Final Project

A Study on Marketing of Blended Cement in My Home Industries Ltd.
Hyderabad.
By
Mr.GOUTAM PRASAD SHUKLA
A Project Report/ Thesis submitted in partial fulfillment of the requirements for

the Masters in Business Administration
TRAINING & ADVANCED STUDIES

IN MANAGEMENT AND COMMUNICATIONS LTD.
www.tasmac.ac.in
TASMAC House, TASMAC Road, Viman Nagar, Pune – 411 014 (India)
30.05.2008
Hyderabad.
By
A Project Report/ Thesis submitted in partial fulfillment of the requirements for the Masters in
Business Administration
TRAINING & ADVANCED STUDIES

IN MANAGEMENT AND COMMUNICATIONS LTD.
www.tasmac.ac.in
TASMAC House, TASMAC Road, Viman Nagar, Pune – 411 014 (India)
30.05.2008
2
The Project Report / Thesis of
Titled

Hyderabad.
Is approved and is acceptable in quality and form
Mr.K.SUDHINDRA
M.B.A. in Marketing
Marketing Manager
My Home Industries Ltd.Bangalore
Research Guide’s Name,
Qualification and Designation
30.05.2008
3
STUDENT DECLARATION
I hereby declare that the Project Report / Thesis titled

Hyderabad.
Submitted in partial fulfillment of the requirements for the
MASTERS IN BUISINESS ADMINISTRATION
to TASMAC is my original work and submitted for the award of any other Degree, Diploma,
Fellowship or other similar title of prizes
Place : GOUTAM PRASAD SHUKLA

Date: Regd.No.01/DL/EMDB/456
4
ACKNOWLEDGEMENT
I extend my sincere thanks to my guide at collage Ms.Mala Chadda, who has given her
full support and guidance to successfully accomplish my Project Work.
My reverence and gratitude goes to Mr.Sai Prakash Sr. Vice President in My Home
Industries Ltd. for making me in permission to carry out my Project work in such work.
My genuine thanks to Mr.K.Sudhindra, Marketing Manager in My Home Industries

Ltd.lending his valuable time and kind co-operation in the accomplishment of my task.
I would like to extend my sincere gratitude to entire faculties of TASMAC of Bangalore

and I am very much thankful to my family members, friends and my colleagues for
their encouragement and suggestions given in the course of my Project Work.
(GOUTAM PRASAD SHUKLA)
5
SUMMARY
Marketing of blended cement includes lot of factors like availability, seasonable

conditions, Profit and Quality. In this study we are going to classify types of Blended
cements and manufacturing process and on what basis Blended cement is moving into
the market. We are going to discuss what are the inputs required to promote the
Blended Cement.
Cement Industry in India is on a roll at the moment. Driven by a booming real estate
sector, global demand and increased activity in infrastructure development such as state
and national highways, the cement industry has witnessed tremendous growth.
Production capacity has gone up and top cement companies of the world are eager to
enter the Indian market, thereby sparking off a spate of mergers and acquisitions. Indian
cement industry is currently ranked second in the world.
My Home Industries Limited was the most ambitious diversification of the My Home
Group. My Home Industries Limited started as 600 TPD mini cement plant in 1998, is
now a major plant with a production capacity of 3.40 Million Tonnes per annum.
My Home Industries Limited got ISO 9001 Certification from AQA International, LLC,
USA. It is not only maintaining the ISO standards, and also tries to improve upon it day
by day in order to equip itself for ISO 14000. In view of enoroumus growth the
company has been consistently achieving in short span of just over decade, a joint
venture proposal has been successfully completed with effect from 1st April 2008 from
The CRH group a world’s second largest group in construction industry.
6
CONTENTS
Page No.
1. TITLE ……………………………………………………………… 2-4
2. ACKNOWLEDGEMENT……………………………………………… 5
3. SUMMARY……………………………………………………………… 6
4. CONTENTS…………………………………………………………….. 7
5. LIST OF TABLES, FIGURES AND APPENDICES…………………. 8-21
6. INTRODUCTION………………………………………………………. 22-33
7. MAIN BODY…………………………………………………………….. 34-92
8. CONCLUSIONS………………………………………………………… 93-94
9. RECOMMENATIONS…………………………………………………. 95-96
10. SWOT ANALYSIS………………………………………………………. 97-101
11. LIMITATIONS /BIBLIOGRAPHY……………………………………. 102-103
12. ADVERTISEMENT……………………………………………………… 104-112
13.QUESTTIONARIES……………………………………………….……… 113-114
7
LISTS OF TABLES,
FIGURES AND
APPENDICES
8
FOR CONSUMERS
KIND OF THE CEMENT THAT CUSTOMER USES
KIND OF THE CEMENT SAMPLES PERCENTAGES %

OPC 21 42
PPC 26 52
SLAG 3 6
TOTAL 50 100
60
50
40
30 PERCENTAGES
20
10
0
OPC PPC SLAG
INTERFACES :
• 42 % of consumers are using OPC cement.

• 52 % of consumers are using PPC cement.
• 6 % of consumers are using Slag cement.
9
PREFERENCES MADE BY THE CONSUMER TO BUY THE CEMENT
PREFERENCES SAMPLES PERCENTAGES%

CLIMATIC CONDIATION 12 24
STRENGTH 35 70
SETTING TIME 2 4
COLOUR 1 2
TOTAL 50 100
SAMPLES
40
35
30
25
20 SAMPLES
15
10
5
0
CLIMATIC STRENGTH SETTING COLOUR
CONDIATION TIME
INTERFACES:
• 24 % of consumers are preferring for Climatic Condition.

• 70 % of consumers are preferring based on strength of the cement.
• 4% of the consumers are preffering based on the setting time.
• 2 % of the consumers are preffering based on the color.
10
THE FACTOR WHICH MADE CONSUMER TO BUY BLENDED CEMENT
PREFERENCES SAMPLES PERCENTAGE %

COST 17 34
QUALITY 17 34
AVAILABILITY 16 32
TOTAL 50 66
SAMPLES
17.2
17
16.8
16.6
16.4
SAMPLES
16.2
16
15.8
15.6
15.4
COST QUALITY AVAILABILITY
INTERFACES:
• 34 % of consumers are preferring based on Cost of the cement.

• 34 % of consumers are preferring based on Quality of the cement.
• 32 % of consumers are preferring based on Availability of the cement.
11
STRENGTH OF BLENDED CEMENT

GOOD 32 64
AVERAGE 18 36
TOTAL 50 100
SAMPLES
36%
GOOD
AVERAGE
64%
INTERFACES:
• 64 % of consumers are giving good feedback on strength of Blended cement.

• 36 % of consumers are giving average feedback on strength of Blended cement.
12
COLOR OF BLENDED CEMENT

GOOD 23 46
AVERAGE 27 54
TOTAL 50 100
SAMPLES
46%
GOOD
AVERAGE
54%
INTERFACES:
• 46 % of consumers are giving good feedback on Color of Blended cement.

• 54 % of consumers are giving average feedback on Color of Blended cement.
13
AVAILABILITY OF THE BLENDED CEMENT

EXCELLENT 2 4
GOOD 44 88
AVERAGE 4 8
TOTAL 50 100
SAMPLES
45
40
35
30
25
SAMPLES
20
15
10
5
0
EXCELLENT GOOD AVERAGE
INTERFACES:
• 4 % of consumers are giving Excellent feedback on availability of Blended cement.

• 88 % of consumers are giving good feedback on availability of Blended cement.
• 8 % of consumers are giving average feedback on availability of Blended cement.
14
THE FACTOR WHICH MADE MAHA SHAKTI KNOWN TO THE
CONSUMERS

DEALERS/RETAILERS 23 46
STOCK AVAILABILITY 3 6
WORD OF MOUTH 24 48
TOTAL 50 100
SAMPLES
30
25
20
15 SAMPLES
10
0
DEALERS/RETAILERS STOCK AVAILABILITY WORD OF MOUTH
INTERFACES:
• 46 % of consumers are came to know about Maha Shakti cement by Dealer/Retailers.

• 6 % of consumers are came to know about Maha Shakti cement by the Stock Availability in the
Godown.
• 48 % of consumers are came to know about Maha Shakti cement by Word of Mouth.
15
FOR DEALERS / RETAILERS
KIND OF THE CEMENT WHICH DEALERS/RETAILERS SELL
KIND OF THE CEMENT SAMPLES PERCENTAGE %

BLENDED CEMENT 29 58
OPC 21 42
TOTAL 50 100
60
40
20 PERCENTAGES
PERCENTAGES
0
BLENDED OPC
CEMENT
INTERFACES:
• 58 % of Dealer/Retailers are Selling Blended Cement.

• 42 % of Dealer/Retailers are Selling Blended Cement.
16
PREFERENCES MADE TO THE DEALER/ RETAILERS TO SELL THE
MORE BLENDED CEMENT

CONSUMER PREFFERED 13 26
QUALITY 19 38
AVAILABILITY 9 18
PROFITABILITY 9 18
TOTAL 50 100
40
35
30
25
20 PERCENTAGES%
15
10
5
0
INTERFACES:
• 26 % of Dealers/ Retailers say they are Consumer Preffered.

• 38 % of Dealers/ Retailers say they are Quality based.
• 18 % of Dealers/ Retailers say about Availability of the cement.
• 18 % of Dealers/ Retailers are say Profitability of the cement.
17
THE QUALITY RATING OF MAHA SHAKTI CEMENT

EXCELLENT 1 2
GOOD 32 64
AVERAGE 17 34
TOTAL 50 100
SAMPLES
EXCELLENT
2%
AVERAGE
34%
GOOD
64%
INTERFACES:
• 2 % of Dealers/ Retailers are Rating Excellent.

• 64 % of Dealers/ Retailers are Rating Good.
• 34 % of Dealers/ Retailers are Rating Average.
18
AVAILABILITY OF MAHA SHAKTI CEMENT
PREFERENCES SAMPLES PERCENTAGE%

YES 48 96
NO 2 4
TOTAL 50 100
SAMPLES
NO
4%
YES
96%
INTERFACES:
• 4 % of Dealers/ Retailers are not satisfied with the availability of Maha Shakti Cement.
• 96 % of Dealers/ Retailers are satisfied with the availability of Maha Shakti Cement.
19
ENQUIRIES OF MAHA SHAKTI CEMENT IN THE MARKET

GOOD 13 26
AVERAGE 29 58
BELOW AVERAGE 8 16
TOTAL 50 100
58
60
50
40
30 26
PERCENTAGE %
20 16
10
0
GOOD AVERAGE BELOW
AVERAGE
INTERFACES:
• 26 % of Dealers/ Retailers are rating enquiries of Maha Shakti cement in the market is Good.
• 58 % of Dealers/ Retailers are rating enquiries of Maha Shakti cement in the market is
Average.
• 16 % of Dealers/ Retailers are rating enquiries of Maha Shakti cement in the market is Below
Average.
20
BRAND PROMOTIONAL ACTIVITIES OF MAHA SHAKTI CEMENT

EXCELLENT 1 2
GOOD 8 16
AVERAGE 21 42
BELOW AVERAGE 20 40
TOTAL 50 100
45 42
40
40
35
30
25
20 16 PERCENTAGES%
15
10
5 2
0
EXCELLENT GOOD AVERAGE BELOW
AVERAGE
INTERFACES:
• 2 % of Dealers/ Retailers are Rating Brand Promotional activities of Maha Shakti cement
Excellent.
Good.
Average.
Below Average.
21
INTRODUCTION
22
HISTORY OF CEMENT
It must interesting to know how cement is made today vis a vis the historical
background. Ever since civilizations stepping in the earth, people sought a material that
would bind stones into a solid, formed mass. The Assyrians and Babylonians used clay
for this purpose, and the Egyptians advanced to the discovery of lime and gypsum
mortar as a binding agent for building such structures as the Pyramids. The Greeks
made further improvements and finally the Romans developed cement that produced
structures of remarkable durability. The secret of Roman success in making cement was
traced to the mixing of slaked lime with pozzolana, a volcanic ash from Mount
Vesuvius. This process produced cement capable of hardening under water. During the
middle Ages this art was lost and it was not until the scientific spirit of inquiry revived
that we rediscovered the secret of hydraulic cement -- cement that will harden under
water. Most of the building foundations in the Roman Forum were constructed of a
form of concrete, placed in some locations to a depth of 12 feet. The great Roman baths
built about 27 B.C., the Coliseum, and the huge Basilica of Constantine are examples of
early Roman architecture in which cement mortar was used. Portland cement today, as
in Aspdin's day, is a predetermined and carefully proportioned chemical combination of
calcium, silicon, iron, and aluminum. Natural cement gave way to portland cement,
which is a predictable, known product of consistently high quality. Aspdin established a
plant in Wakefield to manufacture portland cement, some of which was used in 1828 in
the construction of the Thames River Tunnel. But it was almost 20 years later when J.
D. White and Sons set up a prosperous factory in Kent that the portland cement industry
saw its greatest period of early expansion, not only in England, but also in Belgium and
Germany. Portland cement was used to build the London sewer system in 1859-1867.
Thomas A. Edison was a pioneer in the further development of the rotary kiln. In1902,
in his Edison Portland Cement Works in New Village, NJ, he introduced the first long
23
kilns used in the industry-150 feet long in contrast to the customary 60 to 80 feet.
Today, some kilns are more than 500 feet long. Parallel improvements in crushing and
grinding equipment also influenced the rapid increase in production. Since grinding
process consumes most of the energy various grinding systems like ball mill/vertical
roller mill/Roller presses has been the result of technological developments. Blending
takes place in silos with air blown in from the bottom to aerate the contents. Various
new designs were also developed to increase the efficiency of mixing.
Types of cement:
Ordinary Portland Cement(OPC):

The ordinary portland cement is popularly known as grey cement which is produced by
grinding clinker with 5% gypsum . It is used in all general concreate construction, mass
and reinforced concreate. It accounts for about 70.60% of the total production
Portland Pozolona Cement(PPC):

It is cheaply manufactured because it uses flyash /burntclay/ coal waste as the main
ingredient. PPC has a lower heat of hydration which isd of advantage in preventing
cracks where large volumes are being cast. PPC accounts for 18.3% of the production
Portland Blast Furnace slag cement(PBFSC):
It is made by grinding granulated blast furnace slag,stell industry by product (upto

