates. Dr. V. Ramachandra, Zonal Head (Tech.) Ultra Tech Cement Ltd., made presentation on
Cement Concrete Roads/White-Topping.
The Workshop on Construction and Quality Control of Concrete Roads was organized by Ultra
Tech Cement Ltd. with the full cooperation and support of Municipal Corporation of Delhi (MCD) on 7
th

January 2012 at New Delhi. The main purpose of the Workshop was to Promote Concrete Roads in
Delhi, Provide training to the Engineers of MCD of Delhi, Invite attention of Addl. Commissioner
Engineering, Engineer-in-Chief, Chief Engineers and other Senior Officers towards adoption of Cement
Concrete Roads/White-Topping.
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CMA supported the event by providing its publications viz. City Concrete Roads, White-Topping of
Roads Concrete Overlay Technology, Cement Concrete Roads A Long Lasting Gift to Nation, Cement
Concrete Road Construction DOs and DONTs.
Indian Concrete Institute Mumbai Centre, organized a half-a-day Seminar Fibre Reinforced
Concrete Industrial Flooring on 09
th
January 2012 in Mumbai. Joint Secretary, CMA, Mumbai
attended the Seminar.
The Workshop on Sustainable Roads for Mumbai City was organized by CSIR-CRRI, New Delhi on
10-11
th
January 2012, in Mumbai. The Presentations regarding Flexible Pavements and Rigid
Pavements were made and discussed in the Workshop. Joint Secretary, CMA, Mumbai attended the
Seminar.
Good Governance India Foundation, Chennai, organized a Three-day Workshop in Chennai on 23-25
January 2012. The 10th International Exhibition on City Infrastructure & Sustainable Urban
Development and 10th International Conference on Good Urban Governance for Safe, Healthy,
Green, Inclusive and Smart Cities got off to a flying start on 23.01.2012.
It was a joint inauguration by Shri R. Vaithilingam - Minister for Housing and Urban
Development, Shri K. P. Munusamy - Minister for Municipal Administration and Shri Saidai
Duraisamy - Chennai Mayor.
On behalf of CMA, UltraTech Cement Ltd. put up a Stall. The Stall focused on White-Topping and Concrete
Roads and displayed the process of laying of White-Topping. Continuous visuals of White-Topping
Technology Demonstration Projects at Jaipur and Bangalore were shown on the LCD TV.
Concrete Show India 2012 was organized by UBM India Pvt. Ltd. in partnership with UBM SIENNA on
23-25 February 2012 in Mumbai. Coinciding with the Concrete Show, a Two-day Conference on
Concrete was organized by UBM India Pvt. Ltd. and Indian Concrete Institute (ICI) on 23
rd
and 24
th
.
CMA and Ready Mixed Concrete Manufacturers Association (RMCMA) were the supporting
Associations. From CMA, Shri N.A. Viswanathan, Secretary General, Shri S.V. Joshi, Joint Secretary, CMA,
Mumbai and Shri N.K. Pande, Sr. Deputy Secretary attended the Concrete Show.
The Concrete Show was inaugurated by Chief Guest Shri C. Kandasamy, Director General (Road
Development) and Special Secretary to Ministry of Road Transport and Highways. In the
Inaugural Speech, the Director General (Road Development), MoRTH stressed the need for industry
participation in infrastructure development so that it becomes 'self-financing'.
Shri N.A Viswanathan, Secretary General, CMA made a presentation on Emerging Trends in the
Cement industry in the Session 2 : Cement and Mineral Additives.


