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Page 1: Past Presidents of CMA -  · PDF filePast Presidents of CMA ... cement industry as a result of Supreme Court Judgment in ... Department of Industrial Policy and Promotion,
Page 2: Past Presidents of CMA -  · PDF filePast Presidents of CMA ... cement industry as a result of Supreme Court Judgment in ... Department of Industrial Policy and Promotion,

Past Presidents of CMA

Shri Dharamsey M. Khatau 1961 to 1964Shri G.D. Somani 1965 to 1967Shri V.H. Dalmia 1968 to 1969Shri R.D. Shah 1970 to 1973Shri P.K. Mistry 1974 to 1976Shri A.K. Jain 1977 to 1978Shri R.P. Nevatia 1979 to 1980Shri S. Krishnaswamy 1981 to Aug’82Shri V.L. Dutt Oct’82 to Oct’83Shri J.R. Birla Nov’83 to Mar’87Shri M.H. Dalmia Mar’87 to Jul’89Shri M.N. Mehta Jul’89 to Jul’91Shri N. Srinivasan Jul’91 to Aug’94Shri M.C. Bagrodia Aug’94 to Sep’96Shri N.S. Sekhsaria Sep’96 to Jun’98Shri A.L. Kapur Jun’98 to Mar’99Shri Y.H. Dalmia Mar’99 to Aug’99Shri M. Karnani Aug’99 to Oct’00Shri T.M.M. Nambiar Oct’00 to Oct’02Shri B.L. Jain Oct’02 to Sep’04Shri N. Srinivasan Sep’04 to Dec.06Shri Manoj Gaur Dec’06 to Jul’07Shri H.M. Bangur Jul’07 to Oct’09Smt. Vinita Singhania Oct’09 to Jan’12Shri M.A.M.R. Muthiah Jan’12 to Jan’14

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Shri O.P. PuranmalkaPresident, CMA

Dr. Shailendra ChoukseyVice President, CMA

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CEMENT MANUFACTURERS' ASSOCIATION

PRESIDENTShri O.P. Puranmalka

VICE PRESIDENTDr. Shailendra Chouksey

MEMBERS OF THE MANAGING COMMITTEE

Shri Harsh V. LodhaShri B.R. NaharShri Rajendra ChamariaShri Alok PatniShri P.S. BakshiShri R.K. VaishnaviShri M.M. Venkateswar RaoShri Mahendra SinghiShri Jamshed N. CooperMs. Rupa GurunathShri Rakesh SinghShri T.S. RaghupathyShri V.M. MohanShri C.S. SadasivanShri Raakesh GuptaShri Sunny GaurShri Rahul Kumar

Shri Raghavpat SinghaniaMrs. V.L. Indira DuttShri Siddhartha P. SinhaShri Ujjwal BatriaShri K.C. JainShri AmandeepShri Deepak KhetrapalShri P.R.R. RajhaShri Atul DesaiShri M.S. GilotraShri Prashant BangurShri C. Kamaraj, IASShri Dilip GaurShri Vivek AgrawalShri Atul DagaShri MSR Kali PrasadMr. Nabil Francis

PERMANENT INVITEES

Shri M.A.M.R. MuthiahSmt. Vinita SinghaniaShri H.M. BangurShri Manoj GaurShri N. Srinivasan

Shri B.L. JainShri Y.H. DalmiaShri M.N. MehtaShri M.H. DalmiaShri V.L. Dutt

SECRETARY GENERALShri N. A. Viswanathan

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FOREWORD

The 54th Annual Report of CMA for the year 2014-15 is before you. Thecomprehensive Report has covered a review of the performance of the cementindustry during the year under reference.

With the new set of base and parameters adopted by the Govt, the Indianeconomy grew at 7.3% in 2014-15 as against 6.9% witnessed in the previous fiscal. Inthe current FY 16, despite political compulsions and constraints, it has been projectedthat the GDP growth would be around 7.3%. This turnaround in the economy is areflection of the bold policy reforms and measures taken by our dynamic PM, ShriNarendra Modi.

It is ironical, however, that the growth in the cement production, which hadempirically a direct co-relation of 1.1 to 1.2 with the GDP, has had no visible impact onground so far. As per the Govt. statistics, cement industry grew at 5.6% and 3.1%respectively in 2014-15 and 2013-14. In the first nine months of the current financialyear (Apr-Dec 2015), the growth of the cement industry was a mere 2.2% despite thefact that Govt. has announced preference for the Cement Concrete Roads as defaultoption in case of National Highway Projects, in addition to development of 100 SmartCities, Housing for all by 2022 and many more such projects. Govt., therefore, has tokindly bridge the time gap between the policy announcement and its implementationto spur the growth.

Apart from sluggish cement demand rendering 116 million tonnes idle capacity,the cement industry has also been suffering on account of dwindling availability ofcoal, power and Rail wagons, in addition to high taxation, increasing costs of inputsand transportation costs coupled with severe environmental and mining normspractically and technically difficult to adopt. These aspects are now briefly touchedupon in the following paras.

Coal availability to the cement industry is a major constraint. Its satisfactionlevel for the Industry has now touched its nadir at 26% from 69% in 2003. Otheremerging problems concerning coal are cancellation of coal blocks allotted to thecement industry as a result of Supreme Court Judgment in September 2014 and

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Govt’s recent move to have auction of coal linkages. This will only lead to masslitigation and, therefore, its implementation may face difficulties on ground.Therefore, there is a strong case for maintaining continuity of the current linkagemechanism. Further, this core sector Industry needs to be also accorded the samepriority as given to the Power sector in meeting their coal requirements for runningtheir kilns and also CPPs seamlessly.

Consistent and regular Power availability, a key infrastructural requirement forsustained manufacturing operations of the industry, is another major constraint.Cement Industry has been making concerted efforts to gradually bring down itspower consumption through proactively participation in Schemes like PAT of Bureauof Energy Efficiency and also through installing environment-friendly Waste HeatRecovery (WHR) system for co-generation of power wherever feasible. WHR system,which fulfils Renewable Purchase Obligations being imposed by various Govts. on theIndustry, has to be encouraged and incentivized and treated as Renewable Energy.

Rail transportation is yet another equally important bottleneck. Steadilyincreasing freight rates, coupled with inadequate availability of wagons,infrastructure shortcomings at terminals and Policies of Railways not adequatelyaddressing the interest of the Industry, completely jeopardise its dispatch plans.There is need for Railways to look into these concerns and also bring their landedcost of cement comparable with the Road Transport.

To deal efficiently and effectively with the alarming negative impact onenvironment and human health arising from the generation of Industrial andMunicipal Wastes and also fly-ash in the country, the Industry has made certainchanges in its manufacturing processes to use AFR and has also set up grinding units,nearer the thermal power houses, to use more fly ash by making huge investments.The utilization of fly-ash by the Cement Industry received a big set-back in 2009 whenthe MoEF issued an amendment to its 1999 Notification making the fly-ash pricedcommodity. Similarly, there are a number of challenges faced by our Industry withregard to using AFR for co-processing. All developed nations globally have utilisedcement kilns in their countries as an effective option for industrial, municipal andhazardous waste disposal. To encourage the Industry to utilise more fly-ash andincreasing AFR usage, they must be supplied ‘Free-of-Cost’ on the world-acceptedprinciple ‘Polluter to Pay’.

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A key concern adversely impacting the industry emanates from the rigid normsnotified by the MOEF&CC in August 2014 for SO2 Emission Standards, Oxides ofNitrogen (NOx) and Particulate Matter (PM) without taking into consideration therecommendations of the Central Pollution Control Board, National Council forCement and Building Materials and CMA’s submissions to the Ministry. Cementindustry has been finding it extremely difficult to meet these standards in the existingplants due to limitations in the technology and lay out and also due to poor quality ofinput materials and fuel it gets for cement production and running its CPPs. Theyneed a re-consideration for having realistic and achievable Standards.

Under the MMDR Act 2015, the industry has been impacted severely onaccount of ambiguity on effective date of contribution of royalty to District MineralFoundation; transfer of mining leases arising out of merger and acquisition of a unit,maximum area for which a PL or ML be granted, etc. Govt. may kindly address ourIndustry’s concerns urgently in this regard.

High taxation is yet another major anxiety of the industry. Cement industry istaxed at 60% of the ex-factory price, which is more than even the luxury items. Thereis an urgent need for at least 25% reduction in overall taxation from the current level.

Cement imports from Pakistan continue to make way into Punjab and otherplaces at cheaper rates as there is no import duty on cement in India. Although thequantity imported is not substantial, it has spoiled the domestic market of Punjabwhich has adverse ramifications in other parts of the country too.

It is not out of place to mention here that to protect the domestic steelindustry from increasing imports, the Govt. has recently enhanced the import duty onsteel considerably. Following the same logic, import of cement, a constructionmaterial like steel, needs to be discouraged through imposing a higher percentage ofimport duty to provide domestic players a level playing field with their globalcompetitors.

We are sanguine that once the genuine grievances of the cement industry areduly addressed by the Govt., not only would revive our economy at a rapid pace butalso PM’s various programmes and missions like (a) Make In India (b) Swacch BharatAabhiyan (c) Employment for all (d) housing for all (e) World-class Cement ConcreteHighways, etc. would be realized significantly.

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As in the past, Department of Industrial Policy and Promotion, Ministry ofCommerce and Industry, has been highly supportive of our industry for which, I amgrateful to its Secretary, Joint Secretary and other senior officers. I am equallyindebted to Secretaries, Addl. Secretaries, Joint Secretaries and other Officers fromMinistries 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, continuedassistance, steady support and cooperation.

I wish to thank Senior Members, Members of the Managing Committee andvarious other CMA Committees for their valuable guidance, co-operation andassistance whenever needed. But for their unstinted help and cooperation, it wouldnot have been easy for your Association to discharge its responsibilities as efficiently.

I must also record here my appreciation of the efforts and contribution of theCMA Wage Negotiation Committee, headed under the dynamic leadership of Shri N.Srinivasan, in settling amicably yet another Memorandum of Settlement on WageRevision for four years from 1st April, 2014.

Let me also take this opportunity to thank the Officers and Staff of CMA forrendering their dedicated service to the Government, Industry and, most importantlythe Consumer, under the supervision and mature guidance of Secretary General, ShriN.A. Viswanathan. I am sure that the Secretariat would continue to provide itsvaluable service in future too.

(O.P. Puranmalka)President

New DelhiFebruary 2016

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54th Annual Report

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CEMENT MANUFACTURERS’ ASSOCIATION

54th ANNUAL REPORT 2014-15(Under Rule 49 – Rules & Regulations of CMA)

The Managing Committee is happy topresent its 54th Annual Report for theyear 2014-15.THE YEAR AT A GLANCE

EconomyAfter witnessing a sub-5% GDP Growthin the years 2012-13 and 2013-14, theIndian economy, during the year underreview 2014-15, was on the path ofrecovery. This was possible only after araft of bold measures and policydecisions taken by the New NDA Govt.at the Centre, under the dynamic andable leadership of Shri Narendra Modi,Hon’ble Prime Minister of India.During the year under review, thegrowth in GDP was reported at 7.2%.This growth rate is calculated as perthe New Concept ‘The Gross ValueAdded’ (GVA) introduced by theCentral Statistical Organization (CSO)with base year of 2011-12 and hencecannot be compared with the sub-5%growth of 2012-13 and 2013-14.Though a growth rate of 7.2% maysuggest that India is one of the fastestgrowing major economies in the world,

in reality numerous other indicatorspoint to continued slack in theeconomy.As per the New Series, the growth inAgriculture sector during 2014-15 was0.2% as against 3.7% in the previousyear 2013-14, while the output ofmining and quarrying sector slipped to2.4% from 5.4% a year ago.The Manufacturing sector rose by 7.1%in 2014-15 as against 5.3% in theprevious year. This 7% plus growth inmanufacturing sector sends signals ofeconomic revival.The construction sector registered anincrease of 4.8%, up from 2.5% in2013-14.The Cement Sector plays a vital role inthe economic growth of the countryand in its journey towards inclusivegrowth. Cement is an essential item forthe Construction Sector and to allinfrastructural projects. TheConstruction Sector alone contributesto over 7% of the country’s GDP.Cement Industry’s PerformanceDuring the year 2014-15, CementIndustry performed a little better than

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the previous year and achieved cementproduction of 270.24 Mn.t. as against255.83 Mn.t., registering a growth of5.63% as against 3.06% in previousyear, as per the Office of the EconomicAdvisor, Department of IndustrialPolicy & Promotion(DIPP).Year Cement Prod.

(Mn.t.)% Growth

2013-14 255.83 3.1

2014-15 270.24 5.6Pan India cement production andcapacity are reflected in Annexure-I.The above growth is nowhere near thegrowth of 10% projected in the XIIthFive Year Plan document. There hasbeen capacity additions in cementindustry resulting in further decline ofcapacity utilization. The Plandocument had estimated minimumcapacity requirement at 386 Mn. t. forthe year 2014-15. Even if this capacityis to be taken into account for the year2014-15, in the absence of authenticinformation on capacity, it highlights tothe urgent need to boost theinfrastructure activities to createcement demand as the idle capacitylevel is estimated at 116 Mn.t. i.e. adead investment of over Rs.90,000crores in today’s cost.The Cement Industry continued towitness slowdown in cement demanddue to delay in clearances ofinfrastructure projects, cut in Govt.

spending, muted demand from the realestate and construction sectors anddecreased income from agriculture dueto poor monsoon.As reported last year also, the flow ofstatistical feedback to CMA practicallydried up after the Order dated 20thJune 2012 of Competition Commissionof India (CCI) in Case No. 29/2010“Builders Association of India Vs. CMA& Ors.”. In the absence of inflow ofstatistical data, CMA could not compilethe performance of Cement Industry.There is practically very littleinformation available about IndianCement Industry which is authentic.DIPP’s website only gives pan Indiaproduction of cement and even thisinformation is not complete, as evidentfrom the fact that the productionfigures keep changing in the Govt.website. This is clearly a pointer to theneed for an authentic system forcollection and compilation of thedatabase on Cement Industry whichwill provide the basis of futureplanning of the Industry. Absence of astrong database will definitely hamperthe planning for the Industry andthereby the infrastructure sector andeconomy of the country.Cement Industry’s Outlook (2015-16)As per the Economic Survey 2014-15,the economy is set to grow by 8.1-8.5%in 2015-16, and accelerate to a double-digit pace in a couple of years.

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The Cement Industry is hopeful thatthe considerable thrust andimportance given by the Govt. in itsBudget 2015-16 for the developmentof Cement Concrete NationalHighways, 100 Smart Cities, Urban andRural Housing & Road Connectivity,Dedicated Freight Corridors, UltraMega Power Projects, etc. and theirfruition as per schedule should help inregistering a boost in the demand forcement.MEETINGS OF THE MANAGINGCOMMITTEEThree meetings of theManaging Committee wereheld during 2014–15 toreview and deliberate on theissues pertaining to theproblems and challengesbeing confronted by theCement Industry and also findways to address them.CMA COMMITTEESShri O.P. Puranmalka,President, CMA has re-constituted the following CMACommittees/Task Forces forthe year to render assistanceto the Management of theAssociation to address variousemerging issues andproblems, having bearing onthe Cement Industry.

CMA Committee on Coal Matters.

CMA Committee on Railway Matters.

CMA Technical Committee.

CMA Energy Task Force(A part of CMA Technical Committee)

CMA Environmental Task Force(A part of CMA Technical Committee)

CMA Mines & Minerals Task Force(A part of CMA Technical Committee)

CMA Finance/ Legal MattersCommittee.

Names of the Chairmen/Co-Chairmen ofthe above Committees are indicated inAnnexure-II.