65%),gypsum 5% and clinker(balance). PBFSC has a heat of hydration even lower than
PPC and is generally used in construction of dams and similar massive construction. It
contributes nearly 10% to the total.
White Cement:
Basically it is OPC: Clinker using fuel oil (instead of coal) and with iron oxide content
below 0.4% to ensure whiteness. Special cooling technique is used. It is used to enhance
24
aestheic value, in tiles and for 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 : It is similar to OPC, except that it is ground much
finer, so that on casting the compressible strength increases rapidly. Water proof
Cement: OPC with small portion of calcium stearate or non-saponifibale oil to impart
water proofing properties
Uses of cement:
1. Ordinary Portland Cement (OPC):
Presently Bureau of Indian Standard has classified OPC in three grades based on the
strength ofcement. These grades are:
• 1. Grade -33-IS-269-1989
• 2. Grade -43-IS-6112-1989
• 3. Grade -53-IS-12269-1987
These types of cement are suited for all modern types of constructions including all
kinds of masonry and concrete works such as pre-cast and pre-stressed concrete. They
are also suitable for all kinds of repair works in masonry and concrete The higher the
grade of cement used , the greater would be the economy , durability and technical
advantages . Moreover construction time is also reduced.
Blended cement:
It is obtained by mixing portland clinker , gypsum and other insert materials in suitable
proportions and grinding the mixture to get a thorough and intimate mix.
25
• Portland Pozzolana Cement (PPC) - Clinker +Gypsum+Pozzolana (Flyash, burnt
clay etc)
• Portland blast furnace slag -Cement Clinker +Gypsum+granulated slag
• Masonry Cement -Cement Clinker +Gypsum+Pozzolana (Limestone Powder
admixtures etc.
2) Portland Pozzolana Cement (PPC):
Suitable for most of the applications as stated in OPC ideally suited for domestic
consumption like plastering, brickwork, mass concreting works like dams, large
foundation. This cement enchances the impermeability and cohesiveness of concrete.
As a result durability is enhanced. It also generates low heat of hydration.
It is cheaply manufactured because it uses flyash /burntclay/ coal waste as the main
ingredient. PPC has a lower heat of hydration which isd of advantage in preventing
cracks where large volumes are being cast. PPC accounts for 18.3% of the production
3.Slag Cement:
Common application are similar to those of OPC. However besides that it has more
sulphate resistance properties than OPC and is suitable for coastal construction.
It is made by grinding granulated blast furnace slag, steel industry by product (up to
65%),gypsum 5% and clinker(balance). PBFSC has a heat of hydration even lower than
PPC and is generally used in construction of dams and similar massive construction. It
contributes nearly 10% to the total.
4.Masonry Cement:
Exclusively meant for masonry works and plaster only.
5.Low heat portland Cement:
Grinding and chemical composition are similar to those of OPC. All applications
requiring very high early strength, very high early removal of form works, very high
handling of pre-cast element, high grade pre cast and prestressed concrete product, slip
form , cooling tower and prill tower.
26
6. Sulphate resistant cement:
The chemical composition is designed in such a manner that C3A content in cement
restricted to 5% and other chemical constituents are similar to OPC. Used in structures
in contact with soil or water having enough sulphate concentration.
7. Oil well cement:

This is a special kind of cement for use in the drilling of wells to fill the space between
the steel lining tubes and the well wall. Its sets slowly in order to give the slurry made
with it sufficient time to reach the large depths of the oil wells. However once set it
develops strength rapidly and remains stable at high temperature.
8. White cement:
It is primarily used for decorative processes and also manufacture of titles. The raw
materials are so chosen that the maximum iron-oxide content is strictly limited to 1%.
Variety of colours can be obtained by the addition of pigments.
9. Super sulphate cement:

Super sulphate cement is made by intergrinding, a mixture of 80-85% selected
granulated slag with 10-15% calcium sulphate and about 5% of portland clinker. It may
be applied where high sulphate, acid and organic oil attacks on structure is expected.
10. High alumina cement:

The chemical composition is designed in such a manner that the total alumina content is
at least 32%. This cement is ideally suited for high temperature castable refractory.
11.Grey Portland cement:

Chemical composition is similar to OPC except the following limitations which ensures
very early strength, increased cohesiveness and increased durability factor towards
chemical attack . All applications where high-strength concrete is required ideally
suited for railway prestressed concrete sleepers, bridges and slipform construction .
27
COMPANY PROFILE
MY HOME INDUSTRIES LTD. was promoted by Dr.Rameswar Rao.J and Assocaites.

The company had set up a dry process Cement plant with a capacity of 600 TPD
(1,98,000 M.T per annum) at Mellacheruvu Village, Nalgonda District in Andhra
Pradesh at a total cost of about Rs.78.32 Crores which was financed by way of share
capital of Rs.32.36 Crores and term loans of Rs.45.96 Crores from Financial institutions
and banks. The Unit has commenced trial production in March,1998 and the
commercial production was declared in July, 1998. In order to compete with the market
players and reduce the average cost of production. It has enhanced its capacity to 1500
TDP in March 2000.
With a view to capture the growing opportunate demand, the Management of the
company had decided to take up the expansion by way of setting up Unit-II Green Field
Cement Project, at the same location with a capacity of 2000 TPD (6,60,000 M.T per
annum). The proposed Unit-II will enable the company to maximize its profitability by
optimum utilization of the technology, manpower and capital. The cost of the proposed
expansion Unit II is estimated to Rs.102.10 crores, which will further reduce the cost
per M.T of installed capacity Apart form that, the cost of production will substantially
reduce due to reduction in cost of power, fuel, financial charges and other fixed over
heads on account of application of the large scale economics due to higher volume of
production and sales. It would also enable the Company to withstand against the
considerable competitive pressure from other large scale units in the Country and also
to create wider brand loyalty for the product. Now the company’s rated capacity is 3.20
million tones per annum which is likely to go up to 4.20 million tonne per annum by
September end of the current year since the company had already setup grinding unit
plant at Vizag with capacity of 1 million tones per annum grinding capacity and 2.0
28
million Green field plant at Dachepalli Guntur District. With all future capacity
expansion plans of the company, the company poised to grow up to 8.00 million tonne
per Month by 2010 and 2011 which will contribute to nations 5 % requirements.
In view of enoroumus growth the company has been consistently achieving in short
span of just over decade, a joint venture proposal has been successfully completed with
effect from 1st April 2008 from The CRH group a world’s second largest group in
construction industry had made 50:50 joint venturewith My Home Industries Ltd. This
joint venture agreements have been entered by both groups in view of acclaiming and
becoming a Major South Indian Player in cement industry with an ambitious growth
and expansion plans.
DETAILS OF THE COMPANY:
Name of the Company : MY HOME INDUSTRIES LTD
Location of the Unit : Mellacheruvu Village & Mandal,

Kodad (Taluq),
Nalgonda District.
Andra Pradesh
Corporate Office : “My Home Hub”

3rd Block, 9th Floor,
Survey No.79, Madhapur
Hyderabad – 500 081
Promoter : Dr. Rameswar Rao.J

Industry : Cement
Product : Cement
Group concerns : My Home Constructions Ltd.
My Home Estates Pvt. Ltd.
My Home Power Ltd.,
29
MANAGEMENT FUNCTIONS
HUMAN RESOURCE MANAGEMENT:
After the company does its manpower planning it gives advertisements in the
newspapers and journals as an outside recruitment for the required number of
employees. At lower levels at times employee recommendations are considered.
Selection is done on the basis of attitude, aptitude, experience and interviews.
Promotion is based on merit as it is determined by job performance and by analysis of
employee potential for promotion. In this way they ensure that competence shall be the
fundamental determinant of progress. It ensures efficiency in the organization.
As far as the wage structure is concerned there is a particular pattern or policy framed
by the company. As the company is just five years old they have not yet stressed more
on the training and development of the employees. The managers on a continuous basis
they were sent to seminars conducted by outsiders. The company is planning for the
training of the employees to reduce cost and improve efficiency thereby motivating
them to perform well and grow with the organization.
The hours of work for the employees are from 9:30 in the morning to 6.00 in the
evening and for the workers at the factory work on continuous shift basis with an hours
rest interval. The company looks after the welfare of the employees and the workers,
very well, as they provide for canteens and rest rooms at the factory. As far as medical
facilities are concerned reimbursement is allowed for employees as agreed and housing
facilities, club membership and other recreation facilities are provided for the top
management. The company formed employee’s co-operative society at factory for
welfare of the employees.
30
MARKETING MANAGEMENT:
Marketing Department gives details relating to SWOT analysis, its promotional

policies, pricing policies, the distribution network, the company’s competitors
information and the sales of the company.
SWOT analysis is the way of analyzing the company’s strength and weaknesses, which
are internal to the company and opportunities and threats, which are external to the
company.
Strengths and Weaknesses:
Besides professional management the strength include good quality product, brand
image, wide marketing network. Expansion Unit – II will make the unit economically
sustain in the long run.
Opportunities and Threats:
The slow down in the economy and unfavorable market conditions have an impact in
the economy but at present the economy is moving upwards and so the company can
increase its profitability. It has established its brand name in a very short period and is
enjoying good brand image in the market with its good quality product.
The company’s competitors are Grasim, ACC, Zuari , Kesoram Cement, Rassi Cement,
Coromadel Cement, Priyadarshini Cement among the well established cement
companies. The cement Produced by the company is of high quality and confirms to the
ISI standards. As far as the SPA are concerned the company advertises in print as well
as electronic media. The company advertises through, Highway Hoardings, Shop
Painting, Wall Painting, Bus Pannels, Pole Ads, Bus Paintings and also through
31
Televisions by slides screening in Cinema Theaters and Radio Jingles. Apart from that
the company also advertises though New Year Calendars, PVC Banners, Auto covers,
Pocket calendars, Stickers and pre printed Banyans with Company logo. The company
also conducts Dealers meets, Mason meets, Architects meet and Engineers meet for
better understanding and promotion of the product.
Prices of cement, are totally market driven and fluctuate heavily. The company fixes its
prices from time to time to absorb the market. Inspite of the cut throat competitive
market environment the company has been successfully envisaging to target at highest
possible realizations.
The Marketing Department is headed by the Sr.Vice President (Marketing) assisted by

General Manager, Sr.Deputy General Managers and Marketing Managers. There are
various regional offices at different locations to cater to the needs of the local people,
which are headed by the Marketing Manager/ Regional Managers.
The company has a wide network of dealers to reach the rural markets. The company is
manufacturing Portland Pozzolona Cement, which consumes less clinker and reduces
the cost of production. Apart from the dealers, the other customers are mainly the
Builders, individual and Government agencies.
PRODUCTION MANAGEMENT:
Production Management is concerned with the production cycle, the plant layouts. It
states the whole process of conversion of the raw materials to the finished goods.
The whole process of the preparation of the cement is stated here. The products of the
company are Ordinary Portland Cement (OPC) and Pozzolona Portland Cement (PPC).
The continuous check on the quality aspects are being closely monitored by adopting
32
most sophisticated and advanced technologies at the laboratories of the factories, which
ultimately takes care of the ISO norms.
FUTURE OUTLOOK OF THE COMPANY:
Further, as The Government of India has given highest priority for the infrastructure
sector with a plan to lay National Highways throughout the country with an estimated
cost of Rs.10,000 crores in the next five years, development of shipping yards, air ports,
provision of the housing to the teeming millions of the country and with the GDP
growth of 7-8% p.a, the demand for the Cement will boost up within next five years. It
is estimated that the total expected demand is about 180 Million M.T by 2008-2009
when the total production of cement is expected to be only around 170 Million M.T
leaving a gap of about 10 million tones between demand and supply.
With further liberalization of the economy in pipe line by the Union Government of
India in areas of industrial growth, agricultural development and consequent increase in
per capita income of the people in India it is indeed necessary to meet the competitive
challenges in the market, Since the rated capacity of the cement plants in India are
equally growing.
33
MAIN BODY
34
INDIAN CEMENT INDUSTRY PROFILE
Cement Industry in India is on a roll at the moment. Driven by a booming real estate
sector, global demand and increased activity in infrastructure development such as state
and national highways, the cement industry has witnessed tremendous growth.
Production capacity has gone up and top cement companies of the world are vying to
enter the Indian market, thereby sparking off a spate of mergers and acquisitions. Indian
cement industry is currently ranked second in the world.
The origins of Indian cement industry can be traced back to 1914 when the first unit
was set-up at Porbandar with a capacity of 1000 tonnes. Today cement industry
comprises of 125 large cement plants and more than 300 mini cement plants. The
Cement Corporation of India, which is a Central Public Sector Undertaking, has 10
units. There are 10 large cement plants owned by various State Governments. Cement
industry in India has also made tremendous strides in technological upgradation and
assimilation of latest technology. Presently, 93 per cent of the total capacity in the
industry is based on modern and environment-friendly dry process technology. The
induction of advanced technology has helped the industry immensely to conserve
energy and fuel and to save materials substantially. Indian cement industry has also
acquired technical capability to produce different types of cement like Ordinary
Portland Cement (OPC), Portland Pozzolana Cement (PPC), Portland Blast Furnace
Slag Cement (PBFS), Oil Well Cement, Rapid Hardening Portland Cement, Sulphate
Resisting Portland Cement, White Cement etc. Some of the major clusters of cement
industry in India are: Satna (Madhya Pradesh), Chandrapur (Maharashtra), Gulbarga
(Karnataka), Yerranguntla (Andhra Pradesh), Nalgonda (Andhra Pradesh), Bilaspur
(Chattisgarh), and Chandoria (Rajasthan). .
Cement industry in India is currently going through a consolidation phase. Some

examples of consolidation in the Indian cement industry are: Gujarat Ambuja taking a
35
stake of 14 per cent in ACC, and taking over DLF Cements and Modi Cement; ACC
taking over IDCOL; India Cement taking over Raasi Cement and Grasim's acquisition
of the cement business of L&T, Indian Rayon's cement division, and Sri Digvijay
Cements. Foreign cement companies are also picking up stakes in large Indian cement
companies. Swiss cement major Holcim has picked up 14.8 per cent of the promoters'
stake in Gujarat Ambuja Cements (GACL). Holcim's acquisition has led to the
emergence of two major groups in the Indian cement industry, the Holcim-ACC-
Gujarat Ambuja Cements combine and the Aditya Birla group through Grasim
Industries and Ultratech Cement. Lafarge, the French cement major has acquired the
cement plants of Raymond and Tisco. Italy based Italcementi has acquired a stake in the
K.K. Birla promoted Zuari Industries' cement plant in Andhra Pradesh, and German
cement company Heidelberg Cement has entered into an equal joint-venture agreement
with S P Lohia Group controlled Indo-Rama Cement and Mysore cements in
Karnatraka, CRH has staked 50% share in MHIL. Similarly many acquisitions are
likely take place in India which will help cut the competitive environment and stable the
price situation. .
Issues concerning Cement Industry
• High Transportation Cost is affecting the competitiveness of the cement industry.