74

The Organisers offered CMA a complimentary Stall. Our Exhibits displayed the Exponential growth
achieved by the Cement Industry; CMAs Initiatives for encouraging Cement Concrete Roads;
Advantages of Cement Concrete Roads/White-Topping; and Recommendations of the Parliamentary
Standing Committee and Working Group on Cement Industry for XIIth Five Year Plan in their respective
Reports for the Promotion of Cement Concrete Roads.
CMA supported the National Get-together (NGT-2012) organized by CRRI on 1
st
and 2
nd
March,
2012 as Silver Sponsor. CMA also distributed its publications - White-topping of Roads Concrete
Overlay Technology, Cement Concrete Road Construction - Dos and Donts, and Cement Concrete Roads
A Long Lasting Gift to Nation, to the participants.
Observations and Recommendations (related to cement concrete roads), of Department Related
Parliamentary Standing Committee of Commerce on Performance of Cement Industry, and
Recommendations of Working Group of Cement Industry for 12
th
Five Year Plan constituted by
Planning Commission were displayed at the exhibition stall of CRRI.
From CMA, Shri N.K. Pande, Sr. Deputy Secretary and Shri Ram Avtar, Chief Consultant (Roads)
attended the NGT-2012.
Jaisubhai Group with the support of CHEMTECH Foundation organized the Urban Infra World Expo
2012 between 19-21 March 2012 at Mumbai. Coinciding with the above Event, a Two-day
International Conference - Theme Infrastructure in India : Building Prosperity to Posterity was
organized on 19
th
and 20
th
March 2012. From CMA, Shri N.A. Viswanathan, Secretary General, Shri S.V.
Joshi, Joint Secretary and Shri N.S. Pawar, Assistant Secretary, CMA, Mumbai participated in the Expo
2012.
Shri N.A Viswanathan, Secretary General, CMA made a detailed and comprehensive presentation on
Emerging Trends in the Cement industry - Integral Part of Infrastructure in the Session I :
Infrastructure Planning Beyond 2012.
CMA put up a Stall depicting broadly the Exponential growth achieved by the Cement Industry; CMAs
Initiatives for encouraging Cement Concrete Roads; Advantages of Cement Concrete Roads/White-
Topping; and Recommendations of the Parliamentary Standing Committee and Working Group on
Cement Industry for XIIth Five Year Plan in their respective Reports for the Promotion of Cement
Concrete Roads.
IIT, Chennai arranged a five- day training programme for Provincial Engineers of Govt. of Sri
Lanka on 19-23 March 2012. CMA provided its publications White-topping of Roads Concrete
Overlay Technology and Cement Concrete Road Construction - Dos and Donts for distribution to the
Sri Lankan Engineers attending the Seminar.

*****
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ANNEXURE-IX
LIST OF PRESENTATIONS/MEETINGS
After a conference held in Delhi in Nov. 2010, Principal Secretary, Govt. of Delhi, Shri KK Sharma, had
desired CMA to enlighten him and his officers as to how the utilities beneath the bitumen roads are
being shifted by Municipal Corporation of Mumbai before going in for White-Topping, as he was also
very keen to concretize the Delhi roads. Accordingly a presentation was organized by CMA on 8th
April, 2011 in the Office of Engineer-in-Chief, PWD, Delhi to 35 Engineers including Engineer-in-
Chief. They appreciated the presentation of Shri Vishal Thombore of Municipal Corporation of Greater
Mumbai.
After the Experience-Sharing Workshop at Goa on 8
th
June 2011, Secretary General, CMA, Joint
Secretary, CMA and Shri Amish Sheth, Territory Tech. Services Manager of UltraTech Cement Ltd. met
Shri H D Vala, Chief Engineer of Roads & Buildings Dept., Govt. of Gujarat on 9
th
June 2011 and
discussed various aspects of Cement Concrete Roads/White-Topping. A detailed Note on Cement
Concrete Roads/White-Topping was handed over to the Chief Engineer.
A Meeting of officers of CMA and UltraTech Cement Ltd., (the Nodal Company for Maharashtra, Gujarat,
Karnataka and Goa) with the Officers of the Southern Command Pune was held on 22
nd
June 2011
in the office of Chief Engineer, Southern Command Pune, wherein a Note on Cement Concrete
Roads/White-Topping handed over. Shri Ashwin Moghe, Vice President (Tech), UltraTech Cement
Ltd made a Presentation on Sustainable Cost-effective Options for Road Pavements.
On invitation from Shri P.R. Sreekumar, Jt. Secretary, PWD, Kerala, to discuss Cement Concrete
Roads/White-Topping with the Honble Shri V K Ebrahim Kunju, Minister for Public Works, Govt.
of Kerala, a meeting was held in the office of the Minister of Works, on 15
th
November 2011. Dr. V.
Ramachandra, Asstt. Vice President & Zonal Head (Tech) South, UltraTech Cement Ltd made a
Presentation on White-Topping and ICP Blocks with particular reference to providing
underground services etc. A film on White-Topping was also shown by Dr. Ramachandra.
UltraTech Cement Ltd. had a meeting with the Mayor of Chennai and other Officials of Chennai
Municipal Corporation in December 2011 and made a Presentation on White-Topping. Impressed
by the technology Chennai Municipal Corporation is very keen on going ahead with the plan to invest,
in the next five years, at least Rs.2,500 crores to lay 1,000 kms of cement concreting (White-Topping)
in Greater Chennai for better longevity and good riding surface.
Officials of CMA and UltraTech Cement Ltd. had a meeting with Honble Mayor of Vasai-Virar
Municipal Corporation (VVMC), Shri Rajiv Patil on 8th December 2011. Shri Ashwin Moghe, Asst.
Vice President (Technical), UltraTech Cement Ltd. made detailed presentation on Cement Concrete
Roads/White-Topping.
On 30
th
March 2012, Chief Consultant (Roads), CMA made a presentation to Shri V.L. Patanker, Member
(Tech.), NHAI and other Senior Officers of NHAI on Application of Software for Design and Cost
Comparison of Cement Concrete Pavement vis--vis Bitumen Pavement. Shri Binod Kumar,
Scientist, Rigid Pavement Division, CRRI answered the queries by NHAI engineers on Design,
Construction and Maintenance of Cement Concrete Pavement.