A view of Managing Committee Meeting

Shri O.P. Puranmalka, President, CMA conducting ManagingCommittee Meeting. Also seen in the picture Dr. S. Chouksey, Vice

President, CMA (right) and Shri N.A. Viswanathan, SecretaryGeneral, CMA (left)

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CEMENT INDUSTRY’S PRE-BUDGETMEMORANDUM – 2015-16In November, 2014, CMA in its Pre-BudgetMemorandum-2015-16 to Shri ArunJaitley, Hon’ble Finance Minister,submitted the following keyproposals/suggestions for redressal:Lowering Taxation Burden: BothCement & Clinker are essential itemsrequired for construction activities.However, Cement is treated differentlywhen it comes to the taxation. Cementis highly taxed, even more than theluxury items at 60% of ex-factory price.CMA pressed that Cement Industry’scurrent taxation burden be kindlylowered by at least 20% to 25% fromthe present level of 60% ex-factoryprice in the overall interest and growthof both Industry and economy.Excise Duty Rationalization andSimplification: Excise duty on Cementis levied @12% + Rs.120 per MT. Dutyrates are one of the highest and nextonly to luxury goods like cars. Othercore industries such as coal, steelattract duty at around 5%. Further, theExcise Duty structure for both cementas well as cement clinker has becomequite complicated in the last few years.CMA urged Government forrationalization and reduction of theExcise Duty from the current 12% to

6-8% without addition of Specific Dutyto bring it at par with other core andinfrastructure industries andsimplifying the duty structure eitheras specific rate per MT or on ad-valorem basis and without relating toMRP etc.Increase of abatement percentage:Excise duty on Cement is levied on“transaction value”. As per Section 4 ofCentral Excise Act, Maximum RetailPrice (MRP) is considered astransaction value if printed on bags.Since MRP consists of excise duty, VAT,freight component, post sales expensesand discount etc. MRP works out veryhigh as compared to transaction value.Moreover, in the Cement Industry,billing is done at a higher price andsubsequently, credit note is issued forall types of discounts/incentives viz.Rate difference, Cash discounts, andannual incentives etc., whichultimately result in reduction of netrealization of the company whereasExcise Duty is paid at a higher valuewhich is 70% of MRP.CMA, therefore, suggested that theexisting abatement of 30% may beincreased to 55%, as was alsorecommended by NCAER.Levy of Customs Duty on CementImports: Import of cement into India isfreely allowed without payment of

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basic customs duty whereas all themajor inputs for manufacturingcement, such as, Limestone, Gypsum,Pet coke, Packing Bags, etc. attractcustoms duty. In this situation, duty-free imports cause further unduehardship to the Cement Industry, apartfrom the security concerns inherent inthe import of cement from Pakistan.CMA requested that to provide a level-playing field, basic customs duty belevied on cement imports into India.Alternatively, Import duties on goodsrequired for manufacture of cementviz. Pet Coke, Gypsum, Limestone, TyreChips, and Other Inputs, be abolishedand freely allowed without levy of duty.Pet coke is expensive and the situationis further compounded and skewed bythe fact that the import duty on Petcoke is 2.5%. Presently the tyre chipsare put under the “Negative list” ofimports, whereby the same cannot beimported into India. CMA suggestedallowing tyre chips to be imported byremoving it from the “Negative list”and reduce the import duty on thesame to zero.The other issues taken up, inter-alia,include Classifying Cement as“Declared Goods, Tax exemption toCertified Emission Reduction (CER)credits under Clean DevelopmentMechanism, Exemption to Cement

Industry U/S 80-1A, Cenvat Credit onCapital goods used outside factory forhandling of Raw Material in relation tomanufacture of final product, Capitalgoods having useful life of less than ayear to be re-classified as Inputs, Issueon liability of VAT as well as CST oninter-state movement of materialbesides suggestions regarding DirectTaxes, issues relating to TaxAdministration, Policy Matters, etc.Pre-Budget Meeting for Union Budget,2015-16The Department of Revenue convenedPre-Budget meeting with Trade andIndustry Associations to discusssuggestions/recommendations inrespect of tax issues pertaining todifferent sectors for the Budget2015-16.On 11th December 2014, CMAdelegation led by its Vice President, Dr.S. Chouksey accompanied byrepresentatives of UltraTech CementLtd., Jaiprakash Associates Ltd., ShreeCement Ltd, Century Cement andSecretary General, CMA attended thePre-Budget Meeting held under theChairmanship of Shri Shashi BhushanSingh, Member (CBEC). Dr. Choukseymade a Power Point Presentationhighlighting the key issues of theCement Industry and reiterated thesuggestions made in the

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comprehensive Pre-BudgetMemorandum submitted to theHon’ble Finance Minister in November2014 referred to above.Union Budgets 2014-15 and 2015-16As members are aware, the newGovernment under the PrimeMinistership of Shri Narendra Modiwas formed in May 2014. During theyear under review, Shri Arun Jaitley,Hon’ble Finance Minister presentedtwo Union Budgets i.e. for the year2014-15 on 10th July, 2014 and for theyear 2015-16 on 28th February, 2015.Considerable thrust and importancehas been given in the Budgets for thedevelopment of Cement ConcreteHighways, Urban and Rural Housing,Ultra Mega Power Projects, Portconnectivity, etc. which may certainlyincrease the demand for cement.However, with the additional taxesimposed in the Budget by the Hon’bleMinister, the financial hardships beingexperienced by the Cement Industryhas gone up further considerably.INCREASE IN INPUT COSTIn the Union Budget 2014-15, 2.5%Basic Customs Duty and 2% CVD wasimposed on Anthracite coal,bituminous coal, coking coal, steamcoal and other coal. In addition, theClean Energy Cess was also doubled

from Rs. 50 per tonne to Rs.100 pertonne.In the Union Budget for the year2015-16, Excise Duty on Cement hasbeen increased from Rs.900 per tonneto Rs.1000 per tonne. The standard ad-valorem rate of duty of excise has beenincreased from 12.36% to 12.50% andspecific rates of Rs.120 per tonneincreased to Rs.125 per tonne. CleanEnergy Cess further increased fromRs.100 to Rs.200 per metric tonne ofcoal, etc. to finance clean environmentinitiatives. Royalty on Limestone hasalso been increased from Rs.63 toRs.80 per tonne of limestone.In the recently enacted Mines andMinerals (Development andRegulation) Amendment Act, 2015each existing mining lease holder isrequired to pay in addition to Royaltyan amount not exceeding Royaltypayable on the mineral and also has topay 2% of the Royalty for the NationalMineral Exploration Trust (NMET).The Service Tax rate has beenincreased from 12% plus EducationCess to 14% w.e.f. 1st June 2015.All above factors in addition to increasein the price of Fly Ash, Gypsum, Fuel,coupled with depreciation of rupeeagainst dollar, higher transportcharges, packing bags etc. led to furtherincrease in the production cost ofcement.

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MAJOR HIGHLIGHTS OF UNION BUDGET 2015-16CONCERNING THE CEMENT INDUSTRY

Housing for all - 2 crore houses in Urban areas and 4 crore houses in Rural areas.

Investment in infrastructure will go up by Rs.70,000 crore in the year 2015-16, overthe year 2014-15.

National Investment and Infrastructure Fund (NIIF), to be established with an annualflow of Rs.20,000 crores to it.

Making India, the manufacturing hub of the World through Skill India and the Make inIndia Programmes.

Development of Eastern and North Eastern regions on par with the rest of the country.

Target of renewable energy capacity revised to 175000 MW till 2022, comprising100000 MW Solar, 60000 MW Wind, 10000 MW Biomass and 5000 MW Small Hydro.

New Section 32AD inserted to provide additional 15% investment allowance of costof new Plant and Machinery acquired and installed in notified backward area of Stateof Andhra Pradesh & Telangana. This deduction would be over & above alreadyexisting deduction @ 15% u/s 32AC. Further, higher additional depreciation u/s 32(1)(iia) also proposed on such assets @ 35% instead of presently 20%.

Rate of Income-tax on royalty and fees for technical services reduced from 25% to10% to facilitate technology inflow.

Additional depreciation @ 20% is allowed on new plant and machinery installed by amanufacturing unit or a unit engaged in generation and distribution of power.However, if the asset is installed after 30th September of the previous year only 10%of the additional depreciation is allowed. It is proposed to allow the remaining 10% ofthe additional depreciation in the subsequent previous year.

Time limit for taking CENVAT credit on inputs and input services increased from 6months to 1 year from the date of invoice.

100% deduction for contributions, other than by way of CSR contribution, to SwachhBharat Kosh and Clean Ganga Fund.

A uniform abatement is now being prescribed for transport by rail, road and vesseland Service Tax shall be payable on 30% of the value of such service subject to auniform condition of non-availment of Cenvat Credit on inputs, capital goods and inputservices.

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INFRASTRUCTURECement sector plays a significant rolein the economic growth of the country.Cement is vital to the constructionsector and all infrastructural projects.The industry occupies an importantplace in the Indian economy because ofits strong linkages to other sectors,such as, construction, transportation,coal and power.The performance of the CementIndustry itself depends critically onregular and consistent supply of Coal,Power and availability of Railtransportation. The inputs from thesethree sectors account for roughly 50%of the cost of cement. Both theavailability and the cost of these inputshave a vital bearing on the fortunes ofthe cement players. All these sectorsare largely in Govt. domain, and,historically Cement companies havehad virtually no control on their costand availability.COALCoal is vital to the Cement Industry asit is the primary fuel and accounts for25-30% of the total cost of cementproduction. It takes about 170 kg ofcoal having 4500 UHV per KiloCalories/ 4901 Gross Calorific value ofG8 grade to produce one tonne ofclinker.

Consequent on the audit objection ofCAG, the Hon’ble Supreme Court ofIndia, in its Judgment dated 25.08.2014and Order dated 24.09.2014 passed inWrit Petition (CRL No. 120 of 2012)declared allocation of 218 Coal Blocksas arbitrary & illegal. The Hon’bleSupreme Court quashed the allocationof 204 Coal Blocks barring 14 allocatedto Ultra Mega Power Projects andblocks in operation of NTPC and SAIL.The issue of change in the regime ofcoal blocks allocation and relatedprocedure occupied centre stage andmind space of the Government,Producers and consumers through amajor portion of the year under report.Meetings with Government AuthoritiesDuring the year 2014-15, CMACommittee on Coal Matters heldperiodic meetings and also interactedwith various Government Authoritieson coal-related issues. Valued opinionand suggestions were sought from theMembers on regular basis on specificissues and problems as they arosebefore firming up Association’s viewsto take them up with the concernedauthorities for their resolution.CMA Delegation had three detailedmeetings with Shri ShailendraSingh, IAS Joint Secretary, DIPP,Ministry of Commerce & Industry, on12th August, 2014, 5th November

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2015, and 10th April 2015 on coalissues before the Cement Industrynamely, Coal Linkages, Coal Blocks,Coal quality and Sampling, Multiplevariations in grades, e-auction of coal,movement of coal by Rail and coal andenvironmental impacting its growth.In these meetings suggestions weregiven for their resolution. In addition,CMA also discussed the issuesemerging from the Hon’ble SupremeCourt of India’s Order quashing theallocation of 204 Coal Blocks, and alsodeliberated on further course of actionin the context of the proposedE-auction.A delegation of CMA Committee onCoal Matters met Additional Secretary(Coal)-cum-Chairman SLC (LT) on 3rdDecember 2014 and made apresentation in a Special Meeting ofStanding Linkage Committee (LongTerm) for Power, Sponge & CementSectors and emphasized on restorationof Normal Linkage quantities againstTapered quantities, grant of coallinkages against 175 applications,stepping up of the coal supplies toCement Industry through Fuel supplyAgreements for its kilns with specialreference to CPPs. In these meetings,Vice President, Dr. S. Chouksey, ShriN.A. Viswanathan, Secretary GeneralCMA, and other Senior Officers fromMember Companies also participated.

Resolution of the existing Coal linkages/LoAs granted to cement kilns and itsCPPs in the year 2007Six meetings of Standing LinkageCommittee (Long-Term) for Power/Cement/Sponge Sectors were heldunder the Chairmanship ofChairman/Addl. Secretary Coal (MOC)during the financial year 2014-15 toreview the status of existing CoalLinkages/LoAs and other relatedmatters and to resolve the issue ofsigning of FSAs against 20 LoAs.Your Managing Committee is happy toreport that with the exception of oneCement Company all other cases aresettled now.Fixation and adoption of Norm of coalconsumption for Clinker production byDIPP/MOCIn the Coal Block auction held in March2014, the eligibility for End use 114 kg.of coal for production of one tonne ofclinker was considered as norm. Thisnorm was at variance with the normsfixed by the DIPP in its communicationdated 5th January 2009, which was 170kg of coal for one tonne of cement.Chairman, CMA Committee on CoalMatters therefore, made a presentationbefore the Nominated Authority during

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the month of December’2014explaining the rationale andjustification for considering the normof 170 Kg. per tonne of coalconsumption per tonne of clinkerproduction for working out the coalrequirement for auction of the CoalBlocks for the Cement Sector.Convinced with CMA’s reasoning, coalconsumption norms for evaluation ofbids for end use plants for specific mineand for estimating their eligibility tocalculate their coal requirement for 30years at 85% capacity utilization wastaken as 170 Kg per tonne of coalhaving 4500 Kg.Cal/ UHV/ 4901K.CalGCV, thereby registering an increase of49% of normative specific coalconsumption for clinker productionover the norm of 114Kg. adopted in theCoal Block auction held in March 2014.This norm has been accepted andadopted for allocation of coal blocks.This issue had remained unsettled forthe past 8 years.This is a significant achievement and abig relief to Member Cementcompanies as otherwise they wouldhave had to face curtailment in theirnormative coal assessment for the end-use plants and also in the FSA ACQ.

Proposed Market based allocationmechanism on Coal Linkages byCIL/MOCJoint Secretary, to the Govt. of India,Ministry of coal vide Public Noticedated 4th June, 2015 circulated a draftmethodology for proposed auction ofCoal Linkages/LoA to non-regulatedsector through competitive biddingwhich covers cement, iron & steelincluding sponge iron, CPP and othersand also uploaded the same on theMOC website for public consultation.MOC notified that pursuant to theHon’ble Supreme Court Judgment inAugust and September 2014, e-auctionof Schedule II and Schedule III CoalMines was conducted. It was logical,therefore, to interpret that the samephilosophy of non-discretionaryallocation could be extended for theCIL linkages as well. This wouldrequire CIL to allocate linkagesthrough a market-based mechanism.CMA responded to the proposal that itwould not be correct to consider thelinkages, granted by the SLC (LT) underthe Chairmanship of Addl. Secretary,MOC, as discretionary allocations, asthese were granted under specific andclear-cut guidelines by the highestbody i.e. Inter-Ministerial Body. Thelinkages were also granted to the CoreSector/Regulated Sector by the samebody, which also includes Power

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Utilities & IPPs. In fact, equity woulddemand that equal treatment is givento cement sector on the lines of powersector as both the sectors areimportant pillars of “Make-in-India”campaign of the new Government.CMA further pressed that taperinglinkage granted against allotment ofcoal blocks needs to be restored as fullquantity of FSA (normal Linkagequantity) without charging 40% addon price as all the coal blocks havesince been cancelled by Supreme Courtof India. The tapering linkage policy,keeping de-allocation of coal blocks asthe basis, should be scrapped ab-initio.These FSAs may also be kept valid till2018 for uniformity.It was highlighted that around 175 coallinkage applications are pending since2008 in MOC unprocessed for thecement sector while new cement kilnsand CPPs have come up and are inoperation. It will, therefore, be prudentto approve linkages / FSA beforeauction of linkages is commenced asthe viability of these plants were basedon the supply of linkage coal only.Therefore, auction of coal linkagesshould only be made applicable for theadditional coal available after supplycommitments are fulfilled underexisting FSAs/LOAs. Also thedeficiency in coal production is to beremoved first as Coal Sector isinvariably under-achieving theproduction and off take targets.