Freight accounts for 17% of the production cost. Road is the preferred mode for
transportation for distances less than 250km. However, industry is heavily
dependant on roads for longer distances too as the railway infrastructure is not
adequate.
• Cement industry is highly capital intensive industry and nearly 55-60% of the
inputs are controlled by the government.
• There is regional imbalance in the distribution of cement industry, as Limestone
availability is limited to certain pockets I the country has led to uneven capacity
additions.
36
• Coal availability and quality is also affecting the production.
Outlook
Outlook for the cement industry looks quite bright. Given the sustained growth in the
real estate sector, the government's emphasis on infrastructure and increased global
demand, it looks as if the juggernaut of cement industry would continue to roll on the
path of growth.
We expect an increase incapacity additions of 11 mn tonnes by 1Q FY09E, assuming

demand growth of 10% p.a. continues, considering the time element and lower
utilization levels. With the regional analysis of the demand supply mismatch,
companies having huge market share in the northern region would face maximum
impact, as the region would have surplus of 4.9 mn tonnes (45% of total surplus) in
FY09E. However, regional players in South (India Cement and Madras Cements) would
not have a sharp correction as compared to the northern players, as surplus situation is
not seen till FY10E. We expect a mixed bag, seeing both sides of the coin for pan India
players.
This surplus situation is driven by addition of 96.6 mn tonnes of cement capacities

between FY07-FY10E. The surplus situation would not change even if we presume
higher growth rate of 12% p.a. versus our assumption of 10% p.a. growth over the next
two years, though the surplus may come down to 2 mn tonnes from 11 mn tonnes in
FY09E.
We feel that the current status enjoyed by the cement manufacturers, due to the demand
supply mismatch, will not last long. The surplus would lead to price correction
impacting the profits of the companies. We will be shortly introducing FY09E earnings
estimates and we expect cement realizations to decline by 5-8% YoY in FY09E
depending on the region due to over supply, which would have a negative impact on the
37
earnings. Profits for the companies would fall by 15% to 20% YoY in FY09E for pan
India players like Grasim, UltraTech, ACC and Ambuja Cements.Considering this
reversal in the cement cycle, the companies will not command the premium valuations
that they did during the uptrend, resulting in the de-rating.
Highlights
Adding approximately 96.6 mn tonnes by FY10E: After meeting the machinery
suppliers and collating the data of the announced capacities by the cement producing
companies, we expect a total of 96.6 mn tonnes of new capacities to be added by
FY10E.This would also include the additional capacities through debottlenecking and
exclude the dead capacities. At present the total capacity excluding the dead capacity is
around 160.2 mn tonnes in FY06. Currently KHD Humboltd Wedag (cement machinery
supplier) is working on 14.5 mn tonnes new kiln capacities. They mentioned that
currently their order book is completely full till FY09E.
Overall Demand Supply Scenario (m n tones)
2003 2004 2005 2006 2007 2008 2009 2010

Capacity 141 144 151 160 172 200 237 257
Growth % 2.4 5.0 6.0 7.2 16.5 18.4 8.4
Production 111 118 128 142 152 169 197 221
Growth % 5.5 8.6 11.2 7.4 11.0 16.6 12.4
Capacity Utilization (%) 79 82 84 89 89 84 83 86
Domestic Demand 108 114 123 136 150 165 181 199
Growth % 8.7 5.8 8.1 10.1 10.5 10.0 10.0 10.0
Cement Exports 3.5 3.4 4.1 6.0 5.5 5.0 4.5 4.0
% of Production 3.1 2.9 3.2 4.2 3.6 3.0 2.3 1.8
Higher demand may not change the surplus situation in FY09E:

Demand has remained quite strong and grown by 10% YoY for the period April-
January 2007. We expect demand to continue to grow at 10% YoY in FY08E, which
38
would translate in a deficit of 0.80 mn tonne which would drive the prices. Being
optimistic with the increasing thrust on infrastructure development and assuming
demand grows at 12% for FY08E, we see a huge gap in demand-supply with a deficit of
3 mn tonnes in FY08E. But, if the growth is lowered to 8%, than the surplus is 2.92 mn
tonnes. Thus, depending on the demand growth, the outlook for prices is expected to
change, however this is likely only till FY08E. In FY09E, with huge capacity addition,
even a stronger growth in demand would not help beat the surplus as huge as 12 mn
tonnes. All this growth plans and demand situation are dependent on the Government
policies. To suffice this aspect recently government of India has withdrawn the export
policies to meet the challenges of demand.
Threat of imports minuscule: Post the announcement of the import duty cut of 12.5%
there are threats from imports. But for imports to be feasible, proper logistics (ports
facility) is needed, which India lacks. Also cement being a very bulky and perishable
commodity requires proper warehousing facility, as the shelf life is not more than 45
days. The Chinese producers prefer to dump in other markets like the Middle East
where demand is much higher, as the quant ity exported is huge. Moreover the landed
cost of cement even at zero import duty works out to be Rs250 per 50 kg bag, which is
much higher than the average domestic prices of Rs.240.00 per bag.
39
Domsetic prices lower than than imports
Import Duty at Zero %
Cement from Indonesia 45
Freight cost from 27
Total cost (CIF) US$/tonne 72
Exchange rate (Rs/US$) 44.0
Total cost (CIF) 3,168
Handling cost 300
Value for customs duty 3,468
Import duty (12.5%) 0
Assessable value 3,468
Landed cost 3,468
Countervailing duty (for 408
Value for sales tax 3,876
Value including sales tax of 4,361
Loading and unloading 250
Freight 300
Dealer margin 60
Total selling price 4,971
Total selling price 249
No threat from exports flowing back: According to machinery

suppliers, exports contributed around 4.2% of the overall production
in FY06. And with the demand growing in double digit of around 10%
CAGR for FY06-10E these would be easily consumed in the domestic
market. Moreover, the suppliers added that even after huge
capacities coming on stream in the Middle East by December 2007,
the rising demand in the Middle East markets would surpass the
incremental supply. Thus there will be no major threat of exports
flowing back in the domestic market.
■ Consolidation to help the industry: The cement sector has been

witnessing a lot of consolidation and foreign entrants over the past
few years (see Exhibit 11). Lafarge was the first MNC to enter the
Indian market. It acquired companies like Tisco Cement and Raymond
Woollen in 1999-2000, followed by Italcementi, Holcim and
40
Heidelberg. This would help large players to cut competition from
small regional players. Its aggressive acquisition strategy has made
Holcim the largest MNC player in the cement sector. Currently Holcim
has a total of 34 mn tonnes of capacity through GACL, ACC and ACEL.
Heidelberg entered India by acquiring Indo Rama's capacity of 1 MT
and has now acquired 2.1 MT capacities of Mysore Cements and CRH 50 %
acquisition of MHIL.
■ Cement prices frozen at current levels post budget: Cement prices

have risen by 27% from January 2006 till January 2007. Currently
national average prices are at Rs.211 per 50 kg bag. Prices remained
firm during monsoons and currently prices are stable in all regions
due to concerns from the government with respect to rising cement
prices. In the Union Budget 2007-2008, differential excise duty on
cement has been introduced due to which a cap of Rs190 per 50 kg
bag is imposed on the prices. Although the debate still continues on
how these will be tracked as the prices vary from plant to plant
depending on the distance travelled and also accounting for the
dealer margins.
41
ADDITIONAL CAPACITIES COMING IN YEAR OF 2008-2010
Companies Month Additional Capacity (Mn

.tonnes)
2008-2009
Orient Paper (AP) Apr-08 0.4
Jaypee Cement (UP Restart) Apr-08 1.0
Gujarat Ambuja Cem (Gujarat) Apr-08 0.5
Madras Cements (TN) Apr-08 1.8
Grasim, Kotputli (Raj) Apr-08 4.0
Jaypee Cement (Sidhi, MP) Apr-08 1.5
Shree Cement (Raj) Apr-08 1.5
Burnpur Cement (Jharkhand) Apr-08 1.0
Grasim, Shambhupura (Raj) Jul-08 4.0
Jaypee (Gujarat Anjan) Jul-08 1.2
UltraTech (AP) Sep -08 4.0
OCL (Orissa) Sep-08 1.0
Lafarge (Sonadih, Raipur, Nov-08 2.2
Chattisgarh)
Sanghi, Jadhava (Gujarat) Dec-08 5.0
Chettinad Cem (TN) Dec-08 2.0
Guj Ambuja (ACEL, Chattisgarh) Dec-08 2.3
ACC (Bargadh, Orissa) Dec-08 1.2
Murli Agro Products Jan-08 2.1
(Chandrapur, Maharastra
Total for FY09 36.70
2010
My Home Industries Ltd. Apr-09 1
ACC (Wadi, Karn) Apr-09 3.0
Zuari (Tamil Nadu) Apr-09 2.6
Grasim (Orissa) Apr-09 3.5
Penna Cement (AP) Apr-09 1.6
JK Cement Apr-09 3.2
Guj Ambuja (HP) Apr-09 3.0
Kesoram (Andhra Pradesh) Jul-09 1.5
Lafarge (east) Jul-09 1.5
Total for FY10 20.9
42
SOUTH REGION DESPATCHES FROM APRIL 2007 TO MAR 2008
ANDRA PRADESH
CEMENT DOMESTIC EXPORT
SL.NO. NAME OF THE COMPANY
DESP(MT) DESP(MT) DESP(MT)
1 KESORAM CEMENT 1199950 1199950 -
2 ORIENT CEMENT 1487470 1487470 -
3 ZUARI CEMENT 1960790 1960790 -
4 TANDUR 610000 610000 -
5 VIZAG (G) 372590 372590 -
6 NADIKUDE DURGA CMT 740210 740210 -
7 CHILMAKUR WORKS 1310830 1310830 -
8 VISAKA CEMENT 1147390 1147390 -
9 YERRAGUNTLA 580150 580150 -
10 RAASI CEMENT 2504030 2504030 -
11 SRI VISHNU CEMENT 1320960 1320960 -
12 JAYANTIPURAM 1420760 1420760 -
13 L & T A.P. 2144740 2144740 -
14 K.C.P.LTD 733940 733940 -
15 PANYAM CEMENTS 470750 470750 -
16 PRIYADARSHINI 1071940 1071940 -
17 PENNA IND LTD 1668080 1668080 -
18 PENNA GANESHPAHAD 1140540 1140540 -
19 MY HOME IND LTD. 2491800 2491800 -
20 RAIN IND LTD. 545780 545780 -
TOTAL ANDHRA PRADESH 24922700 24922700 -
TAMIL NADU
21 MADUKKARAI 878160 878160 -
22 GRASIM SOUTH 1348320 1348320 -
23 SANKARNAGAR 1802210 1798890 3320
24 SANKARIDURG 606640 606640 -
25 DALAVOI 1266860 1266860 -
26 ALANGULAM 141660 141660 -
27 ARIYALUR 531320 531320 -
28 RAMASAMYARAJA NAGAR 1215920 1215920 -
29 ALATHIYUR WORKS 2953340 2953340 -
30 CHETTD.KARUR & KARIKK 2908550 2908550 -
31 DALMIA CEMENT 3282700 3277540 5160
32 L & T ARCW (G) 970370 970370 -
TOTAL TAMIL NADU 17906050 17906050 8480.00
KARNATAKA
33 WADI 1592400 1592400 -
34 VASAVDATTA CEMENT 3280910 3280910 -
35 RAJASHREE MALKHED 2948550 2948550 -
36 MYSORE CEMENT 315670 315670 -
37 WADI NEW 2610470 2610470 -
TOTAL KARNATAKA 10748000 10748000 -
KERALA
38 MALABAR CEMENTS 442980 442980 -
39 MALABAR CEMENTS (G) 124660 124660 -
TOTAL KERALA 567640 567640 -
TOTAL SOUTH 54144390 54144390 8480.00
43
Cement firms may face the shortage of Lime stone
India’s growth story has serious problems lurking behind. With the onset of
construction boom in the country, demand for cement is going up day by day.
With the rise in demand for cement, the domestic cement industry is set to face serious
problems in the next five years on the back of fast-depleting limestone reserves, an
important mineral ingredient for the industry.
The amount of limestone reserves needed for operating the existing installed capacity of
around 180 million tonnes is estimated to be around 13,365 million tonnes. However,
an additional 8,316 million tonnes of limestone reserves will be required to cater to the
additional 118 million tonnes of cement capacity during the eleventh Plan.
The situation turns more intense, given the fact that the proven equivalent reserves are
estimated to be 44,632 million tonnes. This means after 2012 only 22,505 million
tonnes of reserves will be available and they are inadequate for the future cement
capacity additions beyond the eleventh Plan period.
Moreover, sizeable quantities of limestone reserves are located in inaccessible areas like
terrains, reserved forests, bio-zones and coastal regulatory zones. The reserves available
for the cement industry are estimated to be less than 50 per cent of the gross cement-
grade limestone reserves. .
In March 2006, the reserves of cement-grade limestone in the country were estimated at
97,430 million tonnes. Of this, only 22,476 million tonnes (23 per cent) are of the
proven category, while the rest are of the probable and the possible categories.
These reserves would suffice only for the lifecycle cement plants that would be existing
at the end of the eleventh Plan period. .
Around 1.5 tonnes of limestone is required to make a tonne of cement. Fly ash (by-
product at thermal power plants) and slag (by-product at steel plants) are mixed to an
extent of 35-40 per cent in making blended cement.
Deposits are there, but the proven category of limestone needs to be improved.
Blending is an answer as it reduces the ratio of limestone in making cement.
44
However, cement cannot be made without limestone. As demand goes up, requirement
for limestone will increase and it will turn out to be a concern after five years.
According to industry analysts, cement makers will go for higher blending. Already,
some of the existing players are producing 80-85 per cent of blended cement. On an
average, the country’s 170 million tonnes cement industry produced around 55 per cent
of blended cement in 2006-07.Setting cement plants near thermal and steel plants will
help the companies improve the blending ratio.The recent joint venture between Jaypee
Cement and Steel Authority of India (SAIL) for setting up cement facilities close to
steel plants for the availability of slag is becoming a trend among cement makers.in
view of making use of the slag and pozzilona properties in cement MHIL has already
installed a grining unit at Vizag with capacity of 1.00 million tonnes.
Analysts further said the cement companies would also have to use lower grades of
limestone reserves to combat the issue of depleting reserves.
45
PRODUCT PROFILE :
MANIFACTURING PROCESS :
In the most general sense, cement is produced by heating sources of lime, iron, silica,
and alumina to clinkering temperature (2500-2800°F [1400-1550°C]) in a rotating kiln,
then grinding the clinker to a specified fineness. The heating that occurs in the kiln
transforms the raw materials into new chemical arrangements. Therefore, the chemical
composition of the cement is defined by the mass percentages and composition of the
raw sources of lime, iron, silica, and alumina as well as the temperature and duration of
heating. It is this variation in raw materials source and the plant-specific characteristics,
as well as the finishing processes (ie: grinding and possible blending with
supplementary cementing materials), that define the cement type produced.
Cement production is one of the world’s most energy intensive industries. Key
production stages can be summarized as:
Raw materials
These are generally combinations of limestone, shells or chalk, and shale, clay, sand or
iron ore, usually mined from a quarry close to the plant where they undergo reduction
using primary and secondary crushers. When the reduced materials reach the cement
plant they are proportioned to create a cement of specific chemical composition. Much
work is being done on the use of alternative raw materials – often the by-products of
other industrial processes. These can minimize the effects of quarrying, reduce the
impact of the cement plant on the local environment and enable the cement industry to
become a major player in materials recycling.
There are two basic methods used in Portland cement production – wet and dry. In the
dry process dry materials are proportioned, ground to a powder, blended and fed into
46
the kiln dry. The wet process involves adding water to the proportioned raw materials
and completing the grinding and blending operations in slurry form.
Pre-heater
To conserve energy, most modern cement plants pre-heat raw materials before they
enter the kiln, using the hot exhaust gases from the kiln itself.
Kiln
The mixture of raw materials is fed into the upper end of a rotating, cylindrical kiln,
which achieves temperatures in excess of 1000°C. It passes through at a rate controlled
by the slope and rotational speed of the kiln. Chemical reaction inside the kiln leads to
the fusion of the raw materials to produce clinker. Traditionally kiln fuels have been
powdered coal or natural gas, but increasingly alternative fuels are being used. These
include materials such as scrap tyres, processed sewage sludge and packaging waste.
Cooling/finish grinding
Clinker is discharged from the lower end of the kiln and transferred to various types of
coolers. Cooled clinker is combined with gypsum and ground to a fine powder in a
ballmill to produce the final grade cement.
Where is on-line particle sizing used?
Using real-time on-line particle size analysis in the finish mill to monitor the cement
final grade translates directly into energy savings by reducing overgrinding and. It
allows optimal use of the plant and generates sustainable improvements in product
quality and consistency.
47
Technological Trends in Cement Industry - Energy and Environmental impact
Indian cement industry has come a long way in technological upgradation, production
and quality. India today, is the second largest cement producing country in the world
with an installed capacity of 119 million metric tons per annum. The cement industry in
India has a distinction of operating very large to very small capacity and very modern to
48
very old technology plants. Some of the modern plants can be compared to the best
plants in the world in terms of quality, variety of cements produced and energy
efficiency. Indian cement industry has been very proactive in adopting various
technological advancements taking place all over the world. This was particularly
triggered by the partial decontrol of cement industry in 1982 followed by full decontrol
in 1989 giving the resultant free market competition an opportunity for growth in
production and productivity.
The share of energy inefficient wet process plants had slowly decreased from 94.4% in
1960 to 61.6% in 1980. Thereafter as a result of quantum jump in production capacities
through installation of modern dry process plants as well as conversion of some of the
wet process plants, the share of wet process has reduced to less than 5% today.
During the last two decades (80's and 90's), major technological advancements took
place in design of cement plant equipment/systems basically in the following major
areas
a) pre-calcination
b) high pressure grinding
c) automation in process control
d) high efficiency particle separation
e) clinker cooling
These resulted in sea change developments globally and the Indian cement industry
followed the international trend. The special features noticeable were:
i) standard size of the new plants neared a million tonnes per annum
ii) large areas of limestone even in remote areas exploited by cluster of plants
iii) active search made for the latest type of technology and equipment to continually
bring down the energy costs
iv) large number of old wet process plants closed down or converted into dry process on
49
account of high cost of operation
v) introduction of multiple grades of cement on strength parameters surpassing the
Bureau of Indian Standards (BIS) specifications
vi) many plants taking to automation, computer controlled systems and man power
reduction
vii) Improvement in packaging with the use of HDPE/PP/paper bags in place of
conventional jute bags
viii) shift in the marketing strategy with specific emphasis on quality associated with
brand
The industry never looked back. The financial investments were justified on energy
conservation, quality enhancement and environmental consideration.
Energy Conservation
A typical modern cement plant has heat consumption of 680-720 kcal/kg clinker and
power consumption of 70 - 85 Kwh/tonne of (OPC-43) cement.
A few recent technologies that helped Indian cement industry to consolidate in