*****


76

ANNEXURE-X
LIST OF SEMINARS/WORKSHOPS/CONFERENCES ON TECHNICAL
MATTERS SPONSORED AND PARTICIPATED BY CMA
CMA-CII Godrej GBC organized 7th Green Cementech 2011 in Hyderabad on 5 6 May
2011. CMA put-up a Stall with Theme : Social-Economic Success of Cement Industry.
CII organized Eighth Meeting of Indo-US High Technology Cooperation Group on
Nanotechnology in New Delhi on 11 July 2011.
Consultation programme on Fly Ash Utilization organized by Shriram Institute of Industrial
Research, Delhi (in association with DST & MoEF) in Delhi on 21 22 July 2011.
TERI-BCSD Panel Discussion on Advancing Sustainability in New Delhi on 11 August
2011.
Indias Second National Communication: NATCOM II meeting convened by MoEF in New
Delhi on 20 September 2011.
ISO India 2011 Open Session in New Delhi on 22 September 2011.
FICCI organized discussions on Carbon Footprint Standards & Specification for Green
Environment in New Delhi on 29 September 2011.
Asia Cement Summit 2011 in Delhi-NCR Gurgaon on 14 15 October 2011.
Energy Efficiency Technology Workshop India-UK Energy Efficiency Collaborative
Platform in New Delhi on 14 - 15 November 2011.
12th NCB International Seminar on Cement & Building Materials in New Delhi on 15 18
November 2011.
CMA-CII Workshop on Alternate Fuels in Jaipur on 23 24 November 2011.
CII organized Stakeholders Meet on Low Carbon Technology Roadmap for the Indian
Cement Industry in New Delhi on 17 January 2012.
Winrock International India organized Workshop on Emissions Trading System in India- a
Viable policy option in the Future? in New Delhi on 17 February 2012.

*****
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ANNEXURE-XI
CEMENT DEMAND AND CAPACITY PROJECTIONS INCLUDING SUMMARISED
KEY RECOMMENDATIONS FROM REPORT OF THE WORKING GROUP
ON CEMENT INDUSTRY FOR XIITH FIVE YEAR PLAN
A. Cement Production - Projections
(in million tonnes)
Ending
March
Base
Line
Base line+
Concrete
Roads
Base line+
Roads+
Housing
Base line+
Road+
Housing+
Fiscal
Support
Assumed Rate of growth
(in per cent)
Scenario 1 2 3 4 1 2 3 4
2011 228.3 228.3 228.3 228.3
2012 246.7 246.7 246.7 246.7 8.04 8.04 8.04 8.04
2013 267.7 270.2 271.4 272.0 8.53 9.53 10.04 10.29
2014 290.4 295.8 298.6 299.9 8.50 9.50 10.00 10.25
2015 316.6 325.4 329.9 332.2 9.00 10.00 10.50 10.75
2016 345.1 358.0 364.5 367.9 9.00 10.00 10.50 10.75
2017 376.1 393.8 402.8 407.4 9.00 10.00 10.50 10.75
B. Cement-Installed Capacity - Projection
(in million tonnes)
Ending
March
Base
Line
Base line+
Concrete
Roads
Base
line+
Roads+
Housing
Base line+
Road+
Housing+
Fiscal
Support
Assumed Rate of growth (per cent)
Scenario 1 2 3 4 1 2 3 4
2011 323.2 323.2 323.2 323.2
2012 336.1 336.1 336.1 336.1 4.0 4.0 4.0 4.0
2013 349.6 349.6 349.6 349.6 4.0 4.0 4.0 4.0
2014 363.1 369.8 373.2 374.9 3.9 5.8 6.8 7.2
2015 386.1 396.9 402.3 405.1 6.3 7.3 7.8 8.0
2016 413.3 428.7 436.6 440.6 7.0 8.0 8.5 8.8
2017 442.5 463.3 473.9 479.3 7.1 8.1 8.5 8.8
Assumptions
The existing installed capacity is higher than the demand would have required the sector to
create. The existing plants and plants in the pipe line indicate that excess capacity will
continue. In fact, based on demand projections, additional capacity creation becomes
necessary from 2013-14 only.