Shri Arun Daga, Chairman, CMACommittee on coal Matters also raisedIndustry’s suggestions before officialsof the SBI Capital Markets Ltd., on theProposed Market-based AllocationMechanism of CIL on coal linkagesthrough competitive bidding for theCement Industry.Our request for continuation oflinkages against existing FSAs wasaccepted by the “Inter-MinisterialCommittee for Proposed Auction ofCoal linkages/LoAs ThroughCompetitive Bidding” partially. Theoption of termination/foreclosure ofFSAs may not be exercised, as of now.The FSAs of non-regulated sectorswhich are expiring /maturing in2015-16 onwards may not be renewedand the coal quantities pertaining tothese may be made available forlinkage auction. Besides, 25% ofincremental production of CIL during2015-16 over 2014-15 and subsequentyears may also be auctioned aslinkages. It was also decided that FSAsof PSUs of Non-regulated sector wouldcontinue to remain in force in the“larger public interest”.We have now represented to theMinistry of Commerce & Industry, DIPPto take up with MOC that our FSAsshould also continue to remain in forcein order to maintain parity of thecement sector with the PSUs of thenon-regulated sector.

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Poor quality of coal supplied by the CoalCompaniesMember Cement Companies have beenconsistently expressing seriousconcern about the poor quality of coalbeing supplied by the coal companies(CIL as also by Singareni Colliery Co.Ltd.) and the extensive variation in thedeclared GCV and the actual GCVmeasured at the cement plant as alsothe sub-standard quality of coal.Notwithstanding representations tothe authorities to extend the proposedfacility of engagement of independentthird Party Sampling Agency forsampling and analysis of coal forcement sector consumers as well,subject to their option for such facility,without any embargo on the minimumquantity of 4 lakh tonnes, which is veryhigh for any cement plant. No relief hasbeen granted so far on this issue to theCement Industry.De-allocation of Captive Coal BlocksThe Hon’ble Supreme Court of India, inits Judgment dated 25.08.2014 andOrder dated 24.09.2014 passed in WritPetition (CRL No. 120 of 2012)declared allocation of 218 Coal Blocksas arbitrary & illegal. The Hon’bleSupreme Court quashed the allocationof 204 Coal Blocks barring 14 allocatedto Ultra Mega Power Projects andblocks in operation of NTPC and SAIL.

Out of these Coal Blocks, seventeenCoal Blocks relate to the CementIndustry, and 12 to our MemberCement Companies wherein hugeinvestments have been made by theIndustry in the End-Use plants and theCoal Blocks.15 of the coal blocks were de-allocatedon the Apex Court Judgment out ofwhich only 2 Cement Companies i.e.M/s Jaiprakash Associates Ltd. and M/sPrism cement executed mining lease.Fair and equitable distribution of CoalBlocksIn order to participate in the coal blockauction, a general consensus wasarrived at for taking up importantissues with MOC. CMA accordinglysubmitted representation to the MOC,Nominated Authority, CMPDIL andSecretary, DIPP through its letter dated27.11.2014 to recommend to thenominated authority in the policymatters and observations of CMA forimplementation on procedure andmethodology of auction/allocation ofcoal block.CMA Committee on Coal Matters alsoparticipated in Pre-bid conference withthe nominated authority on16.12.2014 and made a presentationregarding suggestion of cement sectoron procedure and methodology ofauction/ allocation of coal block and

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also submitted clarification/amendments in the Coal MineDevelopment and ProductionAgreement most of which wereaccepted.CMA submitted a list of 34 coal blocksto DIPP and MOC wherein it was urgedthat due to insufficient allocation ofcoal blocks to the Cement Industry sofar, it may be earmarked adequate andsuitable coal blocks in the vicinity ofcement cluster for the 3rd round ofauction.14th Coaltrans India MeetSecretary General, CMA, Shri N.A.Viswanathan chaired the Paneldiscussion Session in the 14thCoaltrans India Meet on “Coal forexpanding cement production” on4th March 2015 in New Delhi. Theobjective of the panel discussion was tobrainstorm on how best the domesticand international coal for cementproduction can be used by adapting toreduced availability of domestic coal,improving operating capacity atexisting cement plants, market demandfor US coal, balancing the highersulphur content, role of volatiles incement fuel blending, working with theash content of domestic coal anddemand and uses for domestic andinternational pet coke.

Other panelists from Member cementcompanies included Shri Arun Daga,Chairman CMA Committeeon Coal Matters & Sr. Vice President,Central Procurement Cell, UltraTechCement Limited, Shri K.C. Gandhi, JointPresident of Material Management,Shree Cement Ltd apart from Mr. ErnieThrasher, Chief Executive Officer, XcoalEnergy & Resources.The Panel discussions were wellreceived.8th Indian Coal Markets ConferenceM/s IHS McCloskey, Mjunctionand Coal Consumers’ Associationof India organized the 8th Indian CoalMarket Conference during Sept 14-16,2014 at Kolkata. The Conferencehighlighted the crucial issuespertaining to coal causingunprecedented slowdown across theboard in Indian business scenario.Secretary General, CMA, was a SpecialInvitee in the 8th Indian CoalMarkets Conference. He underscoredthe difficulties being encountered bythe Cement Industry on account ofuncertainties in domestic coal suppliesand the constraints being faced intransportation of Coal by Rail.Eminent speakers from Coal Sector,consumers and Traders participated inthis high level Conference.

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Fuel Consumption and Coal Receiptagainst FSA/LinkageCement Industry continued to sufferseverely on account of reducedavailability of linked coal during theyear under review. Coal receiptagainst FSA/Linkage by Member Unitsof CMA was 7.71 Mn.t. in 2014-15 asagainst 9.22 Mn.t. in 2013-14 – a dropof 16%.The total fuel consumption by Memberunits, during the year 2014-15 was29.57 Mn.t. as against 28.85 Mn.t in2013-14. Actual coal consumption andreceipts of linked coal and percentageof linked coal to the total fuelconsumption for the last five years isdepicted in Graph.Month-wise coal receipts for the years2009-10 to 2014-15 are given inAnnexure-III.

E-Auction/ Open Market Procurement ofCoalThe Cement Industry, because ofshortage of coal, is required to buyconsiderable quantities of coal fromE-Auction/Open Market. A total of 3.52Mn.t. of E-Auction/Open Market Coalwas purchased during 2014-15 asagainst 3.92 Mn.t. during 2013-14.

It will be observed that during the year2014-15, linked coal share has beendropped to 26% of the total receipt asagainst 42% in 2010-11. In the monthof September 2014 Offer, the e-auctionquantity was reduced by 50% by CIL onthe directions of Ministry of Coal, fordiversion to the Power utilities andIPPs.CMA raised this issue consistently atappropriate levels to revisit thedirective reducing the quantity of coaloffered through e-auction by 50% andto regulate participation of PowerUtilities, IPPs and Traders fromparticipating in Spot and forwarde-auction.

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Your Managing Committee is happy toreport that the Ministry of Coal throughits letter dated 1st April 2015,addressed to Chairman, CIL & CMD,SCCL issued directive to revert to theold system on e-auction volumesthereby removing the cap on e-auctionvolume.Coal ImportsTo meet its fuel requirement, CementIndustry has been importing coal andalso consuming pet coke, lignite, andother fuels. During the year, Coalimports have gone up by 20% asagainst previous year from 9.08 mn.t.to 10.88 mn.t.The break-up of total fuel consumptionby the Cement Industry in the last twoyears is given in the Graph below:

Details of year-wise procurement andconsumption of fuel, including CaptivePower Plants from 1992-93 to 2014-15are given in Annexure-IV.

TRANSPORTATION – RAILWAYSDuring the year under review, CementIndustry continued to face problems inthe transportation of Cement, Clinker,Coal, Fly Ash, etc., by Rail due to shortsupply of wagons particularly fromAugust 2014 onwards in some majorclusters, such as East Central Railway,Northern Railway, North WesternRailway, Southern Railway, SouthCentral Railway, South EasternRailway, South East Central Railwayand Western Railway. In addition, thesteadily increasing freight ratescoupled with inadequateinfrastructure facilities at terminalsand Policies of Railways not adequatelyaddressing the interest of theIndustry/Investors jeopardizedthe despatch plans of the CementIndustry completely.Cement and Clinker Transportationby Rail and Revenue GenerationAs per the Official figures of theRailways uploaded on theirwebsite, loading of cement andclinker by Rail for 2014-15 was110.17 million tonnes as against109.80 million tonnes for thecorresponding period last year,registering a marginal growth of0.33%.

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However, revenue collection bythe Railways from the CementIndustry had gone up by 5.96%.Cement Industry had contributedRs.9181.64 crores andRs.8665.32 crores in 2014-15 and2013-14 respectively to theRailways as freight charges. Thisrevenue contribution would goup significantly if amountsrealized on account of movementof input materials like coal, flyash, gypsum, slag, etc. by Rail arealso factored into. A Bar Chartgives the total loading of cementand clinker by Rail and also thecontribution of the Cement Sectorto the revenue of the Railways onaccount of Cement and Clinkerdespatched by Rail.Two separate statements showingRailway zone-wise details ofCement/Clinker loading and revenuecontribution to the Railways for thelast four years are given in theAnnexures V and VI respectively.Four Wheelers for Coal Loading by RailSupply of wagons for the CementIndustry for movement of coalhas been declining over the lastfew years gradually.Although the fuel consumption ofthe Industry has been increasingyear-after-year, the availability ofwagons to the Cement Industryhas been on decline. From anaverage supply of 1270 FourWheelers (FWs) per day to the

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Cement Industry for loading of Coal in2010-11, the availability of FWs perday has plummeted to 813 FWs per dayin 2014-15 - a drop of 36% in the lastfour years, as can be observed from theBar Chart.CMA continued to request the Railwaysto enhance the wagons availability tothe Cement Industry both formovement of inputs like, coal, fly ash,etc. as well as for movement of Cementand Clinker.Enhancement in Transportation CostRailway Board had taken a number ofPolicy measures in the last few years,through its various administrativepolicy dispensations, that haveresulted in the enhancement of theoverall transportation cost of cementby Rail. In the last four-and-a-halfyears, the Rail freight rates for cementwent up by 67%. Out of this, over 9.4%increase took place during the yearunder review alone. CMA has beenregularly submitting to the RailwayBoard to lower the overalltransportation cost of cement, clinker,etc. by Rail urgently to match it withthe Road transport. This has alsobecome imperative in the light of thesignificant drop in diesel prices in therecent past.

Interactive Session with Hon’bleMinister of RailwaysAn Interactive Session with all themajor stakeholders was organized bythe Railway Board on 9th February,2015 to obtain their ideas andsuggestions on the measures needed toenhance the volume of freight trafficand incorporate the same in theRailway Budget 2015-16.Dr. S. Chouksey, Vice President, CMAheaded the discussions on behalf ofCMA. The meeting was wellrepresented by the Industry. Duringthe meeting the following suggestionswere given by the CMA for suitableincorporation in the Railway Budget:A. Railways had incorporated a FuelAdjustment Component (FAC) forfreight tariff from April 2011 underits Dynamic Freight Policy. Since thederegulation of diesel in October2014, diesel prices have come downby 21%, this drop needs to bereflected in the Rail freight rates aswell.B. Cement and Clinker are classifiedunder table – 150. There is a needto reduce their classification slab to130. Although the Minister loweredthe Classification to 140 in theBudget proposal, there was nofinancial relief to the industry due tofresh upward adjustments in the

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freight table by the Railways whichhas impacted an additional financialburden of 9.4% on the industry.Therefore, CMA submitted that atleast the clinker slab now belowered to 130 from the present140 Slab.C. Today, 50% of the cementdespatches are within the lead of400 kms. from the cementplants/grinding units and for thislead road transport is about 30-40%more economical than Railtransport. The Cement Industry willbe able to shift this freight toRailways only if a freight rebate of atleast 25-30% is granted.D. Under any Wagon InvestmentScheme, the period of freightincentives be increased to the fulllife of wagons i.e. 40 years instead ofthe current 20 years.E. Sufficient funds to be allocated formodernizing all major rail terminalshandling cement for fasterevacuation of materialsand also for creatingwarehousing facilities atsidings. In addition, linecapacity of the followingsections to be doubleddue to over-stretching of

their capacity utilization.a) Dharmavaram-Bangalore andY Junction at Gooty to

avoid reversal train movement atGooty which will save time andoperational cost to Railways.b) Wadi-Daund section.c) Bilaspur-Chakradharpur(Bilaspur-Jharsaguda line).Post Rail Budget - Panel Discussions in ATV ChannelCNBC Awaaz invited CMA for a PostRail Budget Panel Discussions on 27thMarch 2015 in New Delhi. The Session,Chaired by Shri Manoj Sinha, Hon’bleMinister of State for Railways, hadactive participation from seniorofficials from Govt., Public and PrivateSectors, including Shri Anil Swarup,Secretary, Ministry of Coal. This Event,supported by CMA with no financialliability on its part, was telecast by theChannel subsequently.On behalf of CMA, Dr. S. Chouksey, VicePresident, CMA participated in thePanel Discussions. Whilecongratulating the Minister for taking

Panelists: Dr. S. Chouksey, Vice President, CMA (extreme right), onright of the lady moderator Shri Manoj Sinha, Hon’ble Minister of State

for Railways and on her left Shri Arun Swarup, Secretary (Coal)

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various innovative initiatives toimprove the Railways efficiency andalso presenting a pragmatic andforward-looking Budget, Dr. Choukseyhighlighted the potential Railways hasto regain its 50% cement business byhaving customer-oriented policies. Hementioned that even with 34% railshare today, Cement Industry is theThird largest customer for Railways,both in respect of freight loading andrevenue contribution. Hence, thisIndustry may be accorded SpecialPreference in all aspects whether it isallotment of wagons; freight policies;terminal development, etc. in theoverall interest of the Railways as alsothe Cement Industry.Dr. Chouksey also pointed out thatafter the steep drop of 21% in thediesel prices in the last few months, theCement Industry was sincerelyexpecting for reduction in the freightrates in the Budget Speech. Although itdid not happen, the Industry is stillconfident that Railways would do itshortly to make the Rail transportationcompetitive with the Road transport.There is need to create necessaryinfrastructure facilities in all majorTerminals handling Cement for fasterevacuation of material and therebyimproving the turnaround of thewagons.Hon’ble Minister appreciated theconcerns expressed by Dr. Chouksey.