sustained energy savings are broadly discussed below.
Raw Material Grinding
Raw material grinding is a critical mechanical operation predominantly determining the

sizing of equipment in a cement plant. Raw grinding process consumes about 20% of
the total energy consumed in the plant. Various grinding systems used in Indian cement
industry for raw material grinding are:
a) Ball mills
b) Vertical Roller Mills (VRM)
c) Ball mills with high pressure grinding rolls.
d) High pressure grinding rolls
e) Horizontal roller mills
50
Selection of type of grinding mill depends on the raw material's several physical
characteristics most important amongst which are hardness of the material and moisture
content. Availability of the major grinding equipment in appropriate capacity decides
complexity or otherwise of layout, auxiliary equipment sizing etc. which ultimately
decide plant's pyro-processing capacity.
Vertical roller mills have been widely accepted for combined grinding and drying of
moist raw materials in view of their excellent drying capacity and low energy
consumption. Although the principle of the vertical roller mill did not change over the
years, many improvements have been made in design of mill and other equipment in the
grinding circuit resulting in less energy consumption and improved reliability.
Introduction of external re-circulation of material, adjustable louvre ring and
modification of mill body to improve the air and material trajectories are examples of
such design changes.
While a number of plants are still using ball mills, many have installed pre-grinders like
roller press to improve energy efficiency. Here, the extent to which the roller press is
loaded determines the efficiency of the grinding circuit. Use of roller press alone as a
finish grinding equipment to give the final product is also a new development.
Horizontal roller mill is yet another improvement in grinding systems incorporating the
advantages of vertical roller mill and roller press. An additional advantage with the
horizontal roller mill is its low space requirement due its compact size. A compact
horizontal roller mill with an in-built separator is now in the process of development.
This kind of a mill would eliminate many small conveyors carrying material to
separator and from separator.
The efficiency of the grinding circuit and power consumption of the mill fan greatly
depend on the performance of the classifier. Perhaps classifier is the part that has
51
undergone maximum changes and has been the target part for efficiency improvement.
A variety of high efficiency classifiers are employed in grinding circuits.
Apart from the main equipment viz., mill, classifier and fan the efforts have been on
improving the performance of internals e.g. table liners in case of vertical roller mills
and classifying liners in case of ball mills. Use of mechanical conveying systems like
bucket elevators is becoming more common in place of pneumatic conveying giving
substantial savings in energy.
Pyro-processing
Pyro-processing section in a cement plant comprises preheater, rotary kiln and clinker
cooler. Pyro-processing section is considered to be the heart of a cement plant as actual
cement clinker formation takes place in kiln. The size of a cement plant is determined
based on pyro-processing section and the sizes of all other equipment are determined to
match pyro-processing. The shape of cement plants changed with the advent of
preheater in 70's. With the introduction of pre-calciners in 80's, the size of cement plant
had considerably increased. A 600 tpd considered to be economic size of kiln earlier
went up to 3300 tpd in 80's and further to 7000 tpd currently. A variety of preheaters
with different designs of precalciners have come into existence.
Preheaters can be classified into the following 5 categories irrespective of the

manufacturer.
a) preheater without calciner

b) inline calciner with air passing through the kiln
c) inline calciner with external tertiary air duct
d) separate line calciner
e) separate line calciner with inline calciner
52
With the above five modes of operation, different equipment manufacturers came out
with different designs normally designated in the manufacturing company's name.
Cyclones are basic units in a preheater system. Pressure drop and change of temperature
of gas across each stage determines the efficiency of cyclones. Introduction of Low
Pressure drop (LP) cyclones has brought the pressure drop across each stage to around
50 mm WG from around 150 mm WG in conventional cyclones. This has resulted in
more and more plants adopting 5 or 6 stages of preheater. A typical 6 stage preheater
with LP cyclones will have a preheater exhaust gas temperature of around 2500C and
draught of around 500 mm WG. This in turn lead to decrease in preheater fan power
consumption. The reduced temperatures at preheater exhaust contribute to
environmental improvement.
The burners also play an important role in determining the thermal efficiency of the
pyro processing system. There has been a continuous effort on operating the burners
with the least possible primary air. The advent of multi-channel burners taking only 5%
primary air are being installed in many plants giving a direct thermal energy saving of
15 kcal/kg clinker. Apart from saving thermal energy, the modern burners also enable
easy flame control.
Clinker cooler is a critical equipment and the size of clinker cooler some times becomes
a bottle-neck for increasing production from rotary kiln. The function of a clinker
cooler in a cement plant is dual i.e. reducing the temperature of the clinker to a level
that is acceptable for further transport and grinding and recover energy from the
sensible heat of the hot clinker by heating the cooling air. Thus thermal efficiency of
clinker cooler is very important in deciding about the type of cooler. Mainly two types
of clinker coolers are used at present in cement industry. They are
a) Grate cooler
b) Planetary cooler
53
In majority of the existing plants, conventional grate coolers are used. These coolers
have lower recuperation efficiency, occupy more space and need more cooling air.
Inspite of these draw backs, grate coolers are more widely used than planetary coolers
primarily due to comparatively higher thermal efficiency. There have been a number of
design improvements in grate coolers in recent times, mainly on grate plate to improve
the efficiencies simultaneously reducing the cooling air intake. The specific load of
clinker on grate plate can be as high as 50 tpd/m2. These modern coolers are compact in
size. High efficiency coolers operate on the principle of Horizontal aeration. More and
more cement plants with conventional grate coolers are retrofitting the coolers with
high efficiency coolers.
By installing high efficiency coolers, it is possible to reduce the cooling air to about 1.8
Nm3/kg clinker from conventional value of more than 3 Nm3/kg clinker. This has
resulted in low electrical energy consumption in cooling air fans and also in cooler ID
fan. Thus high efficiency coolers give rise to both thermal and electrical energy
conservation.
The inlet and outlet seals of kiln are important, as they help to reduce the air infiltration
into the system. With the improved kiln seals available today, not only heat loss is
reduced but also the environment around kiln has become almost dust free. A
pneumatic seal for kiln inlet and spring loaded mechanical seal for kiln outlet are
considered to be very effective in modern kilns.
Cement Grinding
Cement grinding is another energy intensive operation in cement manufacture Cement

grinding consumes around 25-30% of the total energy consumed in a cement plant.
Typical cement grinding systems in use are
a) open circuit mills

b) closed circuit mills
54
c) roller press with open circuit ball mill
d) roller press with closed circuit ball mill.
e) roller press in finished mode
f) vertical roller mill
g) horizontal roller mill
Ball mills have traditionally been in use for many years in open circuit and closed
circuit mode. In recent past, roll press as pre grinders have been introduced. This has
given a substantial benefit in energy consumption. Use of vertical roller mill for cement
grinding is very recent and the performance results are reported to be encouraging. A
typical modern cement grinding circuit will have a roll press as pre grinder with ball
mill. Horizontal roller mills combine the advantages of roll press and vertical roller
mill. These mills are reported to be highly energy efficient. Horizontal roller mills are
best suited for slag grinding.
Separator is crucial equipment in cement mill section as it has direct bearing on

production and quality of cement and energy consumption. High efficiency separators
are used in modern cement plants and old plants are also going for a retrofit.
Auxiliary items like mill liners and diaphragms have been improved continuously and
these items in different designs are available contributing to energy reduction in cement
grinding.
Quality Consideration
In an environment of growing competition witnessed in the post decontrol era, one of

the major development has been in the introduction of higher grades of cement. 43
Grade and 53 Grades of normal portland cement have now conquered the market. The 3
day, 7 day, 28 day strength parameters obtained are far higher than the BIS' specified
standards for these grades of cement. In fact ISI marking has now become redundant
from consumers' point of view. 33 Grade cement has, however, been a casualty. It has
55
been driven out of market by the easy availability of higher grades. The war of grades
and competition among brands have also affected considerably the market for
pozzolana and slag cements, which, in fact have some special attributes far superior to
even higher grades of normal portland cement.
Today it is the publicity on strength properties that make the higher grades sell.
However, realisation is growing fast amongst the consumers at large, that the properties
of durability are of greater importance than the 3 day, 7 day, 28 day strengths.
Moreover, strengths specified serve only the limited purpose of design and use of form
and shuttering work with no realistic contribution on long term strength and durability
of construction. In fact, by research and practice, it has been found that high early
strength cements need not necessarily perform well in durability characteristics. On the
contrary, the high-grade cements based on strengths achieved with higher C3S contents
are more likely to yield poor quality and less durable concrete than the normal 33 grade
portland cements.
Therefore concrete manufacturers and users would in the near future ask for
performance standards of cement in preference to the product specifications. Sooner,
the cement manufacturers stop this race on higher-grade cements and attend the more
important requirement of developing "durable" cement, it would take them to better
price realisations in future.
Environmental and ecological consideration
Almost all cement plants now a days are equipped with high efficiency dust collection
systems like Electro Static Precipitators. It has been realised that house keeping,
running the plant in environmentally friendly way has direct bearing on the profitability
and image of the company. It also improves the employee morale.
A very important development in cement technology is in the field of rational utilization

of cement. Most of the developments related to the rational utilization of cement
56
directly or indirectly have positive impact on environment and contribute considerably
for maintaining ecological balance. Use of blended cement, utilization of waste heat in
cement plant to generate electrical energy and use of alternate fuels are a few examples
explaining the concern of cement industry not only towards protection of environment
but also ecological balancing.
Waste Heat Recovery
There have been many attempts to recover the heat lost in exhaust gas streams of
cement plants. With the use of 6 stage preheaters, high efficiency coolers and better
refractory management practices, the quantity of heat lost from the cement plants has
come down significantly. Traditional methods of recovering heat from exhaust streams,
which have not been very efficient, have also undergone changes and efforts are
directed towards increasing the efficiencies. Now technologies are available to recover
the heat from exhaust gas streams from preheater and clinker cooler and generate
electrical energy. More cement plants in India are expected to adopt such waste heat
recovery systems mainly to counteract the power shortage. As the electrical power
generated from waste heat does not require combustion of any fossil fuel, such an
attempt would enable the cement plant to significantly contribute to the movement of
reduction in green house gases.
Use of alternate fuels
With increase in scarcity of good quality coal and power at an attractive price, the
Indian cement industry is committed to reduce the energy consumption levels and the
trend of energy levels shows a continuous reduction. Inspite of this favorable trend of
energy consumption, the percentage of energy cost as total production cost is increasing
year after year. This is attributed mainly to the raising prices of coal and power. With
this background, in line with developed countries, Indian cement plants also started
looking at use of cheap alternate fuels like lignite, pet coke, rice husk, groundnut shells
57
etc. In some European cement plants, the cost of fuel is reported to be zero. This is
because, cement kilns use 100% waste fuels operating some times as incinerators. In
fact, the cement plants are paid for burning the municipal and industrial wastes in such
places. Indian cement industry also should aim ultimately to reach such a position of
achieving zero cost of fuel. However, this requires development of infrastructure at
cement plant site as well as waste generation and collection sites.
The technological advancements in design of cement manufacturing equipment and

modern operating principles primarily aimed at productivity improvement and reduced
energy consumption. Reduction in thermal energy consumption reduces directly the
amount of coal fired in the plant. To that extent, the carbon di oxide content from
exhaust gas reduces. Installation of very efficient dust collection systems like ESPs and
elimination of transfer points in material conveying circuits and adoption of modern
maintenance practices have helped cement plants to maintain a very clean environment
in and around the plant site.
RAW MATERIALS
Cement is usually used in mortar or concrete. Here it is mixed with inert material
(called aggregate), like sand and coarse rock. Portland cement consists of compounds
of lime mixed with oxides like silica, alumina and iron oxide. There are three major
raw materials for cement:
Limestone
Limestone is the main raw material and is the source of calcium carbonate. Calcium
carbonate is burnt to obtain calcium oxide (CaO). The other sources of calcium
58
carbonate are marl, chalk, seashell and coral reef. Limestone is the most abundant
source of CaO.
The other user industries for limestone are iron & steel, fertilizer and chemicals.
Cement is the biggest limestone user in India accounting for over 75-80% of
limestone produced in India. The composition of limestone used by the various
sectors varies. For cement, the CaO content of limestone should be a minimum of 44%.
Typically, 1.4-1.5 tonnes of limestone are required per tonne of clinker. Thus, for a 1
million tonne cement plant, assured availability of cement grade limestone reserves of
the order of 50-60 mt in the close vicinity is important.
Gypsum
Gypsum is used as a retarding agent. Ground clinker, on contact with water, tends to
set instantaneously because of the very fast reaction between tri-calcium alluminate
and water. In the presence of gypsum, the desired setting time can be achieved.
Gypsum is added to the extent of 5% during the clinker grinding stage. Gypsum is
naturally available in abundance in Rajasthan, Gujarat and Tamilnadu.
Granulated Blast Furnace Slag (GBFS)
The other raw materials that are also used in the manufacture of cement are blast furnace
slag (a waste product obtained from iron-smelting furnaces) and flyash (leftover ash
from a thermal power station). Limestone contains about 52% of lime and about 80%
of this lime is lost during ignition of the raw materials. Similarly, Clay contributes
about 57% silica of which about 25% is lost during ignition.
59
GBFS is obtained by granulation of slag obtained as a by-product during the manufacture
of steel. It is a complex calcium aluminum silicate and has latent hydraulic properties.
That is why it is used in the manufacture of portland blast furnace slag cement.
Maintenance And Stores Requirements
The two important items of stores and spares in the case of cement manufacture are
refractory material and grinding media. For grinding media, high chrome grinding
balls are normally used. In the case of refractory materials, companies go in for two
kinds of refractory bricks-high alumina and high chrome. Typically, the life of the
refractory material is 6-8 months (with the indigenously made high-alumina bricks),
after which the kiln has to be stopped and the affected sections relined, a process,
which takes 3-4 days. Kiln relining is normally made to coincide with the normal
planned shutdown. Some companies are also experimenting with imported high-
chrome bricks, which provide for a longer uninterrupted operational life of 18-24
months. In practice, this can extend the availability of calendar hours and thereby
enhance the actual capacity of the plant.
ENERGY AND TRANSPORT REQUIREMENTS
The cement industry is dependent on three major infrastructural sectors of the