78

For the first two years, it is, therefore, assumed that the existing capacity will be
operationalized. In 2013-14, it is assumed utilization to reach a level of 80 per cent and
gradually increase to reach 85% level in 2016-17. Capacity, therefore, is higher than
domestic production by that factor.
C. Support to Cement Industry
Stimulus to the sectors which are major users of cement
a. Fiscal support to housing and roads could accelerate the demand for cement quite
substantially. Given the housing shortages in rural and urban areas and given the
increase in the cost of affordable house income tax relief for the interest paid on the house
building loans may be extended from Rs 1.5 lakh to Rs. 4 lakh per annum.
b. With a view to creating a world-class road infrastructure in the country for the rapid and
inclusive growth of the economy:
i) All new expansions in the National and State Highways may be made of cement
concrete as a Policy. To begin with, this percentage could be 30% of the total
allocations.
ii) All existing bitumen National and State Highways where strengthening is required
should be replaced with concrete surface, by adopting the technology of concrete
overlays, popularly known as White Topping.
iii) Use of PPC may be made mandatory in the construction of roads as a policy not only
for National and State Highways but also in the construction of roads by all agencies
including CPWD, State PWDs etc. This has already been permitted by the Indian
Roads Congress (IRC).
iv) All existing city roads having bitumen surface be converted gradually to cement
concrete and new ones should preferably be constructed with cement concrete
technology.
v) All connecting roads in villages must be done with cement concrete technology.
D. Addressing Tax structure for cement
a. Cement is highly taxed commodity in India. The overall rate of tax on cement was
estimated to 30% compared to 19% in China and almost negligible in Thailand. Therefore
tax burden on cement industry be lowered suitably.
b. Levy of Excise Duty on Cement should be simplified i.e. specific rate or as a per cent to
Retail Sale Price with suitable abatement as is available in other commodities.
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c. Current rate of VAT on cement and clinker, be brought in line with similar important
construction material like Steel at 4%. This would make cement more affordable.
d. There is no import duty for import of Cement into the country. This tax anomaly puts
domestic manufacturers at a disadvantage. Thus such differences in tax treatment need to
be removed to offer a level playing field to domestic production vis--vis imports. The
import of cement should also be with a duty of 5 per cent along with the applicable CVD.
E. Export of Cement/Clinker
To make the Indian Cement/Clinker competitive in the International Market and with a view
to giving afresh boost to the Export of Cement and Clinker:
a. Classification of cement for rail freight is reduced from 150 as of today to 140. Differential
classification of goods for domestic and export purposes is already in vogue for iron ore,
where transportation for export purposes attracts a higher classification. In case of
cement, the classification for export purposes is proposed to be reduced.
b. The royalty paid on lime stone should be neutralized for export of cement. This is
consistent with the approach that domestic taxes are not exported.
F. Fuel / Coal Requirement and Availability
Coal Requirement: The range of coal requirement for the cement industry during the
different years of 12th plan period is assessed to be in the range of 63-96 million tonnes
(46-70 million tonnes for cement production and 18-27 million tonnes for captive
power).
Increasing supply of coal under Linkage for Cement: Post 2007, no new linkage has
been granted to any cement manufacturer. Even in cases where linkage has been
granted, actual supply against such linkages is poor. Thus, unless the linkage coal is
quickly increased the fuel supply gap shall put upward pressure on cement production
costs.
Equal priority in grant of Coal linkage vis-a-vis other sectors: Priority linkage needs
to be provided for 100% requirement to all cement players at administrative price.
Reserving sufficient coal blocks for cement industry: Out of total coal reserve
blocks, a proportion of high grade coal blocks should be reserved exclusively for cement
sector keeping its current production capacity and future expansion into consideration.
The coal sector remains highly regulated under government control, is monopolistic in
nature, faces mining and exploration bottlenecks, particularly in underground mining,
has attracted low levels of private investments over the years, and faces logistical
bottlenecks and technological obsolescence. As such, it is proposed that the possibilities