CMA Committee on Railway MattersDuring the year under review, CMACommittee on Railway Matters mettwo times, the first under theChairmanship of Shri Rajeev Mehta,Executive President (Logistics),UltraTech Cement Ltd. and the secondunder the Chairmanship of Shri SunilAgrawal, Marketing Head, JK LakshmiCement. The Committee membersunder their leadership had Meetingswith, Member (Traffic), Member(Commercial), Additional Member(Traffic), Advisors, Executive Directorsand other senior officers of the RailwayBoard to keep them abreast withCement Industry’s Rail-relatedproblems with suggestions for theirredressal.Meeting with Additional Member TrafficAt the instance of the CMA, AdditionalMember Traffic, Railway Boardconvened a meeting withrepresentatives of the Cement Industryon 14th November 2014 to discussproblems being confronted in themovement of coal by Rail. CMAregularly brought to the notice of theconcerned authorities about the statusof non-supply and non-loading of coalrakes since May 2014 for the Cementkiln and its CPPs. The scenario wassimilar for movement of importedcoal/pet coke from ports/ refineries

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where there were huge arrears ofrakes. While diverting the entirequantity to the Power Utility andIndependent Power Producers (IPPs)Cement Industry was starved of FSACoal for its kilns and CPPs. During themeeting, AMT assured action on thefollowing: Taking steps for improving thecurrent acute shortages of rakesavailability to the Cement Industryfor movement of coal, pet coke,gypsum, etc. by Rail and futurecourse of action for meeting rakesrequirement of these key inputs bythe Cement Industry in themanufacturing of cement. Organising regular joint meetingsbetween Coal India, Railways andCement Industry to address the Coalrelated issues. Once the Cement Plants submittheir Plans and Suggestions to theZonal Railways for handling theincreasing Cement traffic in variousclusters, with copies to the RailwayBoard, the Board will initiatedialogue between different ClusterIndustries, Divisional Offices andZonal Offices for better planningand policy decisions.Rail Cement Co-Ordination GroupTwo Meetings of the Rail Cement Co-ordination Group (RCCG) were held

under the Chairmanship of Shri ManojAkhori, Executive Director – TT (F),Railway Board. It was encouraging thatMT, AMT, Advisors, EDs and othersenior officials joined these Meetings.These meetings discussed the mainreasons for the sharp drop in cementloading by Rail and also elicitedsuggestions from the Industry forimproving the Rail share for cementloading.During these meetings and also in itsvarious representations/presentations, CMA, on behalf of theCement Industry, highlighted thefollowing major reasons for decliningthe Rail share for cement and alsooffered suggestions for theirresolution.Major Reasons for Decline in Rail sharei) Inadequate and erratic supply ofwagons for cement, particularlyduring peak period. This had badlyaffected the dispatch plans of theIndustry.ii) Acute shortages of wagons formovement of coal and pet-cokefrom Ports as also from SECL, whichhad severely impacted the cementproduction.iii)Discriminatory hike in freightrates – 67% since October 2010.

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iv) Abnormally high penalty,demurrage and wharfage charges.v) Significant increase in carryingcapacity of wagons from 2200 t to4000 t in the last seven years,without any correspondingincrease in free time for loading/unloading.vi) Absence of even basicinfrastructure facilities at RailwayTerminals.vii)Freight policies are one-sided andframed without consultingstakeholders.Expectation from RailwaysThese expectations are in addition towhat have already been highlightedunder the head ‘Interactive Sessionwith the Hon’ble Minister’.(a) Loading in BCN Rake (2 point) tocontinue at train load class ratebeing withdrawn from 28.09.2015by Rly Board along with BCNHLRakes on a regular basis.(b) Busy Season Surcharge of 15% and10% Port Congestion Surchargeimposed on the movement of coal,pet-coke, etc. from Ports, may notbe levied on the cement industry.

(c) Incentive Scheme for loading ofbagged consignment in open andflat wagons and Incentive Schemefor Incremental Traffic, withdrawnby the Railway Board whileannouncing the Automatic FreightRebate Scheme (AFRS) for trafficloaded in traditional empty flowdirections from 25th June 2015,may kindly be reintroduced.(d) Rakes (wagons) requirement of theIndustry for cement, clinker, coaland other input materials must bemet in full throughout the year ondemand on a consistent basis.(e) Cement Industry be accorded thesame priority as given to powersector so far as supply of wagonsfor indigenous as well as importedcoal and pet-coke is concerned toensure fair treatment to all sectorsfor growth in manufacturing sectorin India.(f) Adequate attention needs to bepaid for retaining traffic along withincremental traffic since goodperformance of one year becomesdetrimental for the next year asthere is no scope for incrementaltraffic. In many cases cementplants have already obtained asaturation level of traffic.

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(g) Two point and Mini rakes should beconsidered even upto 450 kms. leadfor all important desired pair ofpoints by cement manufacturers.(h) Minimum load of a wagon/rakeshould be fixed on the basis ofdensity of material which is filled inloose form like coal, pet-coke etc.i.e. equivalent to normal “CarryingCapacity” instead of enhancedcarrying capacity of CC + 8.(i) Carrying capacity of BCNHLwagons be reduced to 62 tonnesfrom the present 68 tonnes.(j) Inclusion of all categories of BCFC/special wagons (for cement /clinker / fly ash movement) underLWIS schemes.(k) All policies may kindly be madeclear, transparent and investor-friendly and framed in consultationwith stakeholders.(l) Industry’s rail-related issues maybe resolved within a fixed timeframe.In addition to Railways, CMA also tookup Industry’s Rail related problemswith its nodal Ministry, DIPP and alsoraised them in other fora, from time totime, with a request to take them upwith the Railways for their appropriateresolution.

Bulk Movement of CementIn order to encourage and enhance thebulk movement of cement in thecountry, which is about 2% of the totalinstalled capacity, CMA continued torequest the Railways to suitably bringdown the Rail Classification Slab forbulk cement and also to provideattractive freight discount to all thosewho purchase Special Purpose Wagonsfor bulk movement of cement and flyash, for the entire life of wagons, whichis 35-40 years.XII PLAN REPORT – FOLLOW-UP ACTIONDuring the year, CMA followed- up theRecommendations of the WorkingGroup on Cement Industry for the XIIFive Year Plan (2012-2017) withvarious concerned Govt. Departments/Ministries independently and alsorequested Industry’s Nodal Ministry,DIPP to take them up appropriatelyfurther with the concerned authoritiesfor their implementation for thegrowth of the Industry as also theEconomy.

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RAIL BUDGET 2015-16 – MAJOR HIGHLIGHTSCONCERNING CEMENT INDUSTRY

Shri Suresh Prabhu, Hon’ble Minister of Railways had presented the Railway

Budget for 2015-16 on 26th February 2015. Major highlights of the Budget

concerning Cement Industry are given below:

Hike of 2.7% in cement and 6.3% in coal freight rates.

Thrust to grow annual freight carrying capacity from 1 billion to 1.5billion over the next five years and thus make IR once again a primemover of the economy.

Transport Logistics Corporation of India (TRANSLOC), to be set up fordeveloping common user facilities with handling and value-addedservices to provide end-to-end logistics solution at select Railwayterminals through Public Private Partnerships.

Policy for Private Freight Terminals (PFT) to be revised.

Automatic Freight Rebate Scheme for traffic to be expanded.

Long haul freight operations to be used extensively; construction oflong loop lines to be expedited.

Efforts towards enhancing the average speed of freight trains in empty

and loaded conditions to increase the turnaround of wagons.

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POWERPower is a key infrastructuralrequirement for sustainedmanufacturing operations of theCement Industry. To overcome anypower shortages, the Cement Industrytoday is well-equipped with CaptivePower Plants (CPPs), and many plantshave also installed Waste HeatRecovery (WHR) based system for co-generation of power wherever feasible.Some wind power facilities have alsobeen installed by the industry. Settingup of CPPs has been encouraged byGovernment of India to augment theindustrial power supply in the country.Although CMA has not been able tokeep track of and update authenticateddata since the imposition of the CCIOrder, information gathered fromvarious sources and our estimationsuggests that the total powergeneration capacity in the CementIndustry may be hovering around 5000MW at present. CPPs offer animportant energy securityenhancement and emission reductionopportunity.The industry has thus endeavoureditself to ensure stable, dependable andcost-effective energy generation andsupply for its operations. However,Cement Industry now gets only 29% ofCoal requirement through FSA. For the

rest, it depends on Imported Coal, Petcoke, E-auction and other fuels,resulting from inequitable promotionof the sectors with differentinvestments. The impact of a declininglinkage coal on the industry is hugethat enhances its fuel cost exorbitantly,which also affects smooth operation ofthe CPPs, resulting in a back-to-squareone situation again. While emphasizingto the Authorities on the need foradequate supply of domestic coal to theCement sector, CMA has also pointedout that - Total fuel requirement should besupplied to CPPs. Undertaking may be taken from theCPPs for not selling power till coaldemand supply position improves.To augment the Captive Power base,the industry is also continuallyexploring to tap the huge potential ofWHR based power generationavailable within the industry, asfeasible. Such WHR system derivesmore energy from the same energyresource without requiring any fuelinput to the system for the output ofpower. This in a way is akin to GreenPower. And this requires furthersubstantial capital investments. WHRsystem in Cement plants thus alsofulfils Renewable Purchase Obligations(RPO) being imposed by various

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Governments on the industry. To helpthe industry and incentivise itsendeavour to produce more suchenvironment-friendly energy, CMA hasalso stressed before the Authoritiesthat Waste Heat Recovery based powerbe treated as Renewable Energy. Withsolely on the steam of its own efforts,the Cement Industry has so far beenable to tap a WHR capacity of 140 MWagainst an estimated potential of closeto 550 MW. Clearly, a huge opportunityexists for adopting WHR in IndianCement Industry and thereby reducingemissions substantially.The industry is also equally consciousabout its obligation towards DemandSide Management and has been makingconcerted effort to gradually bringdown its power consumption. Thespecific power consumption of theIndian Cement plants now lies in therange of 70 – 90 KWH per tonne ofCement, with some of the plants havingtouched World Class Benchmark of 68KWH per tonne of Cement. Theindustry has proactively participatedin implementation of the PAT(Perform, Achieve and Trade) Schemeof Bureau of Energy Efficiency (BEE) inits I Cycle covering the period of 2012to 2015 and is now exploring possibleavenues for further energy reduction.

EXPORTDuring the year under review, CementIndustry continued to suffer on thefront of export of cement and clinker,despite the fact that the quality ofIndian cement is world-class andavailability of idle capacity is around116 mn.t. The key reasons for notpicking up the exports are (a) Highlevel of State levies and royalties forwhich there is no Cenvat Credit; (b)Infrastructure constraints; (c) Hightransportation cost from plants toborder points/ports; and (d)Government’s encouragement toimport of cement with no custom duty,thus distorting a level playing fieldbetween domestic and importedcement.In order to enhance the overall cementexport basket and thus help the Govt. inimproving its foreign reserves, CMAcontinued to request the Govt. toprovide the following incentives to theCement Industry so as to give a fillip toexport of cement and clinker fromIndia:i) Royalty paid on limestone should beneutralized for export of cement.This is in sync with the approachthat domestic taxes are notexported;ii) There is no Custom Duty for importof Cement into the country. This

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anomaly needs to be removed tooffer a level playing field todomestic production vis-à-visimports;iii) For the purpose of exports,classification of cement and clinkerfor Rail freight be reduced frompresent Rail Slab 140 to Slab 120;iv) Investments made for decongestingthe National ports by developingprivate jetties/ports for export ofcement and clinker be allowed ahigher rate of depreciation;v) Export benefits, such as, FocusProduct Scheme (FPS) be alsoallowed to the Cement Industry;vi) Cement may be included in the listof products eligible for FocusProduct Scheme, Status HolderIncentive Scheme etc;vii) The Status holder Incentive Schemewhich was discontinued from theyear 2013-14, may be revived.

PROMOTIONAL ACTIVITY: ADVOCACYAND AWARENESS GENERATION

Promotion of Cement Concrete Roadsand White-ToppingAs reported in the previous year’sreport, CMA and its Member Cos. havebeen taking pro-active steps toadvocate the use of Cement in roadsector due to its various inherent

advantages to the economy. In thisregard, CMA organized a number ofMeetings/ Presentations/ Seminars/Workshops, etc. with vigorous follow-up with the authorities both at Centreand States, NHAI, MORTH, CRRI,Municipal Corporations,Nagarparishads, etc. and alsoorganized free Training Programmesto engineers, offering advice on designof Cement Concrete Roads, site visits,etc.Your Managing Committee is happy toreport that the constructive efforts ofCMA and its Member Cos. have had apositive impact on EngineeringFraternity/ Community, Bureaucratsand Politicians resulting in more andmore construction of Cement ConcreteRoads in the country.Thrust for Cement Concrete Roads byNew MinisterIt is, indeed, heartening that Hon’bleMinister of Road Transport andHighways, Government of India beingconvinced of the positives of CementConcrete Pavement, such as,environment-friendly construction,reduced Green House Gas emissions,saving of fuel consumption, etc. hastaken a bold initiative through aconscious policy decision of adoptingtechno-economically superior CementConcrete Technology in the country inNational Highway construction, which

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would give a boost to our economy andput it on a trajectory of fast growth.Meeting with Advisor to Minister ofRoad Transport: As a culmination ofthe accumulative efforts that yourAssociation has been making topopularize the adoption of CementConcrete Roads, President, CMA, ShriO.P. Puranmalka, had a meeting withShri R.C. Sinha, Advisor to the Ministerof Road Transport and Highways inJuly 2014 impressing upon him theadvantages of Cement Concrete Roadsin terms of cost and durability.As a consequence, the Ministry of RoadTransport and Highways issuedCircular No. RW/MH/33044/31/2014/S&R(R) (Pt) dated 4th August,2014 prescribing Rigid Pavement asthe “default mode” of construction,even if the initial price comparisonwith bituminous pavement is higherupto 20%. The Circular lays down theclear preference of the Government ofIndia for concrete pavements overbituminous pavements and states thatRigid pavement will be the best in theHighway projects requiringsubstantive construction/ up-gradation.Taking a cue from this, CMAsubsequently addressed letters to theChief Secretaries of all the StateGovernments/UTs, Principal

Secretaries, Engineer-in-Chief andChief Engineers of Public WorksDepartments of all the States/UTs etc.requesting them to take a PolicyDecision for use of Cement Concrete forConstruction of Highways as also inUrban and Rural Roads in the States.Nodal officers of Member cementcompanies have also been requested tokeep in touch with the roadconstruction agencies, such as, PWD,Rural Engineering Services, MunicipalCorporations and DevelopmentAuthorities and persuade them to takesimilar initiative in favour of cementconcrete roads.Your Managing Committee is sanguinethat such initiatives if taken by StateGovernments and Local bodies forconstruction of State Highways, RuralRoads, Urban Roads and PanchayatRoads in Cement Concrete would go along way in contributing to the creationand implementation of durable roadconnectivity.In this connection, President, CMA hasalready taken up this issue with Shri M.Venkaiah Naidu, Hon’ble UnionMinister of Urban Development,suggesting that all bitumen roads in theurban areas be replaced with thetechno-economically superior cementconcrete roads. Likewise, he alsoaddressed the Hon’ble Minister of

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Rural Development for encouragingcement concrete roads construction invillages.In the process of implementation of theGovernment of India’s decision toadopt cement concrete in NationalHighway construction, the Ministry ofRoad Transport and Highways(MORTH) after inviting bids in October2014 for supply of cement atcompetitive rates all over the country,and holding a number of meetings withcement manufacturers and useragencies, such as, NHAI, HighwayBuilders etc., finalized the list ofcement manufacturers who had quotedlowest rates.To facilitate contractors/cementbuyers to place cement orders on linewith the enrolled cement companieshaving offered cement at competitiverates in the vicinity of project executionlocations, the Ministry of RoadTransport and Highways also launcheda web portal “INAM PRO”, platform forinfrastructure and material providers(www.inampro.nic.in). This user-friendly Portal allows both the Centraland State Govt. Departments andPublic Sector undertakings, MunicipalCorporations, Gram Panchayats or anyGovt. Agency to use this platform toprocure cement from suppliers atlowest prices on cash and carry basis.