economy: coal, power and transport. The inputs from these three sectors account for
roughly 50% of the cost of cement. Both the availability and the cost of these inputs
have a vital bearing on the fortunes of the cement players. All these sectors are
largely in the State sector, and, historically cement companies have had virtually no
control on the cost or availability of these inputs. Hence, the industry response has
60
largely been in the form of achieving efficiency gains and finding alternatives
(captive power, use of waterways).
One additional external influencer of the cement industry performance is the taxes and
levies imposed by the Central and State Governments. These together account for
around 30% of the selling price of cement in the Indian context.
61
Coal
Coal is an important input in cement manufacture and accounts for 15-20% of the
total cost. Coal serves a dual role in cement manufacture. Firstly, the heat value in
coal provides the thermal energy required for the operation of the kiln. Secondly, the
mineral content in coal (basically, silica content) acts as a constituent in clinker. For
every tonne of clinker, around 200-220 kg of coal is consumed. Coal consumption
by cement plants has increased from 19 mt in FY2000 to around 33 mt in FY2005.
Cement accounts for around 4.5% of India's coal demand. Consumption of coal for
production of cement has not increased proportionately with cement production
because of the switch to the dry process, efficiency improvements in cement kilns
and the increased use of fly ash produced in power plants and granulated slag
produced in blast furnaces of steel plants in the production of cement.
In India, overall coal distribution was statutorily governed by the Colliery Control
Order of 1945. Subsequently, this order has been amended and the new Colliery
Control Order 2000 has been notified according to which the price and distribution
of all grades of coal have been deregulated with effect from 1.1.2000. To ensure
smooth and co-ordinated supplies of coal to all consumers, the Government and the
coal companies have adopted a system of linking of supply sources with consuming
units and their requirement. All consumers are broadly classified into two different
categories viz. core sector and non-core sector. Cement comes under the core sector.
Each consumer is given a linkage (allocation) of quantity on an appropriate field. The
linkages to cement plants and power utilities are decided by the Standing Linkage
Committee (SLC). Key members of the SLC include representatives from the
Ministry of Coal, the Ministry of Railways, the Ministry of Power/Industry, the
Planning Commission, the coal companies and the Central Fuel Research Institute
(CFRI).
The quantity, and the coalfields from where the coal is to be supplied to a
particular cement plant, is decided by the SLC even before the cement plant is
62
commissioned. The actual movement programme is, however, drawn up by the SLC
every quarter indicating the quantities to be moved, the mode of transport and the
coal Fields/ coal company with which the cement company is to be linked.
To meet the requirement of Indian consumers, there are seven grades of coal
available from Indian collieries. The classification is done based on the Useful
Heat Value content of coal, as mentioned below:
Classification of Indian Coal
Useful Heat Value (Kcal/kg)

A Over 6200
B 5600-6200
C 4940-5600
D 4200-4940
E 3360-4200
F 2400-3360
G 1300-2400
Cement plants are allocated grades D, E and F. Given that the bulk of the output is in
these grades, most users, including the power sector, consume the same low grade
coal. Grades notwithstanding, the quality of Indian coal is quite poor, and has
deteriorated over the years. In addition to the deteriorating quality of Indian coal,
coal prices have also increased in recent years. These rises in the price of domestic
coal grades along with the rise in rail and road tariffs are expected to force the
Indian cement industry to look at alternative sources of coal/energy in the future.
The shortage in domestic coal production coupled with the poor quality has
resulted in cement companies resorting to importing coal, or going in for open
market purchase of coal, or using alternative fuel such as lignite or pet coke.
Use of imported coal has become an essential feature of the Indian cement industry
and has shown a rising trend during the last few years.
63
Estimated Demand for Coal by Indian Cement Industry
Mt
I Domestic Import
2000 2001 2002 2003 2004 2005
64
Power
Cement is a power intensive industry requiring on an average 110-120 units of

power per tonne of cement produced. Significantly power accounts for 15-20% of
the variable cost of cement manufacturing. Cement manufacturing consumes power
mainly for three purposes: raw meal grinding, kiln rotation and clinker grinding.
Each stage accounts for roughly one third of the total power consumption. A dry
process plant typically has an average connected load of 15 MW. Based on the
present installed capacity of 157 mtpa of cement, the total industry requirement is
roughly 2300 MW. This is just around 2% of India's total current power generating
capacity.
Over the years, the cement industry has consistently suffered from power cuts. In
fact, availability and quality of power have always been crucial issues for cement
companies. Further, price increases by State Electricity Boards (SEBs) have meant
that even their poor quality power comes at a high cost.
Rising power tariffs have reduced the diseconomies associated with self-generation
through Diesel Generating (DG) sets. Accordingly, to insulate themselves from
power cuts, cement units had initially installed captive DG sets as a standby.
However, with the increase in the frequency of power cuts and rising power tariffs,
many cement companies are meeting 60-100% of their power requirement through
captive facilities. The captive power generation capacity of cement plants is
presently estimated at around 1,800 MW. During FY2005, roughly 43% of the total
domestic cement production was undertaken using captive power as against only
21% in FY1995. Thus, the share of cement production using captive power has
only increased over the years.
65
Captive Power Generation by Cement Plants and Share of Captive Generation
to Total Requirement by Cement Plants
FY
Generation (mn. Units)
■Share (%)
7,000
6,000
5,000
4,000
3,000
2,000
1,000
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
Of the total captive generation capacity, DG sets account for around 65% while
the balance 35% is accounted for by thermal power plants. There is increasing
focus on setting up thermal power plants as against DG sets since operating
costs for the latter are lower. The industry initially opted for DG sets, which
typically have smaller capacity (4-6 MW against 15-20 MW for thermal sets).
This was because of the smaller size of the earlier plants, and moreover the DG
sets were meant for backup purposes only.
Transportation
Outward freight on cement is an important element in the operating cost of a

cement plant. It accounts for around one third of the total variable costs. Most of
the cement plants in India are located in and around the limestone clusters.
These clusters are distant from the collieries and the markets for cement.
Cement has an average lead of around 535 km. Thus, cement companies have
to rely on extensive transportation for moving coal from the coal pitheads to the
66
cement plants and for despatching cement from the plant to the markets. As both
coal and cement are of low value and bulky in nature, freight costs are
considerably high for cement plants.
Cement companies use both road and rail transport to transport cement and to
receive coal. Rail despatches amount for about 33% while roads carry the
balance 66%. The balance 1% is accounted by Sea transporation. The share of
road over rail has only gone up over the years. For coal transportation, the
dependence on rail network is still very high and accounts for around 70% of
coal movement.
Cement Despatches by Rail, Mt

Road and Sea
140 Rail IRoad Sea
2000 2001 2002 2003 2004 2005
67
Although rail transportation is more economical for distances beyond
250-300 km, cement companies have started preferring road transportation
even for longer distances because of several reasons. Rising railway traffic
coupled with insufficient investments by the railways for increased wagon
supplies and the fact that the cement industry is not an important customer
of the Railways (cement cargo accounts for just 7-8% of the total railway
freight) have resulted in a shortage of wagon supply to the cement industry.
The railways had launched the "Own Your Wagon" scheme-a scheme
where companies could buy wagons and lease it to the Railways and the
Railways would in turn operate these wagons and ensure their availability
to the owner. But the unfavourable terms and conditions of this scheme
prevented its successful commercialisation. The The Railways have also
increased their tariff on a regular basis (often higher than the increases in
the road sector), making them uneconomical vis-à-vis road tariffs even
for longer distances.
68
Chemical Composition :
Chemical
43
requirements : 33 53 grade Slag
grade Rapid
(Kg/cm2) grade (IS IRS-T- PPC IS cement
Particulars (IS Hadening
1.Lime saturation (IS 269-
0.66- 0.66- 11269- 40-85 1489-76 (IS-455-
8112- 0.8-1.02 (IS0.6-1.22
8041-90) 0.8-1.02 - -
factor(LSF) 89)
1.02 1.02 87) 89)
89)
2.A/F Min
Physical 0.66 0.66 0.66 0.66 0.66 - -
factor(LSF)
Requirements :
1. Fineness x+4
3.IR % 2250
4 2250
2 2250
2 3250
2 3700
2 3000
(100- 2250
2.50
(Cm2/gm)Min
2.Setting x)/100
time(Minutes)
4.% Mgo 6 6 6 6 5 6 8
Initial-Min 30 30 30 30 60 60
x+4 30
3.IR % 4 2 2 2 2 (100- 2.50
Final-Min 600 600 600 600 600 x)/100
600 600
2.5 and 2.5 and
5.% So3 Max 2.5 and 3 2.75 3.5 3 3
3.Soundness 3 3
6.% LOI Max
Le Chatelier 5 5 4 5 4 5 4
Expansion (MM) 10 10 10 10 5 10 10
Max Max
7.% LOI 5 5 4 5 4 5 4
Auto Clave(%) Max 0.80 0.80 0.80 0.80 0.80 0.80 0.80
Chloride content % 5 0.05 0.05 0.05 - - -
4.Compresive
Strength
7. C3S % - - - - 45 min - -
(Kg/cm2)
8. C3A % - 43
- - - 10 Max - -
33 53 grade Slag
9. Content of slag % grade
- grade
- - Rapid
- - - IS 25-65%
(IS IRS-T- PPC cement
Particulars (IS Hadening
10.Puzzolonic mtl % (IS -269- 8112-
- 11269-
- -
(IS 8041-90)
40-85
- 1489-76
10-25 (IS-455-
-
89) 87) 89)
89)
1 day - - - 160 - - -
3 days 160 230 270 275 - - 160
7 days 220 330 370 - 375 220 220
28 days 330 430 530 - - 330 -
5.Drying Shrinkage - - - - - 0.15 -
69
What is Blended cement ?
Fly ash is a artificial pozzolanic material, which is a inorganic residue obtained

from the burning of pulverized coal. A finely divided Pozzolana form
compounds which have cementitious properties, when mixed with hydrated lime
and alkalies. As such, the generation/ consumption ratio of fly ash is very high
in India, hence every year a huge stock of fly ash is increasing. As it comes
under hazardous waste material, the disposal is also a major problem. But now a
days in the many field the fly ash is used either as a ingredient of raw material or
as a filler. The cement and concrete are the examples, where it is used as a
pozzolanic material. The fly ash should conform the parameters laid down in IS
3812 : 2003 Part I and II for its different usage.
Earlier , when IS 1489 :1969 for PPC was introduced in India , the addition of
fly ash was limited from 10 - 25 % only. From 1980 onwards there is
revolutionary change in cement technology and the production of high strength
giving clinker started. Based on the production of high strength clinker , Bureau
of Indian Standard revised its limit and was increased and now the limit of fly
ash addition in PPC is 15 - 35 %.
In India and other part of the world , the scientist are involved to increase the
addition of fly ash in PPC manufacturing, to make the environment more
cleaner. This is not only for "Waste to best" conversion but also for "ash to
cash", keeping environment friendly approaches for better to-morrow.
Keeping the clean and green environment in mind, this research and
development work was carried out in Quality Control Department of Cement
Manufacturing Company Limited Meghalaya India in the laboratory scale, to
know the impact of higher addition of fly ash beyond BIS limit, with respect to
clinker quality, fineness and Indian Specification IS 1489 :1991 for Portland
70
Pozzolana Cement. Presently OPC 43 Grade , OPC 53 Grade and PPC Part I (
Fly Ash based ) cements are being manufactured and marketed with "STAR"
Brand, which become the most popular and leading brand of cement in North -
East States of India within a year of commencing production. The Company is
also selling clinker to various small and mid sized customers for its premium
quality as low alkali, low C3A and low Chloride are the requirement for mass
construction , which are easily met by clinker / cement manufactured in CMCL
The cement grinding in Cement Manufacturing Company Limited, started in
February 2005 . From June 2005 production of Portland Pozzolana Cement ( Fly
ash based ) started. Initially the addition of fly ash was kept lower side and than
gradually increased up to 33 % without compromising on any parameter During
the process of more addition of fly ash we have conducted trial in laboratory for
various parameters of cement and fly ash both. We are taking fly ash from
Kahalgaon. The details of Quality Parameters of fly ash as per Indian
Specification are as under :-
Table 3 : Specification of pulverized fuel ash (IS : 3812 - 2003)

Test Characteristics Requirement Fly ash used
Part 1 Part 2 in CMCL for
Siliceous Siliceous Calcareo PPC
A. Chemical production
1. SiO2 + Al2O3 + Fe2O3 % min 70 50 70 50 90.23
2. SiO2 % min 35 25 35 25 61.25
3. Reactive silica** % min 20 20 20 20 -
4. MgO % max 5 5 5 5 0.48
5. SO3 % max 3 3 5 5 0.31
6. Alkalies as Na2O % max 1.5 1.5 1.5 1.5 0.74
7. Chloride % max 0.05 0.05 0.05 0.05 0.019
8. LOI % max 5.0 5.0 5.0 5.0 1.98
B. Physical
1. Fineness, m2/kg min 320 320 200 200 356
2. Wet 45micron sieve** % max 34 34 50 50 17.2
3. Lime reactivity, MPa min 4.5 4.5 4.5 4.5 6.8
4. Autoclave % % max 0.8 0.8 0.8 0.8 0.01
5. Compressive Not less than 80% of the 59.88*
strength at 28 days, strength of corresponding plain =87.28% of
MPa cement mortar cube OPC
71
Compressive strength of fly ash-cement mortar cube 59.88 Mpa and
corresponding test on plain cement-sand mortar cube 68.61 Mpa. Compressive
strength of fly ash at 28 days 87.28 % strength observed against corresponding
plain cement mortar cube. Testing carried out as per IS - 1727 : 1967.
We have carried out the test in two parts. In first part we have taken trial up to
35 % addition of fly ash in laboratory scale and than commercial production also
started up to 33 % addition of fly ash . Both the data are given below for taking
out the co-relation in between them.
Portland Pozzolana Cement with higher additions of fly ash
Quality product of PPC with higher addition of fly ash; depends on the quality
of clinker and fly ash. Particle size and fineness is also important factor for
strength development in cement. Trial conducted at laboratory scale
replacement of OPC by consumption of fly ash at different quantities. Test
results are as under-Table Laboratory Ball Mill Physical Test Result
(CMCL clinker with different percentage of fly ash).
3 Days c/strength
Physical Test MPa 43.0 36.5
Fly ash28.5 28.5
consumption 26.0
7 Days c/strength MPa 54.0
0% 49.0
20% 38.5
25% 40.0
30% 38.0
35%
28 Daysconsistency
Normal c/strength MPa
% 68.0
24.5 62.0
27.00 60.5
26.50 58.0
25.75 56.0
26.25
Fineness M2/Kg 310 375 347 368 375

