Composite cement and the road ahead of MP Birla cement

Birla Corporation Limited

Kolkata

1. Theoretical background
Cement Industry
Cement Industry originated in India when the first plant commenced production in 1914
at Porbandar, Gujarat named as Indian Cement Company Ltd. The industry has since
been growing at a steady pace, but in the initial stage, particularly during the period
before Independence, the growth had been very slow. Since indigenous production was
not sufficient to meet the entire domestic demand, the Government had to control its price
and distribution statutorily. Large quantities of cement had to be imported for meeting the
deficit. The industry was partially decontrolled in 1982 and this gave impetus to its pace
of growth.
Installed capacity increased to more than double from 27 million tons in 1980-81 to
62million tonnes in 1990.
The cement industry responded positively to liberalization policy and the Government
decontrolled the industry fully on 1st March 1989. From 1991 onwards cement industry
got the status of a priority industry in schedule III of the industry policy statement, which
made it eligible for automatic approval for foreign investment up to51% and also for
technical collaboration on normal terms of payment of royalty. After the globalization
and liberalization of the Indian economy, the cement industry has been growing rapidly at
an average rate of 9 percent. The country is now the second largest producer of cement in
the world next only to China with a total capacity of 217.80million tones. Additionally, in
the last two decades, the industry has undergone rapid technological up gradation and
growth, and now, some of the cement plants in India are comparable to the world’s best-
operating plants in all respects. Till a few years ago India was importing cement from
other countries, as the production could not meet the demand for the whole country. Now
the tables have turned as India has started exporting large quantities of cement and
clinker to Bangladesh, Nepal, Sri Lanka, Maldives, Mauritius, Africa, Seychelles, Burma,
UAE, and Singapore etc.
India is today the second largest producer of cement in the world with an installed
capacity of close to 217.80 million tons per year. 95 % is consumed domestically and
 only 5% is exported. Demand is growing at more than 10 % per annum. More than 90
%of production comes from large cement plants. There are a total of 146 large and more
than 350 small cement manufacturing units in the country. More than 80% of the cement-
manufacturing units use modern environment-friendly "dry" process.
India has a lot of potential for development in the infrastructure and construction sector and the
cement sector is expected to largely benefit from it. Some of the recent major initiatives such as
the development of 98 smart cities are expected to provide a major boost to the sector.
Expecting such developments in the country and aided by suitable government foreign policies,
several foreign players such as Lafarge-Holcim, Heidelberg Cement, and Vicat have invested in
the country in the recent past. A significant factor which aids the growth of this sector is the ready
availability of the raw materials for making cement, such as limestone and coal.
Cement production capacity stood at 502 million tonnes per year (mtpy) in 2018. Capacity
addition of 20 million tonnes per annum (MTPA) is expected in FY19- FY 21.
The Indian cement industry is dominated by a few companies. The top 20 cement companies
account for almost 70 per cent of the total cement production of the country. A total of 210 large
cement plants account for a cumulative installed capacity of over 410 million tonnes, with
3 small plants accounting for the rest. Of these 210 large cement plants, 77 are located in the
states of Andhra Pradesh, Rajasthan and Tamil Nadu.

2. Different types of cement that are produced in India

(a) Grey Cement
 Ordinary Portland cement (OPC):

OPC, popularly known as grey cement, has 95 per cent clinker and 5 percent gypsum
and other materials. It accounts for 70 per cent of the total consumption.

 Portland Pozzolana Cement (PPC):

PPC has 80 per cent clinker, 15 per cent pozzolana and 5 per cent gypsum and accounts for 18
per cent of the total cement consumption. It is manufactured because it uses fly ash/burnt
clay/coal waste as the main ingredient.

 Portland Blast Furnace Slag Cement (PBFSC):

PBFSC consists of 45 per cent clinker, 50 per cent blast furnace slag and 5 percent gypsum and
accounts for 10 per cent of the total cement consumed. It has a heat of hydration even lower than
PPC and is generally used in the construction of dams and similar massive constructions.

(b) White Cement:

White cement is basically OPC - clinker using fuel oil (instead of coal) with iron oxide content
below 0.4 per cent to ensure whiteness. A special cooling technique is used in its production. It is
used to enhance aesthetic value in tiles and flooring. White cement is much more expensive
than grey cement.

 Specialized Cement:
Oil Well Cement is made from clinker with special additives to prevent any porosity.

 Rapid Hardening Portland cement:

Rapid Hardening Portland Cement is similar to OPC, except that it is ground much finer, so that
on casting, the compressible strength increases rapidly.

