Cement Industry

Presented By:

Abdul Mulla

Dipti Bharwada

Prachi Jadhav

Vaibhav Patki

Vinit Singh

Cement Industry- An Overview

• India is the 2nd largest cement producer in the world after China.

• Cement industry has contributed around 8% to the economic development of India.

• Key drivers of demand for cement are primarily economic growth, spending on infrastructure, commercial, housing construction and industrial activities.

• Four Key segments for the Cement demand are:-Housing: 67%Infrastructure: 13%Commercial Construction: 11%Industrial: 9%

Cement Industry- An Overview

• India is amongst the lowest per capita consumption of cement in the world at 145 kg

• Future Demand Drivers :

Expected GDP Growth level of 8% Initiatives for growth of HousingDevelopment of Roads/Other Infrastructure

• The cement demand during 2002-09 has registered a growth of 9.3%

Major Players of Cement Industry in India

• ACC Limited• Gujarat Ambuja Cement• Ultra tech• Grasim• India cements• JK cements ltd• Jaypee group• Century cements• Madras cements• Birla Corp

ACC Cements

• India’s foremost cement manufacturer with a countrywide

network of factories and marketing offices.

• It has been a pioneer and trend-setter in cement and

concrete technology.

• It is among the first companies in India to include

commitment to environment protection as a corporate

objective.

• ACC has won accolades for environment friendly measures

taken at its plants and mines, and has also been felicitated

for its acts of good corporate citizenship.

ACC- An Introduction

• Established in year 1936 as a result of a merger of 10 existing companies

• 1947 -India’s first indigenous cement plant, designed and built by ACC at Chaibasa

• 1956 -Pioneered bulk cement distribution at Okhla, Delhi

• 1961 -First production of slag cement in India at above plant (Okhla), Delhi

• 1965 – Commenced a Central Research Station at Thane

• 1979 - Award of management contract for Yanbu (Saudi Arabia)

• 1993 – Pioneered Commercial Ready Mix Concrete in Mumbai, India

• 2004 -ACC named India’s only “Super Brand” in cement sector

Brief History

Subsidiary companies

Bulk Cement Corporation (India) Limited: Year of Incorporation: 1992-93 Business: Pioneering of bulk handling facility funded by World

Bank. Located at Kalamboli, Mumbai ACC’s Stake & [Investment]: 94.65% [ Rs 37.27 Cr]

Lucky Minmat Private Limited: Year of Acquisition: 2007 Business: Limestone mining. Location Sikar district, Rajasthan ACC’s Stake & [Investment]: 100% [ Rs 38.10 Cr]

ACC Concrete Limited: Year of Incorporation: 2008 [ACC transferred the RMX business] Business: Ready Mix Concrete. 29 plants located pan India ACC’s Stake & [Investment] 100% [ Rs 100.00 Cr]

ACC Cement plants in India

Name of the Company Location State Process Used

ACC Ltd. Gagal Himachal Pradesh Dry

ACC Ltd. (G) Tikaria Uttar Pradesh Grinding Unit

ACC Ltd. Lakheri Rajasthan Dry

ACC Ltd. Kymore Madhya Pradesh Dry

ACC Ltd. Chaibasa Jharkhand Chaibasa

ACC Ltd. Sindri Jharkhand Grinding Unit

ACC Ltd. Jamul Chhattisgarh Dry and Semi-Dry

ACC Ltd. Chanda Maharashtra Dry

ACC Ltd. Wadi Karnataka Dry

ACC Ltd. - New Wadi Karnataka Dry

ACC Ltd. Macherial Andhra Pradesh Grinding Unit

ACC Ltd. Madukkarai Tamil Nadu Semi-Dry

ACC PLANT LOCATION’S

• Ordinary Portland cement (OPC)• Portland Pozzolana Cement (PPC)• White Cement• Portland Blast Furnace Slag Cement (PBFSC)• Specialized Cement• Rapid Hardening Portland cement• Water Proof Cement

Types of Cement produced in India

FinancialsDebtors:

The Debtors of ACC have consistently increased over the past few years

There has been an increase of 6% since last year & 38% since FY ‘05

ACC currently has debtors of Rs. 310 crs

FinancialsCreditors: There has been a significant increase in demand for

cement in the overseas market

The creditors for ACC stands at Rs. 1433 crores

There has been an increase of 10% in the creditors since the last year

PRODUCTION PROCESS

•Raw Material Preparation

•Raw Grinding

•Pyro processing

•Finish Grinding and Distribution

Production Process

Human Resources - Strategy

• Recruitment

• Performance Management System

• Training & Development

• Employee Welfare Perquisites

Market Strategy

Business Goal Objective Plan

Market Share Retain Market LeadershipCapacity expansion to keep pace with the

industry growth

   - Our installed capacity would reach - 30 Million

tons by mid of 2010

Cost Competiveness

Leadership in customer value, quality & delivered cost Manufacturing Transformation

    Cost and quality benchmarking

Organization Accountable, Responsiveness & motivated HR Transformation

    Performance management system

    ACC Academy

    ACC Accelerate - Internal Communication Portal

Corporate Citizenship Safe Place to Work Safety Transformation

  Employer of Choice Sustainable Development

  Reputed corporate entity CSR Plan

Bottom Line Generate cash for sustainable growth  

ACC has also extended its services overseas to the Middle East, Africa, and South America, where it has provided technical and managerial consultancy to a variety of consumers, and also helps in the operation and maintenance of cement plants abroad.

Overseas Suppliers

Ratio’s & MA Calculations

Commitment “To be one of the most respected companies in India; recognized for challenging conventions and delivering on our promises”

A New Vision

THANK

YOU!