Le-Chatelier Expansion mm Nil Nil Nil Nil Nil
Autoclave Expansion % Nil Nil Nil Nil Nil

Initial setting time Minutes 95 110 140 135 140
Final setting time Minutes 130 145 175 170 175

1- Day c/strength MPa 28.0 18.0 16.0 18.0 16.0
72
The Quality Parameters of Commercial Production are given below with fly
ash addition from 20 - 33 %.
Physical Test Results of PPC (Commercial production with

different percentage of fly ash)
Physical Test Requirement Fly Ash

as per IS :
1489-1991
(Part 1) 20% 25% 30% 33%
Normal consistency % - 29.2 28.5 28.5 28.8
Fineness M2/Kg 300 (Min) 367 330 338 355

Le-Chatelier mm. 10 (Max.) Nil Nil Nil Nil
Expansion
Autoclave Expansion % 0.8 (Max.) Nil Nil Nil Nil
Initial setting time Minutes 30 (Min) 110 120 140 135

Final setting time Minutes 600 (Max.) 160 160 170 175
1- Day c/strength MPa - 16 15 13 13

3 Days c/strength MPa 16 (Min) 27 25 22 21

In the second part of the trial we have conducted tests with 40 to 50 % of fly
ash addition, the results are not only encouraging, but we would like to draw
the attention of the concerned governing bodies, scientists of cement and
environmental field to join their hands in the interest of the nation and the
world to make more clean and green environment , the permissible range of
addition of fly ash is to be reconsidered.
The Quality Parameters of cement with 40 - 50 % fly ash addition is given

below to compare the data with different % of addition as per the
requirement of Indian Standards IS 1489 : 1991 (Part I )
Chemical TEST 40% 42% 45% 47% 50% 0 % Fly
Fly Ash Fly Ash Fly Ash Fly Ash Fly Ash Ash
LOI % 1.07 1.17 1.32 1.40 1.55 0.46
IR% 35.16 36.68 40.31 41.89 43.68 0.07
SO3% 1.49 1.40 1.38 1.30 1.20 2.46
SiO2% 13.01 12.45 10.611 10.61 11.36 20.61
Al2O3% 5.54 5.25 5.14 5.09 5.05 6.31
Fe2O3% 2.50 2.60 2.70 2.75 2.85 3.80
CaO% 39.53 38.79 36.31 34.52 32.70 64.49
MgO% 1.21 1.20 1.21 1.15 1.01 1.21
74
Physical Test 40% 42% 45% 47% 50% 0 % Fly
Fly Ash Fly Ash Fly Ash Fly sh Fly Ash Ash
N. C . % 26.25 26.50 26.50 26.50 26.75 24.0

Blain M2/Kg 350 360 360 370 370 299
Lechatelier Exp. Nil 1.0 Nil Nil Nil Nil
mm.
Autoclave Exp. Nil Nil Nil Nil Nil Nil
%
IST (Minutes) 105 110 110 105 100 90
FST (Minutes) 135 140 140 135 130 125
Compressive
Strength ( MPa)
1- Day 13 12 10 9 8 26
3- Days 24 22 20 20 16 40
7-Days 38 34 32 32 24 52
28-Days 58 58 52 52 48 69
You may please observe from the above data that with 370M2/Kg fineness
the cement with 50 %fly ash addition is also conforming the relevant
specification. If the fineness is increased to more than 380 ,than it will cross
boundary line for 3 days strength and on better side for 7 days also.
Here it will be better to mention that the most important factor for higher
addition of fly ash is the compatibility of clinker , which is used for the
manufacture of PPC . We would like to inform you that in the process of
Ordinary Portland Cement grinding and above mentioned PPC , the gypsum
was not used as setting retarder. However with the use of 1.5 % Mineral
Gypsum as setting retarder the chemical and physical parameters were
observed as under in the next set of testing with another set of clinker. All the
75
samples were prepared in laboratory ball mill. In this series of test Bhutan
Gypsum was also used as setting retarder
Chemical TEST Cement Cement Cement Cement Cement 0 % Fly
With With With With With Ash &
30% 35% 40% 45% 50% O%
Flyash, Flyash, Flyash, Flyash, Flyash Gypsum
1.3% 1.3% 1.4% 1.4% 1.5%
LOI % 1.21 1.35 1.45 1.76 1.92 0.36
IR% 22.30 26.13 36.87 38.54 45.29 0.17
SO3% 2.23 1.93 2.20 1.83 1.86 2.36
SiO2% 16.82 15.39 10.38 9.89 9.79 20.55
Al2O3% 4.52 4.42 4.89 4.62 4.36 5.80
Fe2O3% 3.80 3.40 3.20 3.00 2.80 4.20
CaO% 46.74 45.42 39.23 37.57 32.27 64.56
MgO% 1.20 1.20 0.60 1.20 1.01 1.41
Physical Test Cement Cement Cement Cement Cement 0 % Fly

With 30% With With With With Ash &
Flyash, 35% 40% 45% 50% O%
1.3% Flyash, Flyash, Flyash, Flyash Gypsum
Gypsum 1.3% 1.4% 1.4% 1.5%
Gypsum Gypsum Gypsum Gypsum
N. C . % 28.00 28.50 28.75 29.00 29.50 26.00
Blain M2/Kg 351 350 350 360 370 300
Lechatelier Exp. Nil Nil Nil Nil Nil Nil
mm.
Autoclave Exp. 0.00 0.04 0.06 0.02 0.02 0.00
%
IST (Minutes) 120 120 125 120 155 100
FST (Minutes) 150 155 165 150 185 130
Compressive
Strength ( MPa)
1- Day 20 18 16 14 08 29
3- Days 30 32 24 24 16 41
7-Days 46 44 38 36 27 50
63 63 56 54 44 64
76
Testing Procedure
Cement clinker, activated flyash, and by-product gypsum are mixed and
ground in the laboratory ball mill to prepare blended cements. Four different
mix proportions (Table-2) were made to prepare 6 kg. cement keeping
cement fineness constant about 3000 sq. cm /gm . Gypsum has been kept 3%
in all the cement to keep uniform content Of S03 . In order to study the
effect of flyash, a blended cement of cement clinker 80% fly ash, 20% by-
product gypsum 3% is prepared by similar fineness.
Result and Discussion
Flyash collected from thermal power plant is highly crystalline in nature
which contains quartz and mullites the major mineral phases and hematite,
magnetite were present as accessory mineral phases. Presence of some glass
(non-crystalline) particles was also observed through microscope. Residual
carbon present in the flyash is 6 %. About 94% particles of flyash are below
90-micron sizes. Activated tlv ash prepared using this flyash in presence of
line bearing material bv sintering at 1260'C temperature contains 56.30%
SiO2, 23.45% Al2O3, 5.58 % FeO3, 7.60 CaO, and 2.28 %LOI.
Mineralogical character of the lime activated flyash is shown in fig.5.
The activated flyash contains mostly calcium bearing complex silicate
mineral phases. It is revealed that formation of calcium aluminosilicate,
calcium iron silicate phase have increased where as free quarts and mullite
phases have been decreased in the activated flyash. Since the flyash is poor
in lime (around 0.8%), the formation of lime bearing compounds in the
activated flyash is almost negligible as observed from XRD pattern. It is
observed that mineralogical phases in activated flyash have been influenced
greatly by the addition of excess lime and high temperature. Generally lime
and lime bearing complex silicate phases impart better pozzolanic property
77
than crystalline quartz and mullite (3AI203SiO2).
Blended cement of different composition MIX- I, MIX-2, MIX-3 and MIX4
have been prepared replacing cement clinker by 50%, 40%, 30% and 20%
respectively by activated flyash (table-1). 3% by-product gypsum has been
used as set retarder in all the samples. The control cement prepared from
clinker containing 97% clinker and 3% gypsum, physical properties of
control cement and of the 4 blended cement have been shown in Table-1. It
is observed that normal consistency and setting time of blended cements
increase with increase of activated flyash from 20 to 50%. However these
values are well within the standard specification. Le-chartelier expansion of
the blended cements are very much negligible showing less that 1mm
expansion where as the same control cements shows expansion up to 5mm.
Compressive strength of blended cement cubes in 1:3 mortar ratio have been
determined up to 90 days. It shows that with increase of activated flyash
addition from 20 to 50%, strength gradually decreases. The blended cements
are marginally lower than the control cement without flyash. But it is
interesting to note that all the blended cements shows remarkably increase in
strength at 60 to 90 days of curing . But in case of controlled cement, the
strength gain after 28 days is very much marginal. The blended cements of
activated flyash show gradual increase in strength as observed up to 90 days
of curing.
The blended cements are hydraulic binders in which a part of portland

cement is replaced by other hydraulic or non-hydraulic materials. Their
general behaviour is quite similar to that of normal portland cements, but in
addition they display some superior properties directly related to durability.
It has been found that fly ash generated in thermal power plants and slag
78
generated in steel plants are suitable for manufacture of blended cements.
Fly ash or slag are inter-ground with cement clinker to produce blended
cement. Many developed countries started using such blended cements in
large quantities in construction of critical structures such as rocket launch
pads, sea water jetties, huge dams etc. Production of blended cements
directly increases the plant capacity without any need for creating additional
clinker making capacity. This reduces the limestone usage and fuel usage in
cement plants. To the extent of reduces limestone and fuel consumption, the
green house gases are eliminated. In addition to conservation of limestone,
fuel and reduction of green house gases.
Manufacture of blended cement is also a cost saving measure, since nearly

70% of electrical energy is consumed in the production of clinker.
Therefore, to the extent clinker is replaced by additives like fly ash, slag etc
in the production of blended cements, is the resultant saving on power
consumption, though not in direct proportion. When grinding to higher
fineness, the blended cements would require higher power consumption than
that required for normal portland cements. The saving would still be
substantial.
In India, blended cements were introduced primarily to get large volume

advantage in cement production without drawing too heavily on clinkering
capacity. But until recently, application of blended cements has not got the
importance to the extent it deserves due to various reasons. With an
availability of over 70 million tonnes of fly ash from the thermal plants and
over 10 million tonnes of slag from the steel plants, large potential exists in
India for manufacturing blended cements.
79
It is understood from experience that all applications do not need only very
high grade cement. For rural applications and plastering works cements like
masonry cement are being considered. Clinker needed for such cements can
be manufactured from low grade limestone. This not only conserves
precious high grade limestone deposits but also reduces the carbon di oxide
generated per ton of clinker produced.
In India, there area large deposits of limestone which have not been utilized
due to their low quality of limestone. Research work within and outside
India proved that reactive belite cement can be manufactured with low grade
limestone. The alite content in such cement would be lower, but belite
content would be higher and more reactive than in normal portland cemnts,
which would give them matching early and long term strength properties.
Both utilization of low grade limestone and production of blended cement

contribute greatly to increase profitability coupled with conservation of
limestone deposits and reducing green house gases in environment and
energy consumption.
Advantages of PPC :
The physical requirements of OPC and PPC are more or less

similar. For all practical purposes, PPC can substitute OPC
readily.
The greatest advantage of this cement is it’s very high durability
factor. The pozzolanic material (fly ash) reacts with lime of
clinker and forms very stable compound which contributes to a
80
very high ultimate strength and hence provides very high
durability to the construction.
Portland pozzolana cement has very good resistance to chemical
attacks. Besides, it is also used as substitute to low alkali OPC
where ever danger of alkali aggregate reaction is to be avoided.
Fine particles of fly ash are spherical in shape. These particles fit
perfectly in between angular particles of aggregate and provide
very smooth finish and make the concrete almost impermeable.
Portland pozzolana cement has very low heat of hydration and
hence, in mass concrete construction like dams, bridges and
canals, etc, PPC concrete has shown rather better behaviour in
respect of cracking than OPC concrete.
Increased impermeability, lower heat of hydration, reduced
alkali aggregate expansion and improved resistance to aggressive
chemical agencies are some of the major benefits to be derived
from the use of PPC.
SLAG CEMENT :
Slag cement, or ground granulated blast-furnace slag (GGBFS), has been

used in concrete projects in the United States for over a century. Earlier
usage of slag cement in Europe and elsewhere demonstrates that long-term
performance is enhanced in many ways. Based on these early experiences,
modern designers have found that these improved durability characteristics
help further reduce life-cycle costs and lower maintenance costs.
Using slag cement to replace a portion of portland cement in a concrete
mixture is a useful method to make concrete better and more consistent.
Among the measurable improvements are:
81
• Better concrete workability
• Easier finishability
• Higher compressive and flexural strengths
• Lower permeability
• Improved resistance to aggressive chemicals
• More consistent plastic and hardened properties
• Lighter color
When iron is manufactured using a blast furnace, the furnace is continuously
charged from the top with oxides, fluxing material, and fuel. Two
products—slag and iron—collect in the bottom of the hearth. Molten slag
floats on top of the molten iron; both are tapped separately. The molten iron
is sent to the steel producing facility, while the molten slag is diverted to a
granulator. This process, known as granulation, is the rapid quenching with
water of the molten slag into a raw material called granules. Rapid cooling
prohibits the formation of crystals and forms glassy, non-metallic, silicates
and aluminosilicates of calcium. These granules are dried and then ground to
a suitable fineness, the result of which is slag cement. The granules can also
be incorporated as an ingredient in the manufacture of blended Portland
cement.
Ground granulated blast-furnace slag (GGBFS): A hydraulic cement
formed when granulated blast-furnace slag is ground to a suitable
fineness.Commonly referred to as slag cement or GBFS.
Hydraulic cement: A cement that sets and hardens by chemical interaction
with water and is capable of doing so under water.
Blast-furnace slag: The non-metallic product, consisting essentially of
silicates and aluminosilicates of calcium and other bases, that is developed
in a molten condition simultaneously with iron in a blast furnace.
82
Granulated blast-furnace slag: The glassy, granular material formed when
molten blast-furnace slag is rapidly chilled by immersion in water. Also
referred to as granules.
Portland cement: A hydraulic cement produced by pulverizing
portlandcement clinker, usually containing calcium sulfate.
Blended cement: A hydraulic cement produced by intergrinding Portland
cement clinker with other materials, or by blending portland cement with
other materials, or by a combination of intergrinding and blending.
Portland blast-furnace slag cement: A blended cement consisting of an
intimately interground mixture of Portland cement clinker and granulated
blast-furnace slag, or an intimate and uniform
blend of portland cement and fine granulated blast-furnace slag in which the
amount of the slag constituent is within specified limits.
Air-cooled blast-furnace slag: The material resulting from the
solidification of molten blast-furnace slag under atmospheric conditions.
Subsequent cooling may be accelerated by application
of water to the solidified surface. (This material can be mined and crushed
for use as aggregates in concrete or fill material; it is not cementitious).
Expanded blast-furnace slag: The light-weight cellular material obtained
by controlled processing of molten blastfurnace slag with water, or water
and other agents, such as steam or compressed air, or both. (This is
commonly used as lightweight aggregate; it is not cementitious).
TYPES OF SLAG :
The present day cement manufacturing practice throughout the world has
been persistently gearing up for large-scale use of industrial and other forms
of waste as substitute raw materials. The advantages gained are manifold
83
and have multiplied effect on both the performance of the company as well
as in image building of the company through fulfillment of an important
social objective of environmental protection through recycling of wastes.
Besides reduction in production cost, recycling of wastes provides the
financial benefit from lower cost of the inputs and also the credit and
acclaim for its role in environmental protection.
The raw-meal feed for cement making basically contains four types of
compounds: carbonates, aluminosilicates, iron and aluminium compounds
(oxides) and minor constituents. Out of these, the first three are very
important in the formation of cement clinker, while the fourth effects, the
manufacturing process (mainly burning, stabilization of the kiln and
preheater performance) depending upon the type and quantity of the minor
constituents present. The three main components should satisfy among
themselves the compositional compatibility, thermal combinability and
physical amenability to production processes (crushing, grinding and
homogenization, burning and clinker formation).
The calcareous component of the cement raw meal is usually any rock
containing CaCO3. Limestone is the most commonly available calcium
carbonate rock. The alumino-silicate compounds admixture are clays, shale,
bauxite, laterite, marl, quartzite etc. and fine coal has been used as a fuel.
Use of Industrial Wastes as a Raw Material for the manufacture of