 Water Proof Cement:

Water Proof Cement is similar to OPC, with a small portion of calcium stearate or non-
saponifiable oil to impart waterproofing properties

3. Manufacturing Process

Mining -
Limestone is extracted from own mines, which are situated approx. 4 km. away from the plant.
The mining of limestone is done in such a way so as to get 78% to 82% pure limestone.
Crushing -
The extracted limestone is then transported to crushers by dumpers. The limestone is crushed
into small pieces of approx 16 to 25 mm sizes.
Grinding –
The crushed limestone along with latrine is feed into the Raw Mill for grinding. The ground
material is called Raw Meal. It is then sent to the CF Silo.
Blending -
In the Silo the Raw Material is blended to make the mixture uniform. From here the material is
sent to the preheaters.
Burning -
In preheaters, the mixture is heated at various temperatures at various stages. This preheated
material is now fed into the kiln where it is heated at the temperature of 1400-1500 degree where
calcinations take place. Coal is used in the kiln to maintain the temperature and finally, clinker
emerges out of it. This clinker is transported through a conveyor into a storage Silo from were it
taken out through vibratory feeders & fed into the open circuit cement grinding mill hoppers.
Storage & Packing -
The cement is then conveyed to different cement storage silos according to their grades &from
silos it is packed in pp bags by using electronic packaging machines.

4. What are the top cement companies in India

(a) UltraTech Cement

Capacity: 92.45 MTPA
Plant Locations- Chandrapur District, Solapur-Maharashtra
Aligarh, Gautam Buddha Nagar-UP
Bathinda District-Punjab
Hooghly-West Bengal
Ananthapur District-Andhra Pradesh
Baloda Bazar District-Chhattisgarh
Amreli District, Kutch-Gujarat
Ariyalur District, Vellore-Tamil Nadu
Jaipur-Rajasthan
Kalaburgi Dist, Koppal-Karnataka
Khor-MP
Haridwar- Uttarakhand
Solan Dist- Himachal Pradesh
 Cochin- Kerala
Ranga Reddy Dist- Telangana
Patna- Bihar
Jharsuguda Dist- Orissa

(b) Shree Cement

Capacity- 45.5 MTPA
Plant Locations- Beawar, Ras Dist-Rajasthan
Laksar Dist-Uttarakhand
Panipat Dist-Haryana
Bulandshahr-UP
Aurangabad-Bihar
Baloda Bazar Dist-Chhattisgarh

(c) Ambuja Cement

Production capacity – 29.10 MTPA
Plant Locations- Cochin-Kerala
Roopnagar Dist-Punjab
Chandrapur Dist-Maharashtra
Gir Somnath Dsit-Gujarat
Howrah Dist-West Bengal
Gautam Buddha Nagar-UP
Solan Dist-Himachal Pradesh
Raipur Dist-Chhattisgarh
Mangaluru-Karnataka
Haridwar Dist-Uttarakhand

(d) ACC
Capacity – 33.41 MTPA
Plant Locations- Gagal-Himachal Pradesh
 Tikaria-UP
Chaibasa-Jharkhand
Kyamore-MP
Jamul Dist-Chhattisgarh
Chanda Dist-Maharashtra
Wadi Dist-Karnataka
Macherial- Andhra Pradesh
Madukkarai-Tamil Nadu

(e) Ramco Cement

Capacity – 16.71MTPA
Plant Locations- Ariyalur-Tamil Nadu
Mathodu Dist-Karnataka
Jayanthipuram Dist- Andhra Pradesh

(f) Dalmia Cement

Capacity- 29.4MTPA
Plant Locations- Dalmiapuram Dist-Tamil Nadu
Kadapa- Andhra Pradesh
Balidih-Jharkhand

(g) JSW
Capacity- 11.33MTPA
Plant Locations- Salboni-West Bengal
Dolvi- Maharashtra
Kurnool Dist-Andhra Pradesh
Vijayanagar-Karnataka

(h) Birla Corporation Limited

Combined capacity- 15.5 MTPA
Plant Locations- Chanderia Dist-Rajasthan
 Durgapur Dist-West Bengal
Raebareli-UP
Satna Dist-MP
Butibori-Maharashtra
Maihar – MP
Kundanganj - UP

(i) JK Laxmi Cement

Capacity- 13.10MTPA
Plant Locations- Gandhinagar Dist-Gujarat
Jhajjhar Dist-Haryana
Durga Dist-Chhattisgarh

Note: - The above mentioned are the cement companies of India and my project is on
MP Birla Cement Ultimate Ultra

5. Brands of MP Birla Cement

(a) MP Birla Cement Perfect Plus

Perfect Plus is a premium quality specially engineered PPC Cement from the house of
MP Birla Cement for specific applications of Foundation, Pillar & Roofing works.
The product technology has multiple advantages in improving performance & life of
the concrete. This is the national flagship premium brand of MP Birla Cement.

(b) MP Birla Cement Samrat Advanced

MP Birla Cement Samrat Advanced comes with advanced moisture-proof packaging
and advanced strength and finishing. Recently launched in the central market.

(c) MP Birla Cement Ultimate Ultra

MP Birla Cement Ultimate Ultra is a composite cement that comes with a guarantee
of superior performance. It has achieved the perfect balance between strength and
finish.