The Ministry of Road Transport andHighways (MORTH) subsequentlyissued Circular No. RW/NH-33044/31/2014/S&R (R) (PT) dated13th April, 2015 for ‘Adoption of ratesof cement for construction of rigidpavement on National Highways’ to theconcerned Authorities. MORTHrequested authorities that for all newNational Highways projects, allContractors/Concessionaires may beadvised to procure the requiredquantities of cement through this WebPortal, so as to achieve reduction in thecost of construction of rigid pavement.The Estimates of all new projects shallbe worked out accordingly,incorporating the rates of cement asoffered by the various cementmanufacturers. Fresh supplies ofcement may also be booked for all theNational Highways projects, in thepipeline. Further, all Consultants andtendering authorities may be directedto incorporate the offered rates ofcement in projects being executed onEPC/BOT mode.It is gathered that 36 CementCompanies with their 103 units acrossthe country have registered on theportal and assured supply of 95 lakhtonnes of cement for one year. Morethan 50 user agencies have alsoregistered on the portal. DPRs of anumber of highway projects with

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cement concrete construction havealready been finalized. As perinformation available 21 HighwayProjects in Cement Concrete have beenawarded by NHAI since May 2014 andmore than 20 Projects in CementConcrete are under process and will beawarded by end of December2015/January 2016.Cement Concrete Roads in MunicipalCorporations and Rural AreasCMA with the help of Nodal CementCompanies has been making efforts tocollect the details of the cementconcrete roads constructed by thedifferent construction agencies in theStates. Despite sustained efforts theinformation is not available with CMAsince the construction agencies do notshare the same. Under thecircumstances to have an overallgeneral idea of construction of cementconcrete roads by various departmentsin the States, CMA has been compilingthe cost of concrete road works beingexecuted by different agencies since2010-11 to 2014-15 on the basis oftenders floated by them. Based on thisinformation the preference of roadconstruction in cement concretegaining popularity among the differentGovernment and Semi-Govt. Bodiessuch as Municipal Corporations, MandiSamiti, Panchayati Raj Departments isestablished. As compared to 2010-11,

construction of cement concrete roadsby these Departments went up by 2.5times in 2013-14 and more than fourtimes in 2014-15.Important CommunicationCMA addressed letters to Hon’ble ChiefMinister of newly created State ofAndhra Pradesh, Shri Chandra BabuNaidu and Hon’ble Chief Minister ofMaharashtra, Shri Devendra Fadnavisurging them to take a policy decision inproviding a cost-effective and long-lasting network of cement concreteroads for all future projects of StateHighways, City Roads and VillageRoads in the States.PublicationsAs a part of its advocacy charter, CMAbrought out following twopublications:Cement Concrete Road & OverlayConstruction - Dos and Donts: CMAbrought out a Revised & UpdatedPublication “Cement Concrete Road &Overlay Construction DOs and DONTs”,the third one in the series. The earliertwo editions were widely circulated tothe Stakeholders and there has beenregular demand for more copies.The new Publication, inter alia,contains precautions for CementConcrete Roads in Rural Areas, would

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provide an immense help to all othersinvolved in the construction ofConcrete Roads/White Topping. Thepublication was released by ShriAmitabh Kant, Secretary (DIPP),Ministry of Commerce and Industry,Govt. of India, Chief Guest, on theoccasion of 53rd Annual Session of CMAheld in March 2015.Blended Cements – PortlandPozzolana and Portland SlagCement: The publication, inter alia,covers various aspects of PortlandPozzolana Cement and Portland SlagCement such as history, production,technology, applications, advantages,sources of fly ash and slag – theindustrial waste, compressivestrengths, water permeability andother tests of concrete using OPC/PPCand OPC/PSC, utilization of blendedcements for RCC structures, helprequired to boost blended cements,exemplary structures using PPC andPSC in India etc. The Publication shouldbe of value to all the stakeholders.Tender NoticesCMA has been regularly obtainingdetails of the Tender Notices forconstruction of cement concrete roadsinvited by various State Govts. andother agencies all over the country andrequesting the concerned constructionagencies to take proper quality control

measures during construction ofcement concrete roads in their areas.Seminars/WorkshopsCMA with the active participation ofNodal Officers of Member cementcompanies, particularly UltraTechCement, Lafarge, CementManufacturing Co.Ltd and IndiaCements had successfully organized aseries of Experience-SharingSeminars/Workshops/ InteractiveConferences on Cement ConcreteRoads/White Topping. CMA has beenreceiving requests from some quartersto organize Experience-SharingSeminars/Workshops for sharingfurther experience in Cement ConcreteRoads/White-Topping.Your Managing Committee appreciatesthe efforts of CMA and requests all theMember Companies and the NodalOfficers to extend full cooperation andhelp CMA in its efforts at popularizingcement concrete in road sector,including through organizingseminars/workshops on experience-sharing.TECHNICAL MATTERSThe Technical Committee of CMAcontinued to render very usefulcontribution on technical issuessupported by the Energy and

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Environmental Task Forces. During theyear, five meetings of the TechnicalCommittee and its Task Forces wereheld to discuss all technical issuesconcerning Emission Norms,Continuous Online MonitoringSystems, Co-processing of Hazardousand Non-Hazardous Wastes in CementKilns, Implementation of the PATScheme of BEE, and the MMDR(Amendment) Act 2015, etc. TheCommittee continued to work intandem with all the Authorities inaddressing each of the above issues.A Environment

(i) Emission Norms for Cement PlantsTo highlight to the authorities theimplications of the Notified norms onEmission Standards, CMA regularlyinteracted with the concernedauthorities to sensitize them on thespecific issues with respect todifficulties in going for secondaryabatement on NOx with Selective Non-Catalytic Reduction (SNCR), presenceof Pyritic Sulphur in raw materials,requirement of a monitoring protocolbesides the need for extending the timedeadline for implementation. A CMAteam met Joint Secretary, MOEF&CC,Shri M.K. Singh, and Advisor MOEF&CC,Dr. Rashid Hasan and apprised them ofthe practical constraints in complyingwith the rigid notified norms that needto be addressed. In addition, your

Association redoubled its effortsimpressing upon the concernedauthorities viz., MOEF&CC, DIPP, CPCB,and the SPCBs on the critical problemsbeing faced by the industry withrespect to the implementation ofEmission Norms, besides OnlineMonitoring, Co-processing ofhazardous and non-hazardous wastesetc.On the issue, CMA prepared aconsolidated view at an InternalMeeting on 25th March 2015 for aPresentation before MOEF&CC, inwhich a number of Senior Experts fromthe Industry and other SeniorMembers of the CMA TechnicalCommittee participated.

A view of Technical Committee Meeting

Another view Technical Committee Meeting

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Consequently, based on the consensusarrived at the meeting, the authoritieswere conveyed our agreement to of thenorms as originally recommended forSO2 and Particulate Matter (PM) byCPCB. However, for NOx, it was felt thatthe Norms need to be distinguished asbetween the new and the existingplants and accordingly these should berelaxed for the existing plants besidesextending the time limit forcompliance. CMA made a presentationto Secretary (MoEF&CC) on 14thAugust 2015 on the issues requestingfor review and relaxation of Standards.As a sequel, MoEF&CC constituted anExpert Working Group to review theStandards. CMA also made apresentation before the ExpertWorking Group on 12th October 2015and followed it up with a detailed lettergiving rationale for the suggestedNorms.(ii) Co-Processing of Wastes as Alternate FuelCMA and representatives of itsMember Companies (Lafarge, IndiaCements and Ultra Tech Cement)participated in a Meeting convened byShri Shailendra Singh, Joint Secretary,DIPP on 3rd June 2015 to prepare aroad map for co-processing ofHazardous and non-hazardous wastesof Cement Industry and understand theproblems faced by the Cement Industryin this regard.

In the Meeting, co-processing ofAlternate Fuels and Raw Materials(AFRs) offering a very attractivesolution that not only holds thepromise of reducing industry’sdependence on coal and to reducegreenhouse gas emissions, but alsoprovides an effective means ofaddressing some of the pressing localenvironmental issues being faced byIndia, was highlighted.Co-processing is an acceptabletechnology for effective utilization ofwastes and an optimal optionconsidering costs of other alternativeslike landfills, incinerators, etc. As theprocess of trial is difficult, timeconsuming and different trials requiredifferent kinds of wastes the need forquick Government clearances for co-processing was emphasized.CMA also apprised DIPP of the uniqueoption provided by the Cementmanufacturing process, to consume avariety of waste materials in anenvironment-friendly manner. Atpresent the total Thermal SubstitutionRate (TSR) in Indian Cement Industrybeing only about 1% while in manyEuropean countries it is as high as80%. As per the 12th Five Year PlanWorking Group Report, it has beenprojected to achieve a TSR of 5% by2017, while in the Recommendations

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of the 2nd International Conference onAFR an even more ambitious target of8% by 2018 has been set, both of whichseem very unlikely to be achievedunless effective steps are taken tofacilitate increasing TSR.After discussions, Joint Secretary wasconvinced that if a particular wastematerial is tested for Co-processing ina plant, there is no need for testing it atanother plant where the facilities forCo-processing exist.Based on the outcome of the Meeting,CMA is taking necessary steps for thefollow up.(iii) Online MonitoringConsequent on the issue of Guidelinesfor installation of on-line monitotingsystem, CMA has been pleading withthe authorities for providing necessaryclarifications on implementation andalso seeking extension of the deadlinefor installation. CPCB convened aMeeting of the Stakeholders across thevarious sectors on 16th June 2015which was Chaired by Chairman, CPCB,to review the status of implementation.During the Meeting, CMA brought outthe urgency for clarifications pendingon Non-Applicability of the On-LineMonitoring for plants having capacityof upto 3 MTPA in line with theDirections of CPCB vide circular

No. J-11013/41/2006-IA.II(I) dated 6thApril 2011, Non-Availability ofdedicated servers of SPCBs in theStates of Madhya Pradesh,Chhattisgarh, Rajasthan, Haryana,West Bengal, and Gujarat forconnecting the CEMS data, and theNon-Requirement of Continuous On-Line Monitoring Systems for effluentfor CPPs in the light of theirmaintaining Zero Discharge.A protocol is being worked out byMOEF&CC along with the SPCBs whichis expected to incorporate necessaryclarifications, while the deadline forimplementation is being considered forfurther extension upto 30th September2015, CMA has reiterated its earlierrequest for extension of time upto 31stDecember 2015 in the light of the sizeof the industry, the lead time need forthe availability of the equipment andlevel of investment, etc.(iv) Harmonization of Categorization of

IndustriesPresently all the cement producingunits viz. the integrated cement plants,stand-alone grinding units as well asblending and bulk terminals are allplaced under one category, namely,“Red” which affects and delays theprocess of environmental clearances.MOEF&CC constituted a Committeeunder the Chairmanship of Chairman,

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CPCB, comprising the Chairmen of theState Pollution Control Boards ofAndhra Pradesh, Tamil Nadu, Gujarat,Maharashtra, West Bengal, and Punjabas Members, to look into thecategorization system of Industriesbased on their respective pollutionpotential vide Office Memorandum No.B-29012/2015-16/ESS (WG) dated23rd April 2015.Grinding units are mainly establishedclose to Power and Steel Plants formeaningful utilization of the wastegenerated by these plants like fly ashand granulated blast furnace slag,these units involve only physicalgrinding process and can consume up-to 35% of fly ash and 70% of slag of theproduct. There is, therefore, a need todistinguish between the integratedcement plants and grinding units.CMA team personally apprised theChairmen of Tamil Nadu and AndhraPradesh Pollution Control Boards onthe need to draw distinction betweenintegrated cement plants, grindingunits and sought their intervention toplace our industry’s point of viewbefore the constituted Committee fornecessary consideration. It has beenbrought out that during the process ofgrinding no chemical reaction takesplace hence there are no air emissionsout of the process except the SPM

which is maintained under 50mg/Nm3.Further, no water is used in thegrinding process and cement is a zerodischarge industry. Cement plants alsodo not generate any hazardous wastesin the process. In fact these help in thedisposal of different types of industrialand agricultural wastes by using themas alternate fuels and raw materialswhich in turn helps in conservation ofnatural resources. CMA hasaccordingly suggested that theintegrated cement plants and CaptiveLimestone Mines be placed under the‘Orange’ category and Grinding Units,Blending Units and bulk terminals beconsidered under ‘Green’ Category.However, in the Draftrecommendations of the WorkingGroup constituted by MoEF&CC,uploaded on the website CementIndustry continues to be placed in the‘Red Category’.(v) High Level Committee (HLC)MOEF&CC vide its Office Order No.22-15/2014-IA.III dated the 29th August,2014 constituted a High LevelCommittee (HLC) under theChairmanship of Shri T.S.R.Subramanian, Former CabinetSecretary to review various Actsadministered by Ministry ofEnvironment, Forests & ClimateChange which, inter alia, include – The

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Environment (Protection) Act,1986,Forest (Conservation) Act,1980,Wildlife (Protection) Act,1972,The Water (Prevention andControl of Pollution) Act, 1974, andThe Air (Prevention and Control ofPollution) Act, 1981.CMA submitted its consolidated viewsand comments to the Chairman-HLC,based on the inputs received from ourMember Companies. The Committeehas since submitted itsRecommendations which are alsoavailable on www.envfor.nic.in. The keyrecommendations of the Reportinclude identifying and pre-specifying‘no go’ forest areas; offering economicincentives for increased communityparticipation; plantation of approvedspecies on private lands; revisedprocedure for clearance under ForestConservation Act, and for afforestationguidelines; preparation of wildlifemanagement plans; Amendment ofSection 26A Sub-section (3) andSection 35(5) of the Wildlife(Protection) Act, 1972; demarcation ofeco-sensitive zones; creation ofNational Environment ManagementAuthority (NEMA) at central level andState Environment ManagementAuthority (SEMA) at State level;Judicial revision role for NGT etc. Postthe release of this report, CMA againsubmitted its views on some of the

recommendations to the MoEF&CC,inter alia, stating that the facility fortreeland trading should be extendedinter-state, extending removal of gramsabha approval to all major projectsinstead of linear and strategic projects;MoEF&CC may demarcate eco-sensitive zones first before rejectingany applications; inclusion of singlewindow system for forest clearance toavoid separate levy on environmentalreconstruction, etc.B. Energy

(i) Implementation of PATThe First Cycle of PAT Scheme notifiedin March 2012 in which 85 DesignatedConsumers from Cement Industryparticipated was completed on 31stMarch 2015. The actual achievement ofthe targets set for the reduction of theSpecific Energy Consumption (SEC) byindividual plants is likely to be knownafter the completion of Monitoring andVerification (M&V). Further, theexperiences gained over the period ofimplementation particularly withrespect to the normalization factorswhich could not be considered in thefirst cycle, are expected to be taken intoaccount in the following cycle. Besidesthis PAT Scheme, there is going to befurther push for reduction of CO2emission through NationallyAppropriate Mitigation Action (NAMA)

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which will come up for evaluation atthe next Meeting of COP being held inParis in November, 2015.(ii) Energy Projects for 2050Planning Commission now replaced as“NITI AAYOG’ desired to have aprojection of the energy requirementfor the cement industry upto 2050. Asa follow up and the discussions held atTechnical Committee Meeting on theEstimation for Energy Projection,Cement Industry based on theprojection of the Working GroupReport of the Cement Industry and theassumptions made for the estimation,such as for Clinker Factor, CalorificValue, RE, worked out the EnergyRequirement Estimates upto 2050-51and communicated the same toPlanning Commission on 20th August2014.C. Bureau of Indian Standards (BIS)

(i) Revision of Cement StandardsBIS Meeting of the CED/2:1/2:2 heldon 4th March 2015 brought out some ofthe issues with respect to revision ofCement Standards, Fly Ash increase inPPC and Guidelines for Use of Cement:(a) For the Draft Specification for PortlandPozzolana Cement, the CED-Committee endorsed theRecommendations of the BIS Panel onthe issue of Performance Improvers,and noted that it had earlier tentatively

included limestone and also fly ash asperformance improvers in the draftrevision on PSC, and similarlylimestone and slag as performanceimprovers in the draft revision on PPCsubject to CMA getting detailed studieson the same done at NCB and providingdata thereof for further considerationby the Committee. The Committeerequested CMA and NCB to expeditethe studies for consideration of theCommittee for any futureamendment/revision of the standards.(b) Regarding Increase in Fly Ash AdditionLimit in PPC as per suggestion receivedfrom MOEF&CC, the BIS Committeenoted the recommendations of the BISPanel which had observed that thiswould require experimental data usingcements from different plants andhigher percentage of fly ash fromdifferent sources. In the Panel Meeting,while CMA was requested to providethe report after getting the studiescarried out expeditiously at NCB, it wasclarified that these Studies are alreadygoing apace under the R&DProgramme of NCB.(c) Guidelines of Use of Various Types ofCement: The CED Committee endorsedthe Recommendations of the BIS CEDPanel on constituting a Working Groupunder the Convenorship of Shri A.K.Jain and to further revise the DraftGuidelines prepared. Meanwhile, someMember Companies have submittedtheir comments on the Draft Guidelines

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for the consideration of BIS. Based onthe comments of its members, CMAsubmitted its comments to theConvener for further consideration.(ii) R&D Studies on Portland Limestone

Cement (PLC), Performance Improversin PPC and PSC and Testing of Cement atFixed Normal Consistency (NC)All the above three CMA proposedprojects, approved by NCB’s Research& Advisory Committee (RAC) in itsmeeting on 5th September 2014 arenow in the process of being undertakenas R & D studies by NCB. Incidentally, itwas decided that NCB shall initiateaction in advance on the collection ofsamples and CMA would providenecessary assistance. Subsequently inthe RAC Meeting of NCB held on 28thMay 2015, CMA urged that since theStudies on Fixed W/C Ratio are beingsponsored by a Member Company, NCBmay consider to take up the Studies onIncreasing Fly Ash Usage beyond 35%in PPC.