Clinker
84
The following industrial wastes have potential and can be gainfully utilized
as component of cement raw mix for the manufacture cement clinker.
Flyash :
R&D investigations have revealed that flyash upto 3 percent can be used as
raw mix component for the manufacture of cement clinker. The resultant
OPC conforms all the requirements of all the three National Standards on
OPC viz IS:269-1989, IS:8112-1989 and IS:12269-1987 for 33, 43 and 53
grade OPC respectively.
Steel Slag :
Studies have revealed that steel slag can be used upto 10 percent as a raw
mix component for the manufacturer of cement clinker (Table 19). The
presence of high Fe2O3 (about 25 percent) restricts its bulk utilization.
PERFORMANCE CHARACTERISTICS OF OPC SAMPLES PREPARED
FROM INDUSTRIAL WASTES AS COMPONENT OF CEMENT RAW
MIX
Properties of resultant OPC

Industrial Waste Setting Time Compressive Strength
Sl. Soundness
Used in making Fineness (Min.) (MPa)
No.
OPC m2/kg 3 7 28 Le-chat. Auto.
IST FST
Days Days Days (mm) (%)
1. Steel Slag 350.0 64 113 23.0 45.0 59.0 1 0.05
2. Flyash 300.0 95 175 33.0 43.0 65.0 1 0.05
3. Red Mud 270.0 74 282 40.0 53.0 66.0 1 0.15
4. Paper Sludge 313.9 47 222 35.0 48.0 58.8 2 0.05
5. Carbide Sludge 301.1 54 182 33.0 44.0 55.5 1 0.08
85
Properties of resultant OPC
Industrial Waste Setting Time Compressive Strength

Sl. Soundness
Used in making Fineness (Min.) (MPa)
No.
OPC m2/kg 3 7 28 Le-chat. Auto.
IST FST
Days Days Days (mm) (%)
6. Phospho Chalk 315.0 85 130 40.5 44.0 59.2 1 0.08
7. Lead-Zinc Sal 320.0 65 262 34.5 46.5 69.0 1 0.06
8. Jerosie 320.1 95 239 36.3 47.7 59.4 1 0.07
9. Chrome Sludge 301.0 84 135 20.0 31.0 42.5 1 0.14
Requirements of Indian Standard Specifications
IS:269-1989
1. # 225 #30 #600 # 16 # 22 # 33 *10 *0.8
(Grade 33)
IS:8112-1989
2. # 225 #30 #600 # 23 # 33 # 43 *10 *0.8
(Grade 43)
IS:12269-1987
3. # 225 #30 #600 # 27 # 37 # 53 *10 *0.8
(Grade 53)
* not more than
# not less than
Red mud :
R&D investigations have established that ~8 percent Red mud can be

gainfully utilized as raw mix component in the manufacture of cement
clinker. The presence of high percentage of alkalies (3 to 4 percent) and
TiO2 (about 12.0 percent) restricts its bulk utilization. The performance
data of OPC provided in Table 19 indicates that OPC conforming to the
requirements of all the three National Standards viz IS:269-1989,
IS:8112-1989 and IS:12269-can be manufactured from red mud.
86
Lime sludges
Paper Sludge
Investigations carried out at NCB on the utilization of lime sludge from

paper industry have indicated that the paper sludge can be utilized upto
74 percent (dry basis) as a component of raw mix for the manufacture of
Portland cement clinker and this clinker can result in OPC conforming to
Indian Standard Specifications IS:269-1989 and IS:8112-1989 (Table
19).
Carbide sludge
The results of R&D work have revealed that carbide sludge can be used
as a source of calcareous component in the raw mix for manufacture of
cement clinker. Taking into account of the tolerance limit of chloride
content in the cement raw mix, the carbide sludge can be used as high as
upto 30 percent in the raw mix for the manufacture of clinker, which
yields OPC conforming to all the three National Standard Specifications
on cement (Table 19).
Phospho-chalk
R&D investigations have established that Phospho-chalk can be used as a

raw mix component for the manufacture of cement clinker. Presence of
impurities viz P2O5, and SO3 restricts its level of utilization to ~8 percent
only (Table 19).
Sugar Sludge
87
Preliminary investigations carried out have revealed that sugar sludge can
be used as a source of calcareous component in the raw mix for
manufacture of cement clinker. Detailed study is needed to establish the
role of impurities present in sugar sludge on the performance of the
cement (OPC) prepared from it (Table 19).
Chrome Sludge
It has been found that chrome sludge can be used upto 5 percent as
mineralizer. Presence of chromium oxide as impurity upto 10 percent
restricts its bulk utilization (Table 19).
Lead-zinc slag
Lead-zinc slag waste was found suitable as a component in the raw
mix for making OPC-clinker upto 6 percent only as it contains high
iron-oxide (~40 pecent). The OPC prepared from lead-zinc slag
conforms to the Indian Standard Specifications IS:12269-1987 for 53
grade OPC (Table 19).
Phosphorus-Furnace Slag
upto 10 percent phosphorous-furnace slag can be gainfully utilized as
raw mix component in making OPC-clinker. The performance of the
resultant OPC conformed to the Indian Standard Specification,
IS:12269-1987 for 53 grade OPC.
Kimberlite waste
Kimberlite can be used upto 10 percent only as a component of
cement raw mix in making OPC-clinker as it contains high MgO (upto
30 percent) and SiO2 (upto 40 percent).
Mine Rejects
88
Depending on the composition, the mine rejects can be used as the
component of the raw mix singly or in combination with other
admixtures for the manufacture of cement clinker.
Use of Industrial Wastes as a Blending Material

Flyash
Flyash is a pozzolana and can therefore be used as a blending material for
the manufacture of Portland Pozzolana Cement (PPC) in the proportion
of 15 to 35 percent depending upon the quality of flyash and clinker. The
quality of flyash can be used for the manufacture of PPC should conform
to the Indian Standard Specification IS: 3812-1981. Performance of a
typical PPC sample prepared with 20 percent flyash, 75 percent clinker
and 5 percent gypsum is presented in Table 20.
Granulated blast furnace slag

Granulated blast furnace slag can be used as a blending material in the
proportion of 25 to 70 percent in the manufacture of Portland Slag
cement (PSC) depending upon the quality of slag and clinker used. The
quality of the granulated slag, which could be used for the manufacture
of PSC, should conform to the Indian Standard Specification IS: 12089-
1987. The performance of the resultant PSC should conform to the Indian
Standard Specification IS 455-1989. The steel slag can replace granulated
blast furnace slag upto 10 percent in the manufacture of PSC.
Performance of a typical PSC prepared with 45 percent granulated blast
furnace slag, 50 percent clinker and 5 percent gypsum is presented in
below Table .
89
PERFORMANCE OF BLENDED CEMENTS PREPARED USING
INDUSTRIAL WASTES
Granulated
Lead Granulated
Sl. Blast Paper
Properties Flyash -Zinc Phosphorus
No. Furnace Sludge
Slag Furnace Slag
Slag
1 Fineness (M2/kg) 306 350 7.36% 350 350
(+90μ)
2 Setting Times (Min)
IST
FST 118 51 188 200 178
221 155 388 305 323
3 Compressive
Strength (MPa)
3 days 20.5 35.0 N.D. 27.3 23.5

7 days 24.8 49.5 6.2 42.0 39.9
28 days 49.3 68.7 10.0 60.8 61.0
4 Soundness
Le-Chatelier (mm) 1 1 1 Nil 1

Autoclave (%) 0.04 0.07 0.048 0.028 0.08
Lime Sludge
The lime sludge from paper industry has been found suitable as blending
material for manufacture of masonry cement in the proportion of upto 30
percent conforming the Indian Standard specification of IS: 3466-1988.
Performance of a typical masonry cement prepared with 30 percent paper
90
sludge, 50 percent clinker, 15 percent flyash and 5 percent gypsum is
presented in Table 20.
Lead-Zinc Slag
R&D investigations at NCB have revealed that lead-zinc slag can be used
as blending material for making Portland Slag Cement (PSC). The slag
does not conform to the requirements of slag to be used for the
manufacture of PSC i.e. IS: 12089-1987 with respect to IR and glass
content. However, the PSC prepared from 40 percent granulated lead-
zinc slag, 55 percent clinker and 5 percent gypsum conformed to all the
requirements of IS: 455-1989 (Table 20).
Phosphorus Furnace Slag

The granulated phosphorus furnace slag conforming to Indian Standard
Specification IS: 12089-1987 can be used as a blending material for the
manufacture of PSC in the proportion of 25 to 70 percent. Performance
of a typical PSC sample prepared with 45 percent granulated
phosphorous furnace slag, 50 percent clinker and 5 percent gypsum is
presented in Table 20.
Phospho Gypsum
Phospho gypsum contains deleterious constituents like P2O5, F- and
free acid, which hinder its utilization in manufacture of cement.
These impurities affect the setting behavior of OPC adversely when
phospho gypsum is used as a set retarder. It can however, be used
after beneficiation or in combination with mineral gypsum.
Performance of OPC sample prepared with 95 percent clinker, 2
91
percent phospho gypsum and 3 percent mineral gypsum is presented
in Table 20.
Jerosite
Characterization of a typical jerosite has revealed that it contains SO3
in considerable amount (up to 30 percent) and therefore it is likely to
be useful as a set-controller in cement manufacture. Detailed
investigations are needed, particularly because of the presence of
deleterious constituent viz ammonia, before it is considered as a set
retarder in the manufacture of cement.
92
CONCLUSION
93
Sample survey is conducted limited to the North and East Bangalore.
1. In present scenario Bangalore market is dependent on OPC since

consumption of OPC is only preffered by Non-Trade segment customers
like Builders and Developers, Ready mix concrete and other Govt
Department Projects whose consumption is nearly 60 % of the market
potential.
1. Balance 40% consumption is in Wholesale and Retail segment.
2. Dealers and Retailers were preferring brands which company’s selling

more OPC like Grasim, Zuari , ICL etc.
3. some dealers prefer more OPC than PPC

a. Dealers / Retailers prefer more of reputed brands which gives more
profit and easy liquidity.
b. Retailers are selling the brands based on customers preference.
c. Customers were preferring cement which is faster in setting, due to
Cold Climatic condition in Bangalore customer prefers more OPC.
d. 58 % of Dealers/ Retailers are rating enquiries of Maha Shakti
cement in the market is Average.
e. 80 % of Dealers/ Retailers are Rating Brand Promotional activities
of Maha Shakti cement is below average.
7. Consumers / Retailers preferring Technical Service.

8. consumer prefers brands which are available at all times.
9.since customers are cost conscious customer choose brand on price fronts
apart from brand image.
94
RECOMMONDATIONS
95
1. company should give more importance in Brand Building.
2. Brand equity and Brand awareness should be created.
3. Prices should go with the volume and according to the competitors.
4. Service stands should be given top priority.
5. Technical Services should be provided by the companies to create

awareness of brands to the consumers.
6. company should make stocks available on demand at all times with

product mix.
7. Dealer oriented schemes giving moral boost should be encouraged on

par with other companies.
8. 100 % Transparency and accuracy in transactions to dealers should be

made available from time to time.
9. Logistic arrangements should be assured to dealers/ consumers for

intercity movements.
10. confidence building measures should be periodically under taken.
96
SWOT ANALYSIS
97
STRENTHS:
• MHIL maximizes customer satisfaction through manufacture and
supply of high quality cement in all times.
• MHIL has continuous improvement in business practices by
implementing quality management system.
• MHIL has harmonious in work environment through motivation
and development of human resources.
• MHIL has continuously maintained No.1 position in Home
Markets of Andhra Pradesh by selling around 1.70 million tones
per month over the market size of 11.50 million tones.
• MHIL has been always cost effective to sustain in competitive
environment.
• MHIL is having planned and productive network of dealers and
distributors.
• MHIL is having dedicated man power.
• Fast addressing customer grievances if any.
Weakness:
• MHIL is facing logistic bottle necks due to non availability of own
Railway sliding.
• Regional supply imbalances.
• Lack of Brand equity.
• Lack of major Non-Trade parties in the markets other than Andhra
Pradesh.
Opportunities:
• Company’s growth plans up to 8 million tones by 2010.
• Positive Growth plans in other than A.P. markets.
• Recent joint venture project with CRH Group.
Threats:
• Anticipated corrections in demand scenario’s by 2010.
• Threat will be from major players like Ultra-Tech, MCL and ICL in
OAP markets particularly in South by the end of 2008.
• Continuous interference of Union Govt. of India over controlling
prices.
• Liberalization of importing cement.
• Anticipation of more cost of Excise duty imposition on finished goods
and raw material there by increasing the cost.
98
The descriptive study is typically concerned with determining frequency
with which something occurs or how variables very together. The
descriptive study requires clear specification of more specific hypothesis and
testing this through statistical interference techniques.
The research design adopted for the study is descriptive research design.
This is need used because of its extensive flexibility, scope of maintenance.
This research design falls under this type because its measure the level of
satisfaction achieved by the company.
DATA COLLECTION METHOD
The data for the study is collected both from primary as well as secondary
sources but emphasis is much on primary data.
The data collection method is survey method. This method is used because it
saves both time and cost and also represents the original information.
CONTACT METHOD
Contact method used for the data collection is personal interview method.
Because of its cost efficiency, speed , flexibility, higher response rate and
accuracy of information, it has advantages of explaining the questions in
detail and the classification regarding the questions and the responses can be
made online and hence relevant and correct information can be ensured.
RESEARCH INSTRUMENT
Structured undisguised questionnaire this research instrument has been

