59

CChhaapptteerr IIIIII

PPrrooffiillee ooff tthhee SSeelleecctteedd CCoommppaanniieess

60

CHAPTER III

PROFILE OF THE SELECTED COMPANIES

INTRODUCTION

In this chapter the historical background and the profile of the selected

cement companies have been presented. These companies were established in

different periods with varying objectives. However, these companies have been

contributing to the growth of the Indian cement industry as well as to the economic

development of the country. These companies have been catering to the needs of

the individual as well as the corporate consumers in India.

The history of the cement industry in India dates back to 1889 when a

Calcutta based company started manufacturing cement from Argillaceous. But the

industry started getting the organized shape in the early 1900s. In 1914, India

Cement Company Ltd was established at Porbandar with a capacity of 10,000 tons

and production of 1000. World War I gave the first initial thrust to the cement

industry in India and the industry started growing at a fast rate in terms of

production, manufacturing units, and installed capacity. This stage is referred to as

the Nascent Stage of Indian Cement Industry. In 1927, Concrete Association of

61

India was set up to create public awareness on the utility of cement as well as to

propagate cement consumption.

The cement industry in India saw the price and distribution control system in

the year 1956, established to ensure fair price model for consumers as well as

manufacturers. Later in 1977, government authorized new manufacturing units

(as well as existing units going for capacity enhancement) to put a higher price tag for

their products. A couple of years later, government introduced a three-tier pricing system

with different pricing on cement produced in high, medium and low cost plants.

Cement industry, in any country, plays a major role in the growth of the

nation. Cement industry in India was under full control and supervision of the

government. However, it got relief at a large extent after the economic reform. But

government interference, especially in the pricing, is still evident in India. In spite of

being the second largest cement producer in the world, India falls in the list of

lowest per capita consumption of cement with 125 kg. The reason behind this is the

poor rural people who mostly live in mud huts and cannot afford to have the

commodity. Despite this fact, the demand and supply of cement in India has grown.

In a fast developing economy like India, there is always large possibility of

expansion of cement industry.

MAJOR PLAYERS IN INDIAN CEMENT INDUSTRY

There are a number of players prevailing in the cement industry in India.

However, there are around 20 big names that account for more than 70% of the total

62

cement production in India. The total installed capacity is distributed over around

129 plants, owned by 54 major companies across the nation.Following are some of

the major names in the Indian cement industry:

TABLE 3.1

PRODUCTION AND INSTALLED CAPACITY

Company Production Installed Capacity

in tons

ACC 17,902 18,640

Gujarat Ambuja 15,094 14,860

Ultratech 13,707 17,000

Grasim 14,649 14,115

India Cements 8,434 8,810

JK Group 6,174 6,680

Jaypee Group 6,316 6,531

Century 6,636 6,300

Madras Cements 4,550 5,470

Birla Corp. 5,150 5,113

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ACC LIMITED

ACC was formed in 1936. The history of ACC spans a wide canvas

beginning with the lonely struggle of its pioneer F E Dinshaw and other Indian

entrepreneurs like him who founded the Indian cement industry. Their made efforts

to face competition for survival in a small but aggressive market mingled with the

stirring of a country’s nationalist pride that touched all walks of life – including

trade, commerce and business.

ACC (ACC Limited) is India's foremost manufacturer of cement and

concrete. ACC's operations are spread throughout the country with 14 modern

cement factories, more than 30 Ready mix concrete plants, 20 sales offices, and

several zonal offices. It has a workforce of about 10,000 persons and a countrywide

distribution network of over 9,000 dealers. ACC's research and development facility

has a unique track record of innovative research, product development and

specialized consultancy services.

Since its inception in 1936, the company has been a trendsetter and important

benchmark for the cement industry in respect of its production, marketing and

personnel management processes. Its commitment to environment-friendliness, its

high ethical standards in business dealings and its on-going efforts in community

welfare programmes have won it acclaim as a responsible corporate citizen. ACC

has made significant contributions to the nation- building process by way of quality

products, services and sharing its expertise.