D. Mines and Minerals (Development andRegulation) (Amendment) Bill, 2014,and Mines and Minerals (Developmentand Regulation) (Amendment) Act,2015CMA circulated The Mines andMinerals (Development andRegulation) (Amendment) Bill, 2014issued on 16th November 2014 to our

Members for their comments/viewsand submitted its suggestions on DraftMMDR (Amendment) Bill 2014 to Dr.Anup K. Pujari, Secretary, Ministry ofMines.In its suggestions, CMA drew theattention of the MOM to certainpeculiarities of the Cement Industry, inthat, Cement being a low-cost bulkmaterial, cement production unit istherefore always set up close to alimestone mines and based on captivemines, unlike other mineral-basedindustries like Steel, etc. FurtherCement production process requiresclose control on raw materialcomposition (not only from processangle but also for conserving limestoneresources, by blending etc), which hasto be exercised right from miningstage. There is not even a single cementplant in the country which does nothave a captive mine. Based on thedifferences between limestone andother materials, such as iron ore, a casewas made out to consider limestone ona different footing.Consequent on the promulgation of theMMDR Act, 2015 effective from 12thJanuary 2015 and study of the newprovisions therein, CMA brought outanomaly regarding on the applicabilityof section 12A(6) to any transfer of

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mines granted through e-auction onlyand the need for extending this facilityto the existing leased mines in view ofthe provisions of mergers andacquisition under the Companies Act,2013 and in view of the Provisions ofRule 37 of the Mineral ConcessionRules 1960. In the meeting withSecretary (DIPP) on 19th August 2015,CMA, inter alia, presented issuesrelated to Mines and Minerals.Subsequently, issues like variance inthe date of applicability of the effectiverate of contribution to DistrictMineral Foundation (DMF) and theaverage sale price of limestone andquantification of mineral resource inAuction Limestone Block were alsoraised with MoEF&CC and DIPP forresolution.E. Conferences/Seminars

(i) Conference on AFRThe 2nd International Conference onEnhanced Usage of Alternate Fuels andRaw Materials in Cement Industry wasorganized during 19 – 20 February2015 at New Delhi.Shri J.M. Mauskar, Member, PrimeMinister’s Council on Climate Change &Former Special Secretary, Ministry ofEnvironment, Forests & ClimateChange, Government of Indiainaugurated the Conference andShri Shatrughna Singh, Additional

Secretary, DIPP delivered the Key NoteAddress.Dr. Jigar V. Shah, Executive Director,Institute of Industrial Productivity,Washington DC presented WelcomeAddress and gave an overview of theConference. Special Addresses weredelivered by Dr. S. Chouksey, Vice-President, CMA and Mr. Gegory Harvey,Counsellor Commercial & TradeCommissioner, Australian HighCommission.Based on the deliberations of theConference in the five TechnicalSessions comprising International BestPractices for Promoting AFR; Un-locking of Finance for MainstreamingAFRs; Creating and Enabling Policy andRegulatory Environment; EnergySavings and Carbon Mitigation throughEnhanced Use of AFRs; and InnovativePartnership Models to Promote AFRs,

Lighting of Invocation Lamp by Chief Guest Mr. J.M.Mauskar, Member, PM’s Council on Climate Change &Former Special Secretary, MoEF&CC, Govt. of India

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besides the Concluding Session,Recommendations of the Conference,such as to include co-processing incement industry in the Policyframework, emission standard for co-processing of waste in cement kiln benotified by MoEF&CC, simplification ofthe Policy guidelines for inter-statemovement of wastes, setting up ofenvironmentally sound pre-processingfacilities, existing subsidy supportprovided by MoEF&CC to Treatment,Storage and Disposal Facilities (TSDFs)to AFR’ pre-processing industries,recognition of RDF usage in cementplants as a fuel substitute under theSwatch Bharat Abhiyan Guidelines foreffective management of MSW, torecognize management of MSW for useof RDF in Cement Industry as a validCSR activity, besides many otherrecommendations w.r.t. assessment ofGHG mitigation potential through co-processing in Cement Industry, were

submitted to the concerned authoritiesfor consideration and implementation.The Recommendations of theConference submitted to DIPP andother concerned Ministries are atAnnexure-VII.The Conference attracted more than250 participants and includeddistinguished National andInternational speakers, eminentleaders and experts from Governmentagencies and Industry professionals.A Special Publication on “IndianCement Industry: Enhanced AlternateFuels and Raw Materials Usage – WayAhead” was released on the occasionby the Chief Guest. This publicationcontained papers on AFR Usages, MSWPre-processing and Co-processing,Improving Thermal Substitution Rate,Sustainability of Cement Industry,besides various AFR Feeding Systems

Keynote Address by Mr. Shatrughna Singh, Addl.Secretary (DIPP) Ministry of Commerce and Industry,

Govt. of India

Inaugural Address by Chief Guest Mr. J.M. Mauskar,Member, PM’s Council on Climate Change & Former

Special Secretary, MoEF&CC, Govt. of India

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available, etc. by leadingexperts of the Industry andEquipment Manufacturers.(ii) Green Cementech, 14-15

May 2015As in the past, CMA joinedhands with CII in organizingthe 11th edition of GreenCementech on 14-15 May2015 in Hyderabad. TheTheme was ‘Make IndianCement Plants WorldClass in Green’.The areas of focus in the Conferenceincluded Increasing MSW Usage as RDFin Cement Industries & EmissionRegulation in Cement Industries,Emerging Trends in Cement Industries,Latest Development in CementManufacturing Technologies, ProcessTechnology, Increasing AFR utilization,Environment Management &Sustainability Energy Efficiency inAuxiliary Equipment, Waste HeatRecovery Systems & Energy Efficiency,etc. Green Cementech has brought outfour publications - Energy Efficiency,Benchmarking, Emissions and AFR onthe occasion.Secretary General, CMA, inter alia, inhis address, shared the experiencesand success stories on the latest trends

and developments in Cement Industryin respects of technology, standards,quality, energy-efficiency,environment-protection, measurestaken to manufacture green cement, itsefforts on the front of EnergyConservation and reducing CarbonFoot Print, initiatives to increase theAFR usage, etc.In the Special Plenary Session, Shri P.R.Ramasubrahmaneya Rajha, Chairman,Ramco Group and Managing Director,Ramco Cements Limited was felicitatedwith “Distinguished Personality”Award for his outstanding contributionto Indian cement sector and for settingnew benchmarks in environmentalmanagement.CMA also put-up a Stall at GreenCementech 2015.

Shri P.R. Ramasubrahmaneya Rajha, Chairman, Ramco Group receivingthe Distinguished Personality Award.

To his left : Shri N.A. Viswanathan, Secretary General, CMA and ShriK.N. Rao Co-Chairman, Green Cementech 2015.

To his Right : Shri G Jayaraman, Chairman, Green Cementech 2015 andShri L. Rajasekar, Co-Chairman, Green Cementech 2015

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(iii) Cement Business Industry (CBI India)12-13 November 2014CMA participated in the CementBusiness Industry (CBI India) – 2014Conference on 12-13 November 2014.Secretary General, delivered the KeyNote Address and brought out theimportant points for sustainablegrowth of the Cement Industry. CMAalso participated in the CEOs andExecutive Forum Meeting wherein theissues regarding Cement growth,consumption, alternate cement, scopefor AFR, usage and maximizing of flyash were discussed.

(iv) 4th Annual International Summit on FlyAsh 12-13 December 2014At this International Summit organizedby Fly Ash Association of India (FAAI)during 12-13 December 2014 at NewDelhi, Secretary General, CMA in hisaddress highlighted various issuesconcerned with the availability of thequality of fly ash for the cement plantsand the need for a review of the Fly AshNotification. Advisor (Technical), CMAmade a presentation on the PresentStatus and Availability of Fly Ash andits Utilization in Cement Industrybesides stressing the Need to furtherincrease the production and Utilizationof PPC.

(v) 3rd Indian Cement Review Conference,17-18 January 2015ASAPP Media Pvt. Ltd. organized the3rd Indian Cement Review Conference

“Futuristic Trends in Indian CementIndustry” in January 2015 inMumbai. CMA was the SupportingPartner.Chief Guest on the occasion, ShriSubhash Desai, Hon’ble Minister ofIndustries, Government ofMaharashtra commended the Cementindustry for its 100 years journey andwished more such success infuture. The Minister informed thatcement industry has a very brightfuture, since not only Government ofMaharashtra State but CentralGovernment hasannounced/undertaken ambitiousgrowth oriented infrastructureprojects like Industrial Corridors,Smart Cities, Affordable Housing, etc.and this would definitely boost cementdemand. He also briefly elaboratedState Government steps in removinghurdles of various clearances, NOCs,etc. in setting up Industry inMaharashtra.Secretary General, CMA in hisInaugural Address, pointed out that thetheme of the Conference is veryrelevant and timely specially, going bythe bold policy initiatives and a raft ofmeasures taken by the newGovernment at the Centre. He, interalia, covered the achievements of theCement Industry, present scenario ofdwindling Infrastructure support,highly taxed Industry, etc. He alsoelaborated on the concerted efforts

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made by the Industry for use ofAlternate Fuels and Raw Materials(AFR) to supplement its energy needsand enhancement in the ThermalSubstitution Rate (TSR), etc.CII- Environmental CommitteeCMA has been regularly participatingin the Sub-Committees of CII NationalCommittee of Environment viz., WasteManagement, Environment & ForestClearances: Issues and Concerns, andEvolving the next generation ofRegulatory Standards and also sharedits comments with CII on fly ashutilization and Waste Managementbesides CMA inputs to High LevelCommittee (HLC).COMPETITION COMMISSION OF INDIA

Appeals before the Competition AppellateTribunal: against the Orders ofCompetition Commission of India (CCI) in -

(i) Appeal No. 103/2012 (against Case No.29/2010); and

(ii) Appeal No. 122/2012 (against RTPE No.52/2006)Members may kindly recall that CMAhad filed an Appeal(Appeal No.103/2012) before the CompetitionAppellate Tribunal(CAT) on 27thAugust, 2012, including prayer forcomplete Stay of the operation of theCompetition Commission’s Order

dated 20.06.2012 in Case No. 29/2010.Since the Commission had held CMAguilty in the Case No. 52/2006 also,CMA filed Appeal (Appeal No.122/2012) in this matter as well beforethe Competition Appellate Tribunal on27th September, 2012 seeking relief toset aside the Order of the CCI passed inRTPE No.52/2006 on 30.7.2012.While disposing of the stayapplications in the above Appeals, theHon’ble Competition AppellateTribunal had passed an Order on 17thMay, 2013 and decided that there is aprima-facie case for granting of stay, atleast in respect of the penalties, andaccordingly, granted stay to thepenalties with a condition that theappellants deposit 10% of the penaltiesimposed. As regards the orders of‘cease’ and ‘desist’ the Tribunal hadrefused to stay that order against theappellants, including the CementManufacturers’ Association stating thatthey do not find anything wrong atleast prima-facie with that order.In compliance of the above Order, CMAdeposited 10% penalty amounting toRs. 7,30,000/- on 14th June, 2013.Post the grant of Stay, the Tribunal hasbeen hearing the matter and the finalarguments by all the parties wereheard and completed on 19.11.2015.Your Managing Committee is happy to

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report that the Hon’ble Tribunal videits Order dated 11.12.2015 has setaside the impugned Order of CCI andremanded the matter to the CCI forfresh adjudication with the directionthat since the impugned Order of CCI isvitiated due to the violation of one ofthe facets of the principles of naturaljustice, the Commission shall hear theadvocates/representatives of theappellants and BAI and pass freshOrder in accordance with Law.Accordingly, CCI heard the parties from19th to 22nd January 2016 oncontinuous basis and completed thefinal hearing of the matter.SERVICE TAX ON MEMBERSHIPSUBSCRIPTIONMembers are aware that CMA hadreceived two Show Cause Notices(SCNs), the first for the period 2005-06to September 2009 and the second forthe subsequent period from October2009 to September 2011 from ServiceTax Department, New Delhi, for a totalService Tax liability of Rs.10,27,73,198/- and an equal amount ofpenalty, besides interest. CMA hadfiled its replies to the above SCNs withthe Commissioner, Service Tax.Commissioner, Central Excise &Service Tax, had passed an Order-in-Original dated 31.10.2012 against theabove two SCNs confirming Service Tax

payable amounting to Rs.1,76,19,563for the above periods. An equal amountof penalty i.e. Rs.1,76,19,563/- wasalso levied in addition to penalty ofRs.10,000/- u/s 77.This works out to a total amount of Rs.3.52 crores besides interest, as againstthe original demand of Rs.10.28 croreswith an equal amount of penalty andinterest applicable on tax demandedup to the date of payment of tax.Against this Order, two separateAppeals were filed by CMA on 5thFebruary, 2013 before the Customs,Excise & Service Tax AppellateTribunal (CESTAT), New Delhi, prayingfor (a) Setting aside the impugnedOrder in original dated 31.10.2012passed by the Commissioner, CentralExcise & Service Tax, Panchkula andallow in Appeal in full withconsequential reliefs; (b) Setting asidethe Service Tax demand along withinterest and penalty and stay itsrecovery till the disposal of the Appeal;and (c) Granting a personal hearing etc.The Stay Petitions in the above Appealswere allowed by the Hon’ble AppellateTribunal vide its Stay Order No. 53659-53663/2014 dated 21.10.2014.Thereafter, these Appeals were heardby the Hon’ble Tribunal (CESTAT),New Delhi on 14.1.2016 and your

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Managing Committee is pleased torecord that the Tribunal has set asidethe impugned Order in original dated13.10.2012 passed by theCommissioner, Central Excise& Service Tax.AMENDMENTS TO DEFINITION OF“INSTITUTIONAL CONSUMER” INLEGAL METROLOGY (PACKAGEDCOMMODITIES RULES), 2011In the last year’s Annual Report, it wasreported that the definition of“Institutional Consumers”, which wasearlier provided for in “Explanation” ofRule 3 of Legal Metrology PackagedCommodities Rules, 2011 was shiftedto Rule 2(bc) w.e.f 06.06.2013 withminor modification in the wording ofthe definition.In view of this change, some membershad doubts as to what exactly iscovered in the definition of“institution”. In April 2014 CMA soughtclarification from Ministry ofConsumer Affairs about the category ofcustomers covered under thedefinition of “Institutional Consumer”after 6.6.2013.In response, the Legal MetrologyDivision, Ministry of Consumer Affairsvide letter No. WM-10(23)/2014 dated9.5.2014 informed CMA that the

intention and meaning of “institutionalconsumer” after inserting Rule 2(bc) inthe Packaged Commodities Rules videGSR 359(E) dated 6th June, 2013 is thesame as it was before amendment,under the explanation of Rule 3, andthat only it has been shifted fromExplanation Part of Rule 3 to DefinitionPart of Rule 2 with more clarity in thewordings.In May 2015, the Ministry of ConsumerAffairs, Food and Public Distribution(Deptt. Of Consumer Affairs) videNotification No.GSR 385E dated 14thMay, 2015 made further amendmentsto the Legal Metrology(PackagedCommodities) Rules, 2011 whichinclude further changes in thedefinition of Industrial Consumer andInstitutional Consumer anddeclaration “ Not for Retail Sale”required to be made on the packages.After amendments now in thedefinition of ‘Industrial Consumer’ thewords “such other serviceinstitutions” have been replaced by“other organisations”. The definitionof “source of procurement” now meansthe “direct purchases fromManufacturer or from an Importeror from Wholesale Dealer”. Afteramendment now package forinstitutional consumers should have adeclaration “Not for Retail Sale”.