80

of unbundling the various operations of the coal sector under a regulator with Public
Private Partnership be seriously explored by revisiting the Coal Mines (Nationalisation)
Act, 1973. This will enable private participation in a competitive manner in a regulated
environment in areas which is their core competency.
G. Availability of Fly Ash to cement plants
Information about fly ash generation, utilization and its stock be made public by the
Ministry of Environment and Central Electricity Authority. At the same time it should
also be made mandatory for each power plant to display complete information about
the plant level ash generation, its stock and disposal at their respective websites
including pricing if any on a regular basis.
Cement industry be exempted from MOEF notification of 3rd November 2009 which
makes it mandatory for cement industry, having captive power plants to provide 20%
of fly ash generated by them as free to the small brick / tile manufacturers within 100
Km vicinity of their plants, which otherwise would have been utilized by cement plants
for their own consumption.
Ministry of Environment and Forests (MoEF) should formulate guidelines for
Implementing the principle of Polluter to pay for disposal of wastes.
H. Technology Status
Alternate Energy Sources :
The cement industry in India has the potential to utilize the entire hazardous waste
generation of the country, if found suitable. For co-processing, following support is required:
A cement plant which fulfills the co-processing prequalification criteria should be
issued a permit to co-process all types of waste, while remaining within maximum
permissible emission norms.
Cement plants should be permitted to move waste from other states with minimum
restrictions if they are following standing guidelines.
National Clean Energy Fund : For creating a National Clean Energy Fund, an energy
cess has been levied on coal and lignite produced and imported at the rate of Rs.50 per
tonne. The coal consumption in Indian Cement Industry is about 4.5% of the total coal
consumption in India. The funding from this corpus for cement sector may be provided
on following account: Modernization of cement plants, alternate fuels - used tyres,
biomass, hazardous waste, municipal solid waste, CETP sludge etc., renewable energy -
wind, solar energy, carbon sequestration, projects related to GHG reduction measures
etc.
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Nano Technology :
The application of nanotechnology to cement and concrete is expected to result in
development of eco-friendly, high performance cements/ binders and concrete with
improved durability characteristics. R&D efforts to develop new technologies and
improved cements and concrete based on nanotechnology need to be further
strengthened in India.
Research and Development :
The R&D expenditure in India as a percentage of Gross Domestic Product (GDP) is
around 0.8%. However for a comparison, most of the developed countries spend
between 1.23% to 3% of their GDP on research and development.
There is a need for creating facilities for R&D in cement plant machinery design at
national level and to evolve appropriate mechanisms for transfer of technologies to the
industry whether developed indigenously or imported.
There is a need for creating capabilities for manufacture of cement plant machinery
indigenously.

*****


82

ANNEXURE-XII
LIST OF CMA PUBLICATIONS/PERIODICALS

A. Brought out/updated during 2011-12
Indian Cement Industry - Statistics
Basic Data on Indian Cement Industry
DOs and DONTs for Cement Concrete Road Construction
White Topping of RoadsConcrete Overlay Technology
Cement, Energy and Environment Quarterly
Cement Journal Quarterly
Cement News Digest Weekly

B. Other Important publications
CMA Directory
Handbook on Cement Concrete Roads (Revised)
City Concrete Roads . (Modified and Enlarged)
Cement Concrete Roads A Long Lasting Gift to Nation
Construction, Maintenance and Upkeep of Concrete Building
Building Lasting Homes
Cement Concrete Canal Lining
Cement for Construction A Consumer Guide
(In Different Languages English, Hindi, Tamil, Telugu, Malayalam,
Kannada, Punjabi and Gujarati)
Blended Cement Portland Pozzolana Cement (A Pamphlet)
Four Laning of Satara-Kolhapur-Kagal, NH4 (Updated)
Handbook on Cement Concrete Canal Lining
Precast Concrete Block Paving
Fuel Savings on Cement Concrete Pavements
Concrete Roads - 'Why' & 'How'
Advances in Concrete Science & Technology
Concrete Pavements for Toll (BOT) Roads
Concrete for the Sustainable Development in the 21st Century
Cement Concrete Roads - Arteries for the 21st Century (A Brochure)
Global Warming & Cement
Environment Friendly Cement Industry
QC Cement Concrete Roads Mumbai
Handbook of Ready Mix Concrete
India's First Access Controlled Expressway - Mumbai-Pune
City Concrete Roads Mumbai leads the Way
Cement Concrete Pavements for City Roads, Bus Stands & Depots
Cement Concrete Roads for Cities
Widening and Strengthening of Single Lane Roads under NHDP IV
Concrete Pavements Option
Cement in Service of The Nation
51
st
Annual Report