64

ACC’s brand name is synonymous with cement and it enjoys a high level of

equity in the Indian market. It is the only cement company that figures in the list of

Consumer SuperBrands of India.

The company's various businesses are supported by a powerful, in-house

research and technology backup facility - the only one of its kind in the Indian

cement industry. This ensures not just consistency in product quality but also

continuous improvements in products, processes, and application areas.

ACC has rich experience in mining, being the largest user of limestone, and it

is also one of the principal users of coal. As the largest cement producer in India, it

is one of the biggest customers of the Indian Railways, and the foremost user of the

road transport network services for inward and outward movement of materials and

products.

In spite of the economic slowdown, the Company is moving ahead with its

planned expansions. There is no slowdown in the projects that have been taken up

for implementation. The company’s capex plan for 2009 is about Rs. 1600 crore and

for 2010, it is Rs. 1300 crore.

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AMBUJA CEMENTS

Ambuja Cements was set up in 1986. In the last decade the company has

grown tenfold. The total cement capacity of the company is 18.5 million tonnes.

Ambuja follows a unique homegrown philosophy of giving people the

authority to set their own targets, and the freedom to achieve their goals. This

simple vision has created an environment where there are no limits to excellence, no

limits to efficiency and has proved to be a powerful engine of growth for the

company. As a result, Ambuja is the most profitable cement company in India, and

one of the lowest cost producers of cement in the world.

In essence, cement is a simple business. Unlike other industries it does not

suffer rapid technological obsolescence or shifting consumer trends. It constantly

attracts new investments which results in surplus capacity. This means only the very

efficient players can prosper.

The pollution levels at all the cement plants of Ambuja Cements are even

lower than the rigorous Swiss standards of 100 mg/NM3. The air is so clean that a

rose garden flourishes right next to the main plant.

Ambuja has received the highest quality award - the National Quality Award.

It is the only cement company to receive the same. It is also the first to receive the

ISO 9002 quality certification.

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Almost 90% of cement in India travels by rail or road and in bags. Ambuja is

the first company to introduce the concept of bulk cement movement by sea in

India. The kiln at Ambujanagar plant is 20 years old. Yet it keeps increasing

productivity year after year. Ambuja continues to achieve higher efficiency and

productivity, not just at Ambujanagar, but at all the other plants.

In Himachal, they've managed to push up production and bring down power

costs at a plant that was already functioning above capacity. At the same plant they

have managed to cut stabilizing time (a critical task in a cement plant) from upto 18

months to a mere 3 months.

At the cement shipping terminals in Gujarat, with a few minor modifications,

the have succeeded in exporting clinker, and importing higher quality and far

cheaper coal and furnace oil for its captive power plants.

At Mumbai terminal, they have increased the handling capacity to 100,000

tonnes as against the terminals stated capacity of 60, 000 tonnes with no additional

capital expenditure.

In the last decade they have managed to keep the company’s power bills to

virtually the same amounts as they were in 1989, all of which proves once again,

that an asset is worth only as much as the people who use it.

When Ambuja started out, they approached the cement business with an open

mind. To compete with the older, established players who had already written off

their plant cost, it was important to have the lowest capital cost per ton of cement.

67

Ambuja’s plants would have to be set up in record time. Its capacity utilization

would have to be above 100%. And its power consumption would have to set a

record low.

GRASIM INDUSTRIES LIMITED

Grasim Industries Limited, a flagship company of the Aditya Birla Group,

ranks among India's largest private sector companies, with consolidated net turnover

of Rs.184 billion and a consolidated net profit of Rs.29 billion (FY2009).

Starting as a textiles manufacturer in 1948, today Grasim's businesses

comprise viscose staple fibre (VSF), cement, chemicals and textiles. Its core

businesses are VSF and cement, which contribute to over 90 per cent of its revenues

and operating profits.