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Further w.e.f. 01.01.2016 it will bemandatory under Rule 6 of thePackaged Commodities(PC) Rules thatevery package should bear the name,address, telephone number, e-mailaddress of the person who can be orthe office which can be contacted, incase of consumer complaints.Explanation to Rule 10 of the PC Ruleshas also been amended requiringmentioning on the package the addressat which the company or firm isregistered instead of address at whichthe factory is situated.INDUSTRIAL RELATIONSAs reported last year, in the months ofJanuary/February/2014 INCWF,ABCMS, AICWF, CITU, HMS, and LPFhad sent to CMA the Notice ofTermination of the National LevelSettlement (dated 11th February, 2011which was valid up to 31st March,2014) and had submitted a freshCharter of Demands.Accordingly, in April, 2014, CMArequested Members to advise clearly asto whether they authorize CMA ontheir behalf to negotiate with theWorkmen Federations/Unionstowards reaching a reasonable wagesettlement. In response, 20 CMAMember companies having about 67%of capacity authorized CMA tonegotiate with Workmen

Federations/Unions towards reachinga settlement/understanding withregard to the demands raised by theabove National Trade Unions.Shri N. Srinivasan, Past President, CMAand VC & MD of The India Cements Ltd,who has for several years been chairingthe CMA Management Team for WageNegotiations with the Workmen’sFederations/Unions chaired the CMAManagement Team this time also onthe request of the President, CMA. Theother Members of the Team were ShriO.P. Puranmalka, President, CMA, Dr S.Chouksey, Vice President, CMA andShri Prashant Bangur, Director, ShreeCement Ltd.In all, nine Meetings were heldbetween CMA Management andrepresentatives of Workmen’sFederations/Unions. Finally, in theMeeting held on 9th July, 2015 inChennai between CMA Managementand representatives of WorkmenFederations/Unions all the issues wereresolved amicably with CMA signing aMemorandum of Understanding(MOU) the representatives ofWorkmen’s Federations/Unions. Thiswas followed up by the signing of aMemorandum of Settlement (MOS) on29.07.2015 before Chief LabourCommissioner (Central) in anatmosphere of cordiality.

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The salient features of the MOS are : The Settlement is valid for a period of 4years from 01.04.2014 to 31.03.2018. A total increase per month to begranted over the period of settlementi.e. from1.4.2014 to 31.3.2018 shall beRs.6000/- as per details given below:

Components w.e.f.01.04.2014

Rs. PM

w.e.f.01.09.2016

Rs. PM

TotalIncreaseRs. PM

Basic Pay 900 900 1800

EducationAllowance

550 650 1200

ConveyanceAllowance

850 750 1600

PeriodicalAllowance

370 370 740

Leave TravelAllowance

330 330 660

Total 3000 3000 6000

The Settlement shall be applicable to allpermanent workmen (including inGrinding Units) employed by thecompanies who are parties to thisSettlement. The existing practice with regard toContract Labour engaged (including inGrinding Units) in loading (includingpacking) and un-loading operationswill continue. With effect from 01.04.2014 theexisting Variable Dearness Allowance(VDA) payable on the All IndiaConsumer Price Index of 5502 points(1960 equal to 100) i.e. Rs.6567.75 ismerged with the Fixed Dearness

Allowance (FDA) of Rs.4478.60 asdetailed below:Existing Fixed DA Rs. 4478.60

Existing Variable DA upto 5502 Points of AllIndia Consumer PriceIndex (1960=100) to theMerged with Fixed DA

Rs. 6567.75

Revised FDAw.e.f. 1.04.2014

Rs.11046.35

With effect from 1.4.2014 to 31.3.2016,the Variable Dearness Allowance ispayable at the rate of Rs.2.35 per pointfor every point rise or fall in the AllIndia Consumer Price Index above5502 points (1960=100).With effect from 01.04.2016 theVariable Dearness Allowance existingas on 31.03.2016 payable on the AllIndia Consumer Price Index points ason 31.03.2016 (1960=100) will bemerged with the Fixed DearnessAllowance of Rs.11046.35. With effectfrom 1.4.2016 the Variable DearnessAllowance is payable at the rate ofRs.2.40 per point for every point riseor fall in the All India Consumer PriceIndex above the points prevailing as on01.04.2016. The arrears arising out of thissettlement will be paid as follows:

Arrears forthe period

Payable on orbefore

01.04.2014 to30.11.2014

30.09.2015

01.12.2014 to31.07.2015

29.02.2016

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The terms of this Settlement shall bebinding only on those companies whohave authorized the CMA to representthem on their behalf.The signing of the Memorandum ofSettlement in an atmosphere ofcordiality is a continuation andreaffirmation of the best tradition theCement Industry has established ofsettling wage-related issues throughpeaceful bi-partite discussions andnegotiations.Your Managing Committee places onrecord its deep sense of appreciation ofthe valuable guidance and supportprovided by S/Shri N. Srinivasan, O.P.Puranmalka, Dr. S. Chouksey and ShriPrashant Bangur and their team insettling the workmen’s wage relateddemands amicably and peacefullywhich culminating in the signing of theMemorandum of Settlement on29.07.2015.

CMA PUBLICATIONS/PERIODICALSDuring the year 2014-15, CMA broughtout/ updated the followingpublications/ periodicals: Cement Concrete Road & Overlay

Construction - DOs and DONTs(Revised and Updated)

Cement, Energy and Environment –Quarterly

Cement Journal – Quarterly Cement News Digest – Weekly

A detailed list of CMA publications broughtout in the last few years is given inAnnexure-VIII.

MEMBERSHIPDuring the year under review M/sReliance Cement Company Pvt. Ltd. hasbeen admitted as Member of theAssociation.AUDITThe Accounts of the Association for theyear ended 31st March 2015 have beenaudited by M/s K.S. Aiyar & Co.,Chartered Accountants.

New Delhi (O.P. Puranmalka)February 2016 President

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53rd Annual Session of CMA – 2nd March 2015

Chief Guest Shri Amitabh Kant, Secretary(DIPP), Ministry of Commerce and Industrydelivering the Inaugural Address

President, CMA Shri O.P. Puranmalkawelcoming Chief Guest, Shri Amitabh Kant,Secretary (DIPP), Ministry of Commerce andIndustry, Govt. of India with a bouquet of flowers

Shri O.P. Puranmalka, President, CMAdelivering the Welcome Address.

Seated on Dais (L -R) Shri N.A. Viswanathan,Secretary General, CMA;

Shri Amitabh Kant, Secretary (DIPP); andDr. S. Chouksey, Vice President, CMA

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53rd Annual Session of CMA – 2nd March 2015

Release of CMA Publication “Cement ConcreteRoad & Overlay ConstructionDos and Donts (Revised and updated)”

Dr. S. Chouksey, Vice President, CMAdelivering the Vote of Thanks

A view of Participants at the Inaugural Session

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LIST OF ANNEXURES

ANNEXURE-I Pan India Performance of Cement IndustryANNEXURE-II Chairmen/Co-Chairmen of CMA CommitteesANNEXURE-III Month-wise Coal Receipts against FSA/LinkageANNEXURE-IV Procurement and Consumption of Fuel including forCaptive Power PlantsANNEXURE-V Railway Zone-wise Loading by Rail (Cement andClinker)ANNEXURE-VI Railway Zone-wise Revenue Earnings from CementANNEXURE-VII Recommendations of 2nd International Conference onEnhanced Usage of Alternate Fuels and Raw Materialsin Cement Industry held on 19-20 February 2015 atNew DelhiANNEXURE-VIII List of CMA Publications/Periodicals

*****

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ANNEXURE-IPAN INDIA PERFORMANCE OF CEMENT INDUSTRY

(Information collected directly and indirectly from different sources by CMA)(Mn.t)

Year Capacity atthe Year End

CementProduction

VII Plan1989-90 (Terminal Year) 61.74 45.42Annual Plans1990-91 64.55 48.901991-92 66.98 53.61VIII Plan1992-93 70.61 54.081993-94 77.38 57.961994-95 84.22 62.351995-96 96.18 69.641996-97 105.68 76.22IX Plan1997-98 110.93 83.161998-99 116.98 87.911999-00 120.16 100.452000-01 133.04 100.112001-02 146.04 106.90X Plan2002-03 150.48 116.352003-04 157.05 123.502004-05 164.70 133.572005-06 171.10 147.812006-07 178.89 161.64XI Plan2007-08 209.20 174.312008-09 232.54 187.602009-10 294.32 217.442010-11 323.02 227.802011-12 340.44 247.45XII Plan2012-13 350.00 * 248.23 @2013-14 360.00 * 255.83 @2014-15 386.00 # 270.24 @

@ From website of the Office of the Economic Advisor, DIPP

* From published Articles and News Reports

# As per the Report of Working Group on Cement Industry for XII Five Year Plan (Low Scenario)

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ANNEXURE-II

CHAIRMEN/CO-CHAIRMEN OF CMA COMMITTEE

CMA COMMITTEE ON COAL MATTERS

Shri Arun Daga ChairmanSr. Vice PresidentHead - Central Procurement CellUltraTech Cement LtdShri Sanjay Sarwate Co-ChairmanHead - CommercialReliance Cement Co.Pvt. Ltd.CMA COMMITTEE ON RAILWAY MATTERS

Shri MSR Kali Prasad ChairmanJoint President - LogisticsUltraTech Cement LtdShri Praveen Kumar Co-ChairmanVice President - LogisticsLafarge India (P) LtdCMA TECHNICAL COMMITTEEShri L. Rajasekar ChairmanExecutive President(Technology & Research Cell)UltraTech Cement LtdShri P.N. Chhangani Co-ChairmanPresident (Works)Shree Cement Ltd

CMA ENERGY TASK FORCE(Part of Technical Committee)Shri J.S. Kalra ChairmanSr. Joint PresidentSatna Cement WorksShri Sanjay Jain Co-ChairmanAsstt. ED - Technical ServicesDalmia Cement (Bharat) Ltd.

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ANNEXURE-II (Contd.)

CMA ENVIRONMENTAL TASK FORCE(Part of Technical Committee)Shri Sanjay Agrawal ChairmanExecutive President & Head Technology Innovationand Knowledge ManagementUltraTech Cement LtdShri R. Bhargava Co-ChairmanVice President (R & D)Shree Cement Ltd.

CMA MINES AND MINERALS TASK FORCE(Part of Technical Committee)Shri V.S. Bajaj ChairmanSr. Vice President (Corporate Affairs)Jaiprakash Associates Ltd (Cmt. Divn.)Shri Ajit Ostwal Co-ChairmanAsstt. VP (Mines)UltraTech Cement LtdCMA FINANCE/LEGAL MATTERS COMMITTEE

Shri M.B. Agarwal ChairmanExecutive PresidentUltraTech Cement LtdShri Ajai Jain Co-ChairmanSr. Vice President - Legal & SecretarialLafarge India (P) Ltd*****

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ANNEXURE-IIIMONTH-WISE COAL RECEIPT AGAINST FSA/LINKAGE

(2010-11 to 2014-15) (Mn.t.)Month 2014-15 2013-14 2012-13 2011-12 2010-11April 0.82 0.87 0.85 0.97 0.90

(1.31) (1.30) (1.36) (1.31) (1.18)May 0.86 0.89 0.98 0.92 0.96(1.31) (1.30) (1.36) (1.31) (1.18)June 0.65 0.82 0.95 0.94 0.92(1.31) (1.30) (1.36) (1.31) (1.18)July 0.64 0.80 0.92 0.90 1.06(1.31) (1.30) (1.37) (1.31) (1.18)August 0.58 0.66 0.75 0.92 1.15(1.31) (1.30) (1.37) (1.32) (1.18)September 0.58 0.78 0.76 0.74 1.02(1.31) (1.30) (1.37) (1.32) (1.18)October 0.56 0.72 0.92 0.65 1.24(1.31) (1.30) (1.37) (1.32) (1.28)November 0.67 0.71 0.81 0.85 1.01(1.31) (1.30) (1.37) (1.34) (1.28)December 0.59 0.72 0.99 0.97 0.97(1.31) (1.30) (1.37) (1.34) (1.28)January 0.61 0.79 0.90 0.80 1.03(1.31) (1.30) (1.37) (1.34) (1.30)February 0.55 0.63 0.75 0.82 0.73(1.31) (1.30) (1.37) (1.34) (1.30)March 0.60 0.83 0.80 0.97 0.91(1.31) (1.30) (1.37) (1.34) (1.30)

Total 7.71 9.22 10.38 10.45 11.90(15.72) (15.60) (16.41) (15.90) (14.82)

Figures in brackets pertain to FSA Quantity/LinkageThere may be small difference in figures indicated elsewhere due to rounding off.

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ANNEXURE-IV

PROCUREMENT AND CONSUMPTION OF FUEL INCLUDINGFOR CAPTIVE POWER PLANTS

(1992-93 to 2014-15)

(Mn.t.)