(d) MP Birla Cement Unique

 MP Birla Cement Unique is a premium East India Portland Slag Cement (PSC) brand
that is highly rich in reactive silica. The grains of the cement is so fine that they
spread over large surface areas, making them leak-proof and durable and best quality
slag. The market of slag cement is scarce and unique is high on demand.

(e) MP Birla Cement Samrat

MP Birla Cement Samrat is a fly ash-based Portland Pozzolana Cement (PPC)
It is the mother brand of MP Birla Cement. The right combination of Portland cement
clinker, fly ash, and gypsum makes the product strong, durable, and ideal for all types
of construction.

(f) MP Birla Cement Ultimate

MP Birla Cement Ultimate is a premium Portland Pozzolana Cement (PPC) brand
that is rich in clinker, fly ash, and gypsum. Twice refined, the product is resistant to
corrosion and contains low amounts of alkali.

(g) MP Birla Cement Chetak

MP Birla Cement Chetak is a prized product of Birla Corporation Limited
MP Birla Chetak comes with the promise of strength and durability. The fly ash used
in the product is rich in silica, which reacts with lime to produce a binding gel.
It is highly acclaimed in the north market.

(h) MP Birla Cement PSC

A popular PSC cement brand in the east market which ensures strength, durability,
and reduced construction time.

(i) MP Birla Cement Multicem

The first institutional Portland Pozzolana Cement brand, specially engineered for
infrastructural development.

(j) MP Birla Cement Concrecem

A product of avant-garde technology, Concrecem guarantees strength, durability, and
faster construction time. It’s the first institutional ordinary Portland cement brand.

6. What makes Ultimate Ultra different from others?

MP Birla Cement Ultimate Ultra is high-quality pozzolanic cement that comes with a
guarantee of superior performance. It has achieved the perfect balance between strength
and finish. With its optimally balanced molecular morphology of pozzolanic materials
 and slag. Ultimate Ultra is a cement of the future and a builder of homes that are both
charming and durable.

Power of fly ash:

MP Birla Cement Ultimate Ultra is characterized by an outstanding fineness of particles.
It resists alkali-aggregate reactions and increases the decay-resistance capacity of the
construction. The presence of silica (SiO2) helps in converting the free-leached Ca(OH)2
into hydrated Calcium Silicate Gel, thereby increasing the Refractive Index of the
cement. The fly ash provides the cement with higher initial strength, as well as a late-in-
life fortification. It decreases the ‘Heat of Hydration’ in concrete, and resists post-
construction shrinkage cracks.

Power of Ground Granulated Blast Furnace Slag:

The presence of Calcium Oxide (CaO) and Alumina makes the fine particles stick to one
another. This process helps to boost the impermeability of concrete, thereby providing
better pore refinement. Its optimum ratio of Silica and Alumina makes for perfect
cohesiveness, resulting in the formation of dense concrete.

A perfect blend of fly ash and slag:

Empowered by state-of-the-art technology and ratified by the IS 16415-2015 guidelines,
Ultimate Ultra unites slag and silica in order to increase the workability of concrete and
provide better slump retention. The blend makes the cement more sulphate resistant and
ensures protection against adverse natural conditions.

Hence, the blend of fly ash and blast furnace slag makes
Ultimate Ultra better and different than the rest.
7. Research Questions
8. Research Gap’s
(a) Unaware about frequent change in distribution heads
(b) No proper information was given by the dealers or sub-dealers at the time of the
survey
(c) No proper relation between employees and dealers

9. Analysis and Tables

(a) Table 1.1 showing cement companies preferred more by the customers in terms
of all the aspects ( price, quality etc) in Kolkata, West Bengal
 Cement
companies Pref in %
Birla Corp Ltd 20
ACC 20
JSW 30
Dalmia 5
Ambuja 10
Star 5
Ultratech 10
Table 1.1

(b) Table 1.2 showing percentage of television advertisements by different cement

companies in Kolkata, West Bengal
 Cement
Companies Advertisemnt
Birla Corp Ltd 5
ACC 20
JSW 30
Dalmia 10
Ambuja 10
Star 15
Ultratech 10
Table 1.2

(c) Table 1.3 showing list of problems faced by the dealers while selling MP Birla
Cement Ultimate Ultra in West Bengal, Kolkata
 list of prob percentage
High price 30
Wall paint 20
Mason meet 10
Lack of
information
regarding price 5
Availability of
POP(point of
purchase) items 10
Table 1.3 Advertisement 25

(d) Significance of the study

The whole study about cement and Ultimate Ultra of Birla Corporation Limited is just to
find the way, through which the growth of ultimate ultra increases in coming days and to
make the product more competitive with others in the market.

(e) Recommendation
  To satisfy the needs of dealers/sub-dealers
 Timely update the change of price of cement to the dealers/sub-dealers
 Being a premium product it can have a great future in Urban areas
 Relationship Management

(f) Scope of the study

The eastern states of India are likely to be the newer and virgin markets for cement
companies and could contribute to their bottom line in future.