adopted to the consumers as the question should be presented in exactly the
same order to all respondents. The reason for the standardization is to ensure
99
that all respondents are replying to the same question. This method avoids
ambiguity and is most productive as replies are well known. Limited in
number, and clear cut. The data can also be easily interpreted and tabulated
using liker scaling. Due to scaling and qualitative picture of the responses
can be had and declarations and interpretation can be made easily.
SAMPLING PLAN
The most important step in the research process is that sampling procedure ,
sample size , sample unit.
This gives an outline to the researcher as to who should be considered for

data collection, the number , the back ground etc., as the entire population
study is tedious and time consuming and non economical, and alternative
method of sampling is used, which ensures the representation of the entire
population.
It is faster, cheaper and economical way of collecting information the

sample considered for this study are consumers of various bikes.
The sampling method adopted here is probabilistic sampling method under

which the simple random sampling technique is preferred.
This method is adopted as each member of the area has a known and equal
chance of being selected. More over it is a convenient and cost effective
technique.
100
SAMPLE SIZE
Consumers / Dealers / Retailers : 100
Research Area : North & East Bangalore
SOURCES OF SECONADRY DATA
The secondary data is collected from all possible sources such as :
1. Company Reports
2. Business Magazines
3. CMA reports
4. Google Search Engine
101
LIMITATIONS
• The research is confined to only North & East Bangalore .
• Time constraint.
• The information given by the respondents may not be accurately

correct.
102
BIBLIOGRAPHY
Marketing Management - Philip Kotler
Marketing Research - G.C.Beri
Research Methodology - R.Kothari
Marketing Management - Verma and Agarwal
103
ADVERTISEMENT
Advertisement is a paid form of Non-personal presentation of goods or

services by an identified sponsor to reach out to maximum number of
audiences. Individuals and business firms promote their goods, services,
ideas, issues, corporate messages and people through advertisements.
Advertisement messages can be conveyed to the audience through a wide
range of media.
Advertisement helps organizations create an awareness of their products or
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104
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BENEFITS OF ADVERTISING:
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4. Advertising a product in a certain way can add to its value.
5. It helps in boasting the sales of the company.
6. Once a product/service is purchased, it (advertising) reassures the
customer about the purchase decision, thus helping in reducing the
post purchase dissonance, if any.
7. Advertising helps in changing the perception of product.
8. It supports the activities of the distribution network of the firm by
creating demand and encouraging purchase through pull strategy.
9. It helps in making the job of sales force easier, by creating awareness
among potential customers
10. Advertisements help in offsetting the competitors’ advertisements.
The company may defend its market share or position by responding
to competitors advertising campanions. Advertisements also help
105
compare companies’ product features with those of the competitors.
Sometimes, companies themselves compare the features of there
products with those of the competitor products through
advertisements.
11. Advertising can be very expressive and therefore can dramatize the
whole concept. For eg: kinley’s TV advertisement “boondh boondh
mein vishwas”(confidence in every drop) like birla plus cement “is
cement mein jaan hain” is a dramatization of strength of cement.
12. Advertisement also help in building a strong on product of brand
apart from increasing sales.
DEVELOPING AN ADVERTISING PROGRAMME:
An advertising campaign involves developing a series of advertisements and
targeting them at the potential customers through different media like the
print and broadcast media steps involved in an advertisement programmes
broadly classified as :
1. identifying the target audience
2. specifying the advertising objectives
3. setting the advertisement budget
4. developing advertising message
5. selecting the right media
6. Scheduling the advertisement and measuring advertisement
effectiveness.
106
SALES PROMOTION :
In a specific sense, sales promotion includes those sales activities that
supplement both personal selling and advertising and coordinate demand
make them effective, such as displays, shows, demonstrations and other non-
recurrent selling efforts not in the ordinary routine. This is the definition of
sales promotion as given by the American Marketing Association.
In simple words, sales promotion can be defined as an activity taken up to

boost the sales of a product. It can include a host of activities like running
advertising campaigns, handling public relation activities, distribution of
free samples, offering free gifts, conducting trade fairs, exhibition and
competitions, offering temporary price discounts, launching door to door
selling and telemarketing etc.
Compared to any other element of the promotional mix, sales promotion is

more action oriented. It helps in stimulating the customers to buy a product.
Increasing concern for value for money among customers has brought sales
promotion offers, discount/ gift coupons and point of purchase displays.
PURPOSE OF SALES PROMOTION:

The main purpose of sales promotion is to boost the sales of a product by
creating demand. i.e. both consumer demand as well as trade demand. It
improves the performance of middlemen and acts as a supplement to
advertising and personal selling.
Sales promotion also helps in achieving the following purpose :
• Encourage the customers to try a new product. For example, Eenadu, a
leading Telugu daily in A.P. distributed free copies of the newspaper , for
107
a month when it was launched in Hyderabad. Another intresting example
is of Brooke Bond India, the company used to distribute free tea to every
household in the 1940’s, to promote tea culture in Hyderabad.
• Attract new customers example, when HLL extended its Rin detergent
bar brand to detergent powder ,it distributed free sachets to households.
• Encourage the customers to use the product or service and make them
brand loyal. For example Henko detergent introduced scratch card
scheme in which customers usually received discount coupons so that
customers buy the same product again.
IMPORTANT OF SALES PROMOTION :
Sales promotion plays a vital role when :
• Sellers introduce new products or new brands in the markets. This calls
for the companies to indulge in sales promotion activities by providing
extra incentives to the customers to make the customers aware of their
offering and to increase sales.
• When an economy is going through a recessionary phase, customers
become more price sensitive. Sales of different companies come down
drastically as markets under perform. Markets can tackle this problem
with the help of promotional tools like offering gift or discount coupons,
gifts, contests, sweepstakes, etc to the customers.
• The seller aims at triggering the impulsive buying behavior of the
customers. For example, supermarkets and big retail stores display items
like candy, cigarettes, magazines etc. at their sales counter or check out
stands to promote impulsive buying.
• A company seeks to obtain greater cooperation from its retailers. For
example companies offer to train the staff of its dealers/ distributors with
108
regard to their products to get a better shelf positioning and extra shelf
space. It helps in earning the good will of dealers and distributors.
DECISIONS IN SALES PROMOTION :

Product characteristics like size, weight, cost, durability etc. and the largest
audience characteristics like their geographic location, demographics etc.
play an important role in helping the company choose the most desirable
sales promotion method. Other factors that influence the promotion
decisions can be the size of the market, the distribution network of the firm,
the political and legal environment in which the firm operates, etc.
Sales promotion can be directed either at consumers in the form of consumer

sales promotion or at distribution channels in the form of trade sales
promotion.
• Consumer sales promotion : this is type of sales promotion is targeted
at the end consumers. Customer sales promotion is a “pull strategy”
and encourages the consumers to make a purchase.
• Trade sales promotion : this type of sales promotion is targeted at the
distribution channel. It is a “push strategy” and encourages the
channel members to stock the product. This is usually known as
“selling into the trade”. This form of promotion is usually not
advertised, as it is an internal affair between the company and its
distribution network partners.
109
PERSONAL SELLING:
Marketing is the lifeblood of an organization. It supports a host of
operational functions, including selling in many respects. In marketing, the
focus is on the customer whereas in selling, the focus is on the product.
Marketing involves meeting the needs and wants of the customer while
selling involves pushing the product in the market without any consideration
for the customers needs and wants. A third difference between the two is
that marketing is concerned with producing the product that the customers
want whereas selling involves trying to make the customers want what the
company has no offer. However, the ultimate aim of all marketing and
selling activities is customer satisfaction. Therefore, a salesperson can also
be regarded as a micro marketer.
NATURE AND IMPORTANCE OF PERSONAL SELLING :
Personal selling is one of the elements of promotional mix. Some companies
depend exclusively on personal selling as their promotional tool while others
use a combination of promotional mix elements such as advertising, sales
promotion, direct marketing, public relations and personal selling.
Since the beginning of the manufacturing process, companies have relied on
their sales force to personally sell their products. because of personal selling,
products of various kinds enter customers households as well as offices.
The person selling is responsible for helping perple stain a certain standard
of living. Personal selling plays an important role in increasing sales
volumes and helps generates profits for firms. Thus, personal selling helps in
the growth of the economy.
Personal selling takes place when a seller or sales person, in a face to face
interaction with a potential buyer , tries to persuade him to purchase the
product or services he is promoting on behalf of a company. Personal selling
110
takes place at a personal level and involves a personalized transaction. The
sales person communicates the product’s benefits to the customers in an
attempt to inform him and convince him to make a purchase. Personal
selling provides the sales person with immediate feedback and helps him
adjust or modify his sales proposition to suit the requirements of the buyer.
Person selling is a more effective promotional tool when compared to
advertising. It gives a sales person the freedom to develop and deliver a
unique selling proposition to each individual customer depending on the
latter’s requirements.
The salesperson can observe the interpret information from the verbal cues
and non verbal cues of the customer and customize his proposition
accordingly.
In personal selling, the salesperson has to meet certain goals these includes :
• Finding new prospects
• Convincing the prospects to purchase the companies prodict.
• Keeping the customers satisfied and indirectly influencing them to
provide positive word of mouth publicity about the company.
Importance of personal selling:
Personal selling is important foe the sales and revenue growth of an
organization. it can be described as a handy tool in the hands of marketers
for the following reasons:
• Personal selling gives marketers the freedom to make adjustments in
the promotional message to satisfy the information needs of
customers.
111
• Unlike advertising, publicity and sales promotion, it allows the
marketers to target their promotional message with utmost precision at
the most promising leads.
• It provides the marketer with more information about customer
preferences and also serves as a means of obtaining feedback about
the company and its products.
• The interaction between sales persons and customers helps the
company identify the strengths and week ness of their new products. It
helps the company take necessary corrective action.
• Personal selling helps marketers obtain necessary feedback to improve
their new product development and customize the product to suit the
requirements of individual customers.
• Effective sales force also helps a company build and improve
relationship with customers.
112
Questionnaires for Dealers / Retailers
• Which cement will you sell more?
a) Blended Cement b) OPC
• What made you to sell more Blended Cement?

a) Consumer preferred b) Quality
c) Availability d) Profitability
• Name the Four major Blended Cement brands as per your recall?
_________________
_________________
_________________
_________________
• How do you rate the Quality of Maha Shakti Cement?
a) Excellent b) Good
c) Average d) Below average
• For a blended cement what are the four features you assess?
_________________
_________________
_________________
• Are you satisfied with availability of Maha Shakti Cement?
a) Yes b) No
• How is the enquiries of Maha Shakti Cement in Market?
• How is brand promotion activities of Maha Shakti cement?

• Would you recommend Maha Shakti to your customers?

a) Yes b) No
_____________________________________________________________
_____________________________________________________________
Name of the Dealer Signature
113
Questionnaires for Consumers
• Which cement are you using?
a) OPC b) PPC C) Slag
• What made you to buy above varieties?

a) Climatic Condition b) Strength
c) Setting Time d) Color
• If you are using Blended cement what made you to Buy Blended
Cement?
a) Cost b) Quality
c) Availability d) Color
• How is the strength of the Blended Cement?

c) Average d) Poor
• How is the Color of the Blended Cement?

c) Average d) Poor
• How is the Availability of Blended Cement?

c) Average d) Poor
• What are the top four Blended Cement you can read?
_______________
_______________
_______________
_______________
• If you are a user, are satisfied with Maha Shakti Cement?
a) Yes b) No c) Not a user
• How did you come to know about Maha Shakti?

a) Dealers/ Retailers b) Media
c) Stock availability c) Word of Mouth
Name of the person Signature
114

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A Study on Marketing of Blended Cement in My Home Industries Ltd.

Mr.GOUTAM PRASAD SHUKLA

A Project Report/ Thesis submitted in partial fulfillment of the requirements for

TRAINING & ADVANCED STUDIES

Mr.GOUTAM PRASAD SHUKLA

TRAINING & ADVANCED STUDIES

Mr.GOUTAM PRASAD SHUKLA

A Study on Marketing of Blended Cement in My Home Industries Ltd.

Is approved and is acceptable in quality and form

I hereby declare that the Project Report / Thesis titled

A Study on Marketing of Blended Cement in My Home Industries Ltd.

Submitted in partial fulfillment of the requirements for the

MASTERS IN BUISINESS ADMINISTRATION

Place : GOUTAM PRASAD SHUKLA

My genuine thanks to Mr.K.Sudhindra, Marketing Manager in My Home Industries

I would like to extend my sincere gratitude to entire faculties of TASMAC of Bangalore

(GOUTAM PRASAD SHUKLA)

Marketing of blended cement includes lot of factors like availability, seasonable

1. TITLE ……………………………………………………………… 2-4

5. LIST OF TABLES, FIGURES AND APPENDICES…………………. 8-21

7. MAIN BODY…………………………………………………………….. 34-92

10. SWOT ANALYSIS………………………………………………………. 97-101

11. LIMITATIONS /BIBLIOGRAPHY……………………………………. 102-103

12. ADVERTISEMENT……………………………………………………… 104-112

KIND OF THE CEMENT THAT CUSTOMER USES

KIND OF THE CEMENT SAMPLES PERCENTAGES %

• 42 % of consumers are using OPC cement.

PREFERENCES SAMPLES PERCENTAGES%

• 24 % of consumers are preferring for Climatic Condition.

PREFERENCES SAMPLES PERCENTAGE %

• 34 % of consumers are preferring based on Cost of the cement.

PREFERENCES SAMPLES PERCENTAGE %

• 64 % of consumers are giving good feedback on strength of Blended cement.

PREFERENCES SAMPLES PERCENTAGE %

• 46 % of consumers are giving good feedback on Color of Blended cement.

PREFERENCES SAMPLES PERCENTAGE %

• 4 % of consumers are giving Excellent feedback on availability of Blended cement.

PREFERENCES SAMPLES PERCENTAGE %

• 46 % of consumers are came to know about Maha Shakti cement by Dealer/Retailers.

KIND OF THE CEMENT WHICH DEALERS/RETAILERS SELL

KIND OF THE CEMENT SAMPLES PERCENTAGE %

• 58 % of Dealer/Retailers are Selling Blended Cement.

PREFERENCES SAMPLES PERCENTAGES%

• 26 % of Dealers/ Retailers say they are Consumer Preffered.

PREFERENCES SAMPLES PERCENTAGES%

• 2 % of Dealers/ Retailers are Rating Excellent.

PREFERENCES SAMPLES PERCENTAGE%

PREFERENCES SAMPLES PERCENTAGE %

PREFERENCES SAMPLES PERCENTAGES%

Ordinary Portland Cement(OPC):

Portland Pozolona Cement(PPC):

Portland Blast Furnace slag cement(PBFSC):

It is made by grinding granulated blast furnace slag,stell industry by product (upto

2) Portland Pozzolana Cement (PPC):

7. Oil well cement:

9. Super sulphate cement:

10. High alumina cement:

11.Grey Portland cement:

MY HOME INDUSTRIES LTD. was promoted by Dr.Rameswar Rao.J and Assocaites.

DETAILS OF THE COMPANY:

Name of the Company : MY HOME INDUSTRIES LTD

Location of the Unit : Mellacheruvu Village & Mandal,

Corporate Office : “My Home Hub”

The physical requirements of OPC and PPC are more or less