83

MEMBER COMPANIES OF CEMENT MANUFACTURERS' ASSOCIATION
(As on 31.3.2012)

1. Andhra Cements Ltd
Sri Durga Cement Works
Sri Durgapuram, Dachepalli-522 414
Guntur Distt. (A.P.)
2. Anjani Portland Cement Ltd
Anjani Cement Centre
Plot No. 7 & 8
D.No.8-2-248/1/7, Nagarjuna Hills
Main Road, Punjagutta
Hyderabad 500 082 (A.P.)
3. Bagalkot Cement & Inds. Ltd
Stadium House, Block No 1, 6th floor,
Veer Nariman Road, Churchgate.
Mumbai - 400 020
4. Binani Cement Ltd
706, Om Towers,
32, Chowringhee Road,
Kolkata - 700 001
5. Birla Corporation Ltd
(Cement Division)
Birla Building
9/1, R.N. Mukherjee Road,
Kolkata 700 001
6. Cement Corporation of India Ltd
(A Govt. of India Enterprise)
Scope Complex, Core No. 5
7, Lodhi Road,
New Delhi 110 003
7. Cement Manufacturing Co. Ltd
Village Lumshnong, P.S. Khliehriat
Distt. Jaintia Hills,
Meghalaya 793 200
8. Century Textiles & Industries Ltd
Century Cement
Maihar Cement
Manikgarh Cement
Century Bhawan
Dr. Annie Besant Road
Mumbai 400 025
9. Chettinad Cement Corporation Ltd
Rani Seethai Hall Building
Post Box No.748, 603, Anna Salai,
Chennai 600 006
10. Dalmia Cement (Bharat) Ltd
Dalmiapuram - 621 651
Distt. Tiruchirapalli,
Tamil Nadu
11. Gujarat Sidhee Cement Ltd
Siddhigram - 362 276
Off. Veraval Kodinar Highway
Taluka Veraval, Distt. Junagarh,
Gujarat
12. Heidelberg Cement India Ltd
9th Floor, Tower-C, Infinity Towers,
DLF Cyber City, Phase-II
Gurgaon, Haryana 122002
13. The India Cements Ltd
Dhun Building'
827, Anna Salai,
Chennai 600 002
14. J.K. Cement Ltd
Kamla Tower
Kanpur 208 001
Uttar Pradesh
15. Jaiprakash Associates Ltd
(Cement Division)
Sector 128,
Noida 201 304, (U.P.)
16. Jammu & Kashmir Cements Ltd
(A Govt. of J&K Undertaking)
Nawa-I-Subh Complex,
Zero Bridge, P.Box No. 149
Srinagar 190 001
17. JK Lakshmi Cement Ltd
Jaykaypuram
Distt. Sirohi,
Rajasthan
18. The K.C.P. Ltd
Ramakrishna Buildings
2, Dr. P.V. Cherian Crescent
Egmore,
Chennai 600 008
19. Kalyanpur Cements Ltd
2 & 3, Dr. Rajendra Prasad Sarani
Kolkata 700 001
20. Kesoram Industries Ltd
Kesoram Cement
Vasavadatta Cement
9/1, R.N. Mukherjee Road,
Kolkata 700 001
21. Khyber Industries (P) Ltd
Khayam Road, Nowpora,
Srinagar 190 001
Jammu & Kashmir


