JSW Cement is one of the leading players in across the Indian cement industry. The company produces three varieties of products: Portland Slag Cement (PSC), Ordinary Portland Cement (OPC) and Ground Granulated Blast Furnace Slag cement (GGBFS).
Anil Kumar Pillai, Director & CEO – JSW Cement Limited told Sandeep Menezes that the infrastructure growth coupled with the emergence of smart cities is going to be a huge growth driver for the cement industry.
Excerpts from the interview:
India’s present cement-manufacturing capacity is around 366 mt (million tonnes) but the demand is only about 300 mt per annum. Comment.
India is on the poise of an infrastructure boom. The next 2/3 years is going to witness tremendous development in infrastructure projects all around the country. In South alone there would be a huge requirement considering development of Andhra Pradesh and other states hence this is not a subject to worry. The Cement Industry is looking positive.
Although cement demand is subdued currently, the long term prospects are definitely bright. Tell us about the main future growth drivers for the cement industry?
The infrastructure growth coupled with the emergence of smart cities is going to be a huge growth driver for the cement industry. India will witness a tremendous acceleration in many areas such as ports, airports, expressways, and flyovers, metro and so on. Hence these are definitely going to be the growth drivers apart from the real estate boom as well.
Recent reports revealed that the government has decided to abandon bitumen – the popular raw material for road construction in favour of cement for all new road projects. Comment.
Cement Roads are better and have a longer shelf life as compare to roads made out of Bitumen. Therefore, we are happy with the decision.
In the near future do you expect consolidation in India’s cement industry?
Consolidation will happen as it happens in any industry. Consolidation is also good for the business. Today the cement industry is witnessing emergence of strong regional players, which is in addition to strong national players. Companies which have the bandwidth to manufacture world class products at competitive prices along with a strong distribution network and a strong brand presence are here to do business.
Indian cement industry is the second largest in the world but there remains number of environmental issues such as control of air pollutants, reduction of greenhouse gases and control of fugitive dust. How does JSW Cement view the situation?
We at JSW cement manufacture PSC cement which is a green product. As a corporate social responsibility towards people and environment, we ensure that our manufacturing facilities and the products that we manufacture comply with all norms prescribed by the governmental authorities.