Year

ProcurementTotal

ProcurementActual Fuel

ConsumptionReceiptagainstLinkage

E-auction/Open

Market

ImportedCoal

Lignite, PetCoke and

other Fuel

VIII Plan1992-93 10.49 1.27 0.09 0.80 12.65 12.051993-94 10.34 0.86 0.12 0.70 12.02 12.781994-95 10.28 2.32 0.71 0.80 14.11 13.291995-96 10.06 2.80 1.30 0.80 14.96 14.251996-97 10.45 2.48 1.65 0.70 15.28 15.03IX Plan1997-98 9.61 1.62 3.52 0.42 15.17 14.981998-99 8.24 0.77 4.66 0.20 13.87 13.981999-00 9.01 0.63 6.04 0.05 15.73 15.422000-01 9.74 0.79 4.40 0.42 15.35 15.372001-02 11.09 0.87 3.37 0.96 16.29 15.81X Plan2002-03 12.35 0.77 3.66 1.09 17.87 17.832003-04 13.35 1.03 3.18 1.52 19.08 18.852004-05 14.84 1.27 3.63 2.63 22.37 21.212005-06 14.81 1.55 3.40 2.98 22.74 22.392006-07 14.43 2.94 4.96 2.92 25.25 25.02XI Plan2007-08 14.56 5.00 6.08 3.20 28.84 27.332008-09 14.29 6.17 6.97 2.77 30.20 29.572009-10 10.79 4.36 6.95 4.15 26.25 25.802010-11 11.90 4.92 8.48 3.54 28.84 28.062011-12 10.45 4.50 9.40 5.46 29.80 28.30XII Plan2012-13 10.38 3.93 9.27 6.24 29.82 27.372013-14 9.22 3.92 9.08 7.71 29.93 28.852014-15 7.71 3.52 10.88 7.84 29.95 29.57

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ANNEXURE-V

RAILWAY ZONE-WISE LOADING BY RAIL (CEMENT +CLINKER)(Statement prepared by CMA on the basis of Data obtained from official

site of the Railway Board www.indianrailways.gov.in)

(Mn.T)

Railway - Zone 2011-12 2012-13 2013-14 2014-15

Central Railway 7.75 7.06 6.62 7.08

Eastern Railway 2.49 2.39 2.48 3.10

East Central Railway 2.21 2.44 2.61 1.76

East Coast Railway 1.10 1.28 1.00 0.89

Northern Railway 2.99 2.71 2.35 2.38

North Central Railway 1.68 1.68 2.32 3.07

North Eastern Railway 0.03 0.00 0.03 0.01

Northeast Frontier Railway 0.12 0.06 0.33 0.64

North Western Railway 8.09 6.47 6.75 6.20

Southern Railway 3.98 2.83 3.22 2.70

South Central Railway 24.71 27.63 28.62 28.35

South Eastern Railway 7.86 8.51 8.85 8.64

South East Central Railway 14.42 13.72 14.62 15.14

South Western Railway 0.52 0.81 0.56 0.57

Western Railway 8.78 8.16 7.98 6.90

West Central Railway 20.84 20.07 21.46 22.74

Grand Total 107.57 105.82 109.80 110.17

Source - Railway Board Website

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ANNEXURE-VI

RAILWAY ZONE-WISE REVENUE EARNINGS FROM CEMENT(Statement prepared by CMA on the basis of Data obtained from official

site of the Railway Board www.indianrailways.gov.in)(Rs. In Crores)

Railway - Zone 2011-12 2012-13 2013-14 2014-15

Central Railway 499.87 568.37 523.85 607.18

Eastern Railway 106.65 130.95 137.22 177.00

East Central Railway 71.27 89.00 112.19 71.61

East Coast Railway 64.81 88.39 73.15 78.57

Northern Railway 128.90 159.28 130.12 138.26

North Central Railway 75.89 100.73 125.97 170.56

North Eastern Railway 0.70 0.00 1.20 0.59

Northeast Frontier Railway 4.06 2.71 25.39 66.96

North Western Railway 559.94 538.38 568.60 580.06

Southern Railway 181.55 180.37 191.77 160.73

South Central Railway 1677.53 2379.95 2425.87 2472.79

South Eastern Railway 368.64 493.80 541.17 564.10

South East Central Railway 1003.74 1211.27 1379.04 1496.89

South Western Railway 32.04 66.94 45.64 45.33

Western Railway 611.36 684.60 669.20 613.53

West Central Railway 1332.77 1538.63 1714.94 1937.48

Grand Total 6719.72 8233.37 8665.32 9181.64

Source - Railway Board Website

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ANNEXURE-VII

RECOMMENDATIONS OF 2ND INTERNATIONAL CONFERENCE ON ENHANCED USAGE OF ALTERNATEFUELS AND RAW MATERIALS IN CEMENT INDUSTRY

HELD ON 19-20 FEBRUARY 2015 AT NEW DELHI

1. Co-processing in Cement Industry, which is higher in the waste management hierarchy– above land fill and incineration – needs to be included in the policy framework throughamendment of the Hazardous Waste Management Rule, 2008 under EnvironmentProtection Act, 1986. The details of the proposed amendment has already beensubmitted to Ministry of Environment, Forests & Climate Change (MoEF&CC) as WhitePaper No. I by the Forum of Regulators (for reference: Compendium of White Papersenclosed). This Forum of Regulators was Chaired by Member Secretary, GujaratPollution Control Board and had representation from various State Pollution ControlBoards (SPCBs) and also CPCB.2. National Task Force on Co-Processing which was constituted by CPCB hasrecommended the emission standard for co-processing of waste in cement kiln assuggested in the White Paper 3 of the Forum of Regulators to be notified by MoEF&CCunder Environment Protection Act, 1986.3. Simplification of the Policy Guidelines for Interstate movement of wastes needs tobe modified as recommended in the White Paper No. 5 of the Forum of Regulators.4. Large scale use of wastes as AFRs in cement kilns requires setting up ofenvironmentally sound pre-processing facilities to prepare homogenous mix ofwastes suitable for co-processing. Technical guidelines for setting up the same havebeen recommended in the White Paper No. II by the Forum of Regulators which need tobe prescribed by MoEF&CC for implementation. MoEF&CC should give exemption fromEnvironment Impact Assessment, 2006 notification to industries setting these pre-processing plants.5. The existing subsidy support provided by MoEF&CC to Treatment, Storage and DisposalFacilities (TSDFs) and Common Effluent Treatment Plants (CETPs) for setting up wastemanagement facilities should also be extended for ‘Waste to AFR’ pre-processingindustries.6. For large scale use of Refuse Derived Fuel (RDF) from MSW, following is recommended:a. Recognition of RDF usage in cement plants as a fuel substitute under the

Swatch Bharat Abhiyan Guidelines for effective management of MSW.b. The viability Gap Funding required for setting up for RDF processing plants shouldbe considered through the National Clean Energy Fund.

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c. Section 35 of the Companies Act 2013 should recognize management of MSW foruse of RDF in Cement Industry as a valid CSR activity.7. CAG has done a detailed study on waste management in India and given specificrecommendation to enhance co-processing of waste in cement plant. The

recommendation given by CAG should be implemented.8. Review/ modification in Fly Ash Management Rules, 2009 to address barriers inimplementing large scale utilization of fly Ash in pozzolona cement manufacturing asrecommended in White Paper No. IV of Forum of Regulators.9. The existing odor and Volatile Organic Compound (VOC) control guidelinesrecommended for TSDFs should be extended to Cement Industry undertaking co-processing of wastes.10. Setting of separate waste management cell in SPCBs and State Urban DevelopmentDepartment exclusively to promote co-processing of waste.11. Regular inventorization of waste volumes generated by the industries to beundertaken by SPCBs and to be made available in public domain.12. MoEF&CC should mandate minimum disposal of non-biodegradable waste throughlandfill option. A regular monitoring mechanism also needs to be put in place to ensureeffective implementation.13. An assessment of GHG mitigation potential through co-processing in CementIndustry needs to be undertaken by MoEF&CC.By implementing above recommendations, it will be possible to reduce GHG emissions,conserve natural resources such fossil fuels etc. and also save costly imports of coal. If theIndian Cement Industry aspires to achieve a TSR of 8% by the year 2018, it will help disposemore than 3 Million Tonne Per Annum (MPTA) of wastes gainfully and the industry will beable to avoid importing 2.5 MTPA of coal. This, in turn, will help the government reduce theforeign exchange outgo by about USD 250 Million. In addition, we will be able to reduce GHGemissions by about 4 MPTA. *****

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ANNEXURE-VII

LIST OF CMA PUBLICATIONS/PERIODICALS

Periodicals

Cement, Energy and Environment – Quarterly Journal Cement Journal – Quarterly Cement News Digest – Weekly CMA Directory (Annual) Indian Cement Industry – Statistics (Annual) Basic Data on Indian Cement Industry (Annual)Cement Concrete Roads

Blended Cements – Portland Pozzolana Cement and Portland Slag Cement (Aug.2015) Cement Concrete Road & Overlay Construction - DOs and DONTs (Revised and Updated) (Jan. 2015) Cement Concrete Roads For Rural India- A Must (Dec.2013) 165 km Yamuna Expressway in Cement Concrete through PPP Mode in Uttar Pradesh (Nov.2012) White-Topping of Roads—Concrete Overlay Technology (Nov. 2011) City Concrete Roads …. (Modified and Enlarged) (Jun.2010) Cement Concrete Roads – A Long Lasting Gift to Nation (Jun.2010) Handbook on Cement Concrete Roads (Mar.2010) Four Laning of Satara-Kolhapur-Kagal, NH4 (Revised and Updated) (Mar.2007) Cement Concrete Pavements for City Roads, Bus Stands & Depots (Mar.2003) India's First Access Controlled Expressway - Mumbai-Pune (Oct.2001) Handbook of Ready Mixed Concrete (Jul.2001) Fuel Savings on Cement Concrete Pavements (2000)Buildings

Construction, Maintenance and Upkeep of Concrete Buildings (Oct.2009) Building Lasting Homes (Oct.2008) Cement in Service of The Nation (Jan.2006)Canal Lining

Cement Concrete Canal Lining (Feb.2009) Handbook on Cement Concrete Canal Lining (Jun.1998)Consumer Guide

Cement for Construction – A Consumer Guide (Jan.2008)(In Different Languages – English, Hindi, Tamil, Telugu, Malayalam,Bengali, Marathi, Kannada, Punjabi and Gujarati)*****

Stopped publishing after CompetitionCommission of India’s Order of 2012

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MEMBER COMPANIES OF CEMENT MANUFACTURERS’ ASSOCIATION

1. Anjani Portland Cement Ltd306A, The Capital, 3rd Floor,Plot No. C-70,Bandra Kurla Complex,Bandra (East),Mumbai – 400051.

2. Bagalkot Cement & Inds. LtdStadium House, Block No 1, 6th floor,Veer Nariman Road, Churchgate.Mumbai - 400 020

3. Binani Cement Ltd37/2, Chinar Park, New Town,Rajarhat Main Road,P.O. Hatiara,Kolkata - 700 157

4. Birla Corporation Ltd(Cement Division)

Birla Building9/1, R.N. Mukherjee Road,Kolkata 700 001

5. Cement Corporation of India Ltd(A Govt. of India Enterprise)Scope Complex, Core No. 57, Lodhi Road,New Delhi 110 003

6. Cement Manufacturing Co. LtdVillage Lumshnong, P.S. KhliehriatDist. Jaintia Hills,Meghalaya – 793 200

7. Century Textiles & Industries LtdCentury CementMaihar CementManikgarh Cement

Century BhawanDr. Annie Besant Road,Mumbai 400 025

8. Chettinad Cement Corporation LtdRani Seethai Hall BuildingPost Box No.748, 603, Anna Salai,Chennai 600 006

9. Dalmia Cement (Bharat) LtdDalmiapuram - 621 651Distt. Tiruchirapalli,Tamil Nadu

10. Gujarat Sidhee Cement LtdSiddhigram - 362 276Off. Veraval Kodinar HighwayTaluka Veraval, Distt. Junagarh,Gujarat

11. HeidelbergCement India Ltd9th Floor, Tower-C, Infinity Towers,DLF Cyber City, Phase-IIGurgaon, Haryana 122 002

12. Hi-Bond Cement (I) Pvt. Ltd.11, Gautam Chambers,Opp. Bombay Hotels,Gondal RoadRajkot-360002Gujarat

13. The India Cements Ltd“Dhun Building’

827, Anna Salai,Chennai 600 002

14. J.K. Cement LtdKamla TowerKanpur 208 001Uttar 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. 149Srinagar 190 001

17. JK Lakshmi Cement LtdJaykaypuram – 307 019Distt. Sirohi,Rajasthan

18. The K.C.P. LtdRamakrishna Buildings2, Dr. P.V. Cherian CrescentEgmore, Chennai 600 008

19. Kalyanpur Cements Ltd2 & 3, Dr. Rajendra Prasad SaraniKolkata 700 001

20. Kesoram Industries LtdKesoram CementVasavadatta Cement

9/1, R.N. Mukherjee Road,Kolkata 700 001

21. Khyber Industries (P) LtdKhayam Road, Nowpora,Srinagar 190 001Jammu & Kashmir

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22. Lafarge India Pvt. LtdCrescenzo Building,B-Wing, 10th Floor,C-38 & C-39, G Block,Bandra Kurla Complex,Bandra (East),Mumbai- 400 051

23. Malabar Cements Ltd(A Govt. of Kerala Undertaking)Walayar P.O.,Palakkad Distt. - 678 624, Kerala

24. Mangalam Cement LtdAdityanagar, Morak - 326 520Distt. Kota(Rajasthan)

25. Mawmluh-Cherra Cements Ltd(A Govt. of Meghalaya Undertaking)Taxation Building, (Near Raj Bhawan)Shillong - 793 001,Meghalaya

26. Meghalaya Cement LtdVillage Thangskari, P.O. Lumshnong,Distt. Jaintia Hills,Meghalaya - 793 200

27. My Home Industries Ltd9th Floor, Block-3,My Home Hub, Madhapur,Hyderabad - 500 081

28. OCL India LtdRajgangpur - 770 017Distt. Sundergarh,Odisha.

29. Orient Cement Ltd(Prop: Orient Paper & Inds. Ltd)Bhubaneswar – 751 012,Odisha

30. Panyam Cements & Mineral Inds LtdC-1, Industrial Estate,Bommalasatram, Nandyal,Kurnool Distt.,Andhra Pradesh 518 502

31. Penna Cement Inds.LtdPlot No.703, Sriniketan Colony,Road No.3, Banjara Hills,Hyderabad 500 034

32. Prism Cement Ltd305, Laxmi Nivas ApartmentsAmeerpet,Hyderabad 500 016 (A.P.)

33. Rain Cement Ltd(Formerly Rain Commodities Ltd)Rain Centre, 34, Srinagar Colony,Hyderabad –500 073 (A.P.)

34. The Ramco Cements Limited(Formerly Madras Cements Ltd.),Ramamandiram, Virudhunagar Distt.,Rajapalayam 626 117.Tamil Nadu

35. Reliance Cement Company Pvt. Ltd.,H. Block, 1st Floor,Dhirubhai Ambani Knowledge City,Navi Mumbai – 400 710.

36. Sanghi Inds. LtdSanghinagar–501 511R.R. Dist.,Andhra Pradesh.

37. Saurashtra Cement LtdNear Railway Station,P.O. Ranavav - 360 560,Gujarat

38. Shree Cement LtdBangur Nagar, Post Box No.33,Beawar - 305 901(Rajasthan)

39. Shree Digvijay Cement Co.Ltd(A Votorantim Group Company)P.O. Digvijaygram – 361 140Via Jamnagar, (Gujarat)

40. Shriram Cement Works(A divn. of DCM Shriram Ltd.)

6th Floor, Kanchenjunga Building,18, Barakhamba Road,New Delhi 110 001

41. Tamil Nadu Cements Corp. Ltd(A Govt. of Tamil Nadu Undertaking)

LLA Building, 2nd Floor,735, Anna Salai,Chennai 600 002

42. UltraTech Cement Ltd‘B’ Wing, Ahura Centre,2nd Floor, Mahakali Caves RoadAndheri (E), Mumbai 400 093

43. Zuari Cement Ltd(Italcementi Group)

Krishna Nagar, Yerraguntla 516 311Kadapa Distt,Andhra Pradesh

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CEMENTMANUFACTURERS'ASSOCIATION

SECRETARIAT

Secretary General Shri N.A. ViswanathanActing Secretary Shri S.K. DalmiaJoint Secretary Shri S.V. JoshiShri N.K. PandeSr. Dy. Secretary Shri H.K. PanchalShri Rakesh GuptaEDP Manager Shri Piyuesh AggarwalSr. Asstt. Secretary Shri N.Y.R. Sampath KumarShri N.S. PawarShri C.S. PantTechnical Officer Shri K.K. Roy Chowdhury

AUDITORSMessrs K.S. Aiyar & Co.Chartered Accountants

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

Corporate OfficeCMA Tower, A-2E, Sector 24, Noida -201301 (U.P.)Tel: 0120-2411955, 2411957, 2411958, 2411764, Fax: 0120-2411956Email: [email protected]

Mumbai OfficeExpress Building, 1st Floor, Indian Merchants’ Chamber Marg, Churchgate, Mumbai - 400 020Tel: 022 -22049691, 22851304, Fax: 022 -22040582Email: [email protected],

Hyderabad Office3rd Floor, 36th Square, Plot No.481, Road No.36, Jubilee Hills, Hyderabad 0- 500 034.Tel: 040-23553373Email: [email protected]

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