84

22. Lafarge India Pvt. Ltd
Crecenzo Building, B-Wing, 10th Floor,
C-38 & C-39, G Block
Bandra Kurla Complex
Bandra (East)
Mumbai 400 051
23. Madras Cements Ltd
Ramamandiram
Rajapalaiyam 626 117,
Tamil Nadu
24. Malabar Cements Ltd
(A Govt. of Kerala Undertaking)
Walayar P.O.,
Palakkad Distt. - 678 624,
Kerala
25. Mangalam Cement Ltd
Adityanagar, Morak - 326 520
Distt. Kota
(Rajasthan)
26. Mawmluh-Cherra Cements Ltd
(A Govt. of Meghalaya Undertaking)
Taxation Building,
(Near Raj Bhawan)
Shillong - 793 001,
Meghalaya
27. Meghalaya Cement Ltd
Village Thangskari, P.O. Lumshnong,
Distt. Jaintia Hills,
Meghalaya - 793 200
28. My Home Industries Ltd
9th Floor, Block-3,
My Home Hub, Madhapur,
Hyderabad - 500 081
29. OCL India Ltd
Rajgangpur - 770 017
Distt. Sundergarh,
Orissa
30. Orient Cement
(Prop: Orient Paper & Inds. Ltd)
Bhubaneswar 751 012,
Orissa
31. Panyam Cements & Mineral Inds Ltd
C-1, Industrial Estate,
Bommalasatram, Nandyal,
Kurnool Distt.,
Andhra Pradesh 518 502
32. Penna Cement Inds.Ltd
Plot No.703, Sriniketan Colony,
Road No.3, Banjara Hills,
Hyderabad 500 034
33. Prism Cement Ltd
305, Laxmi Nivas Apartments
Ameerpet,
Hyderabad 500 016 (A.P.)
34. Rain Cements Ltd
(Formerly Rain Commodities Ltd)
Rain Centre,
34, Srinagar Colony,
Hyderabad 500 073 (A.P.)
35. Sanghi Inds.Ltd
Sanghinagar501 511
R.R.Distt.,
Andhra Pradesh
36. Saurashtra Cement Ltd
Near Railway Station,
P.O. Ranavav - 360 560,
Gujarat
37. Shree Cement Ltd
Bangur Nagar, Post Box No.33,
Beawar - 305 901
(Rajasthan)
38. Shree Digvijay Cement Co.Ltd
(Cimpor Group)
P.O. Digvijaygram 361 140
Via Jamnagar, (Gujarat)
39. Shriram Cement Works
(A Divn. of DSCL)
6th Floor, Kanchenjunga Building,
18, Barakhamba Road,
New Delhi 110 001
40. Tamil Nadu Cements Corp. Ltd
(A Govt. of Tamil Nadu Undertaking)
LLA Building, 2nd Floor,
735, Anna Salai,
Chennai 600 002
41. UltraTech Cement Ltd
'B' Wing, Ahura Centre,
2nd Floor, Mahakali Caves Road
Andheri (E), Mumbai 400 093
42. Zuari Cement Ltd
(Italcementi Group)
Krishna Nagar, Yerraguntla 516 311
Kadapa Distt, Andhra Pradesh



CEMENT MANUFACTURERS' ASSOCIATION




SECRETARIAT


Secretary General Shri N.A. Viswanathan

Acting Secretary Shri S.K. Dalmia

Joint Secretary Shri S.V. Joshi

Shri N.K. Pande
Sr. Dy. Secretary Shri Jainender Kumar
Shri H.K. Panchal
Shri Rakesh Gupta

EDP Manager Shri Piyuesh Aggarwal

EDP Officer Shri J. Srinivasan

Sr. Assistant Secretary Shri N.Y.R. Sampath Kumar

Assistant Secretary Shri N.S. Pawar
Shri C.S. Pant

Technical Officer Shri K.K. Roy Chowdhury





AUDITORS
Messrs K.S. Aiyar & Co.
Chartered Accountants

































CEMENT MANUFACTURERS ASSOCIATION
(Website : www.cmaindia.org)

Corporate Office
CMA Tower, A-2E, Sector 24, Noida -201301 (U.P.)
Tel: 0120-2411955, 2411957, 2411958, 2411764, Fax: 0120-2411956
Email: cmand@cmaindia.org
Mumbai Office
Express Building, 1st Floor, Indian Merchants Chamber Marg, Churchgate, Mumbai - 400 020
Tel: 022 -22049691, 22851304, Fax: 022 -22040582
Email: cmabb@cmaindia.org, cmabb@bom3.vsnl.net.in

Hyderabad Office
3rd Floor, 36th Square, Plot No.481, Road No.36, Jubilee Hills, Hyderabad 0- 500 034.
Tel: 040-23553373
Email: cmahyd@cmaindia.org

Registered Office
Vishnu Kiran Chamber, 2142-47, Gurudwara Road, Karol Bagh, New Delhi 110005
Tel: 011- 28753206, 28751307, Fax: 011-28758476