The Aditya Birla Group is the world’s largest producer of VSF, commanding

a 24 per cent global market share. Grasim, with an aggregate capacity of 333,975

tpa has a global market share of 11 per cent. It is also the second largest producer of

caustic soda (which is used in the production of VSF) in India.

In cement, Grasim along with its subsidiary UltraTech Cement Ltd. has a

capacity of 41.6 million tpa and is a leading cement player in India. In July 2004,

Grasim acquired a majority stake and management control in UltraTech Cement

Limited. One of the largest of its kind in the cement sector, this acquisition

catapulted the Aditya Birla Group to the top of the league in India.

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The roots of the Aditya Birla Group date back to the 19th century in the

picturesque town of Pilani, set amidst the Rajasthan desert. It was here that Seth

Shiv Narayan Birla started trading in cotton, laying the foundation for the House of

Birlas.

A formidable force in Indian industry, Mr. Aditya Birla dared to dream of

setting up a global business empire at the age of 24. He was the first to put Indian

business on the world map, as far back as 1969, long before globalisation became a

buzzword in India.

In the then vibrant and free market South East Asian countries, he ventured

to set up world-class production bases. He had foreseen the winds of change and

staked the future of his business on a competitive, free market driven economy

order. He put Indian business on the globe, 22 years before economic liberalisation

was formally introduced in India. He set up 19 companies outside India, in

Thailand, Malaysia, Indonesia, the Philippines and Egypt.

Interestingly, for Mr. Aditya Birla, globalisation meant more than just

geographic reach. He believed that a business could be global even whilst being

based in India. Therefore, back in his home-territory, he drove single-mindedly to

put together the building blocks to make our Indian business a global force.

Under the leadership of the Chairman, Mr. Kumar Mangalam Birla, the

Group has sustained and established a leadership position in its key businesses

through continuous value-creation. Spearheaded by Grasim, Hindalco, Aditya Birla

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Nuvo, Indo Gulf Fertilisers and companies in Thailand, Malaysia, Indonesia, the

Philippines and Egypt, the Aditya Birla Group is a leader in a swathe of products —

viscose staple fibre, aluminium, cement, copper, carbon black, palm oil, insulators,

garments. And with successful forays into financial services, telecom, software and

BPO, the Group is today one of Asia's most diversified business groups.

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THE INDIA CEMENTS LTD

The India Cements Ltd was established in 1946 and the first plant was setup

at Sankarnagar in Tamilnadu in 1949 . Since then it has grown in stature to seven

plants spread over Tamilnadu and Andhra Pradesh.

The Company is the largest producer of cement in South India.

The Company's plants are well spread with three in Tamilnadu and four in Andhra

Pradesh which cater to all major markets in South India and Maharashtra.

The Company is the market leader with a market share of 28% in the South.

It aims to achieve a 35% market share in the near future. The Company has

access to huge limestone resources and plans to expand capacity by de-

bottlenecking and optimisation of existing plants as well as by acquisitions.

The Company has a strong distribution network with over 10,000 stockists of

whom 25% are dedicated.

The Company has well-established brands- Sankar Super Power, Coromandel

Super Power and Raasi Super Power. ―There is no stronger foundation than

the one built with vision."

In his task of establishing the enterprise, Shri Sankaralinga Iyer was ably

assisted by Shri T.S. Narayanaswami, who is always identified with the formation

and running of The India Cements Limited. Shri T.S.Narayanswami was the catalyst

who saw the project through numerous hurdles and made it emerge as a viable and

marketable proposition.

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He looked beyond Cement to Aluminium production, Chemicals and Plastics

and Shipping after he had fully established the India Cements' potential for

expansion. A pioneer Industrialist and visionary, Shri T.S. Narayanswami played a

dynamic role in the resurgence of industrialisation in free India.

