Excess capacity a ‘major challenge’ for cement sector

Our Bureau New Delhi | Updated on November 29, 2018 Published on November 29, 2018

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Industry to slash carbon emissions

Availability of excess capacity in the cement sector is a major challenge the industry is facing right now, according to experts.

“There is an excess of 200 million tonne capacity lying idle,” said HM Bangur, Managing Director, Shree Cement Ltd.

While the industry has no non-performing assets and is one of the most efficient sectors, nothing much can be done till demand picks up, he added.

After capacity addition comes a six- or seven-year period of sub-optimum growth, where there is much capacity but the demand is not growing at the same pace, said KK Maheshwari, Managing Director, UltraTech Cement.

Meanwhile, at the summit organised by the Cement Manufacturer Association (CMA), industry leaders envisage a carbon emission reduction of 45 per cent by the cement industry through an investment of up to $50 billion by 2050.

“India’s cement industry is creating a sustainable competitive advantage, banking on new technologies, latest quality manufacturing processes, energy savings, low carbon footprint and a green future,” said Mahendra Singhi, Vice-President, CMA.

Published on November 29, 2018
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