In order to further the cause of education, a cause very much dear to the

founders of ICL, Shri Sankaralinga Iyer and Shri T.S. Narayanaswami, the Management

of ICL, constituted an Educational Trust on 18th June 1958, with the object of

establishing and running educational institutions like Polytechnics, Colleges, Technical

High Schools and Higher & Lower Secondary Schools. These institutions were primarily

conceived of for the benefit of the children and dependents of the employees of ICL. It

was also intended that the institutions should serve the community in the areas where the

factories are situated.

The Company runs educational institutions at Sankarnagar, Sankaridurg,

Chilamkur, Yerraguntla and Dalavoi where the cement factories are located.

The company has achieved its best ever performance both in terms of

operational and financial parameters in the 62 years history of the company. Despite

the onslaught of increase in input costs of coal and gypsum, the company could

contain its impact with the significant improvement in operations converting most of

the increases in top line to flow directly to the bottom line.

The company’s sustained efforts towards cost reduction have mitigated the

impact of the cost increases.

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MADRAS CEMENTS

In 1950's, investment in Cement Industry was not attractive due to price

controls and the massive investments required. Only those entrepreneurs who were

not profit minded but cared for country's development came forward to invest in the

Cement Industry.

When Shri. Manubai Shah, Central Minister for Industries in late fifties came

to Madras to meet the Industrialists, he called upon Shri P A C Ramasamy Raja and

requested him to start a cement factory in TN . This was readily accepted by Shri

PACR and this marked the birth of "Madras Cements Ltd" in 1961.

The first plant of MCL at Ramasamy Raja Nagar, near Virudhunagar in

Tamil Nadu commenced its production in 1962 with a capacity of 200 tonnes, using

wet process. In 70's, the plant switched over to more efficient dry process.

A second kiln was also added to bring the total capacity to 12 lakh ton per annum. The

second venture of MCL is its Jayanthipuram plant near Vijayawada in A.P set up in

1987. The 16 lakh tonnes per annum plant employs the latest state of art technology.

The third venture of MCL is at Alathiyur in TN set up in 1997 and expanded

by addition of another line in 2001. The 30 lac ton per annum plant is the most

modern plant in the country.

In 2000, MCL acquired Gokul Cements situated in Mathod in Karnataka

whose capacity is 600 TPD. Being a eco-friendly company, MCL set up the Ramco

Winfarm in 1993 at Muppandal TN. This was followed by wind farms in Poolavadi

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near Coimbatore in 1995 and Oothumalai in 2005. The combined capacity of these

two put together is about 45 MW.

In the year 1999, MCL commissioned the most sophisticated Ready Mix

Concrete Plant in Medavakkam in South Chennai. In 2002, a state-of-art Dry Mortar

plant was commissioned near Sriperumpudur, Tamilnadu which manufactures dry

mortar, cement based putty and tile fix compound.

The Alathiyur plant commenced operations in 1997 with 0.9 MTPA Capacity

and was upgraded by 0.2 MTPA in 1999-2000. It started the Line-2 in 2000-01 with

a capacity of 1.5 MTPA.

Alathiyur is the first plant in India to go in for 100% Mining by Surface

Miners. It has an enviro friendly and energy efficient MMD Crusher for Lime Stone

Crushing Plant Operations

Ariyalur plant started the operation in 2009 with a capacity of 2 MTPA.

It is well equipped with modern quality control systems.

The Ready Mix Concrete plant of the company is situated in Medavakkam, a

suburb of Chennai and its capacity is 56 Cu.m per hour.

In addition, there is a production facility for dry mix products near

Sriperumpudur. This plant produces Dry Mortar, Tile Fixing compound and Cement

Based Putty.

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To help the company in economizing the transportation costs, two Grinding

units with a capacity of 0.6 MTPA each are being setup in Tamil Nadu. Out of

these, one unit in Uthiramerur had started production in June 2009. The other unit is

being setup near Salem in Tamil Nadu. The third unit is coming up at Kolaghat in

West Bengal.

Madras Cements Ltd is a trend-setter in adopting state-of-the-art technology

for the manufacture of Cement, Ready Mix Concrete and Dry Mortar Products.

MCL is the first to bring the latest technologies in South India's cement industry like

FUZZY Logic Software System for process Controls, Pre-calciner technology, Most

Modern Programmable Logic Controllers (PLC), Surface Mining Technology,

Vertical Mills for Cement Grinding, Latest and highly effective ESPs and Bag filters

and Advanced X-Ray technology for Quality Control.

Ramco Research & Development Centre was launched in the year 2002 with

the aim of fostering research in the areas of cement technology and modern

construction practices.

It is situated near Turaipakkam, a suburb of Chennai. It is equipped

with a state-of-art laboratory and allied services. Well-qualified scientists supported

by experienced technicians are conducting research that will improve the quality of

cement and enhance customer delight.

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FINANCIAL PERFORMANCE OF SELECT CEMENT INDUSTRIES

The data relating to various financial aspects were collected for a period of

6 years from 2003-04 to 2008-09 the annual reports, financial aspects such as

performance and efficiency.

Sales

The selected companies have been classified on the basis of sales made by

them during the study period. The following shows the sales wise classification of

companies selected for the study.

Table 3.2

Sales Wise Classification

(Rs. In Crores)

S.No. YEAR ACC AMBUJA GRASIM INDIA MADRAS

1. 2003-04 3,284 1,968 5,213 1,033 700

2. 2004-05 3,902 2,606 6,229 1,236 746

3. 2005-06 3,221 6,268 6,653 1,402 1,014

4. 2006-07 5,803 7,705 8,572 18,367 1,582

5. 2007-08 6,991 6,235 10,215 26,209 2,022

6. 2008-09 7,283 6,986 10,804 36,056 2,546

Source: Annual Reports

It is understood from the table 3.1that sales made by ACC Ltd during the

year 2003-2004 amounted to Rs. 3,284 crores. They increased to Rs. 7,283 crores

during the year 2008-2009. There was an upward trend in the sales made by Gujarat

Ambuja Cements as well except in the year 2007-2008 when there was a decline in

76

the sales. During the study period, the sales increased from Rs. 1,968 crores to Rs.

6,986 crores. Grasim industries registered the highest sales of Rs.5,213 crores at the

beginning of the study period which increased gradually upto Rs.10,804 crores at the end

of the study period.

The sales made by India cements were not very impressive till the year 2005-06.

However there was a rapid growth in the sales, which was found to be Rs.36,056 Crores

at the end of the year 2008-09 as against Rs.1,033 crores during the year 2003-04. The

lowest sales at the beginning and at the end of the study period were made by Madras

Cements which were Rs.700 crores and Rs. 2,546 crores respectively.

It implies that the growth of sales made by India cements was impressive

while the growth of sales in respect of Grasim industries was not in accordance with

that of the other companies.

Chart 3.1

Sales wise classification

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Fixed assets

Fixed assets are the major components of total assets. The growth of an

organization is measured in terms of fixed assets in the sense that the organization has

invested a considerable amount of capital and profit in the form of fixed assets. The

following table shows the position of fixed assets of the selected companies.

Table 3.3

Fixed Assets wise Classification

(Rs. In Crores)

S.No. YEAR ACC AMBUJA GRASIM INDIA MADRAS

1. 2003-04 2,472 3,024 3,213 1,345 934

2. 2004-05 2,872 3,782 3,204 2,334 985

3. 2005-06 3,122 3,827 3,307 2,205 1,002

4. 2006-07 3,481 5,177 4,593 2,115 1,259

5. 2007-08 3,964 5,928 7,050 2,939 2,483

6. 2008-09 5,073 7,654 8,305 4,040 3,636

Source : Annual Reports

As per the above Table 3.3 the value of fixed assets possessed by Grasim

Industries was higher (Rs.3,213 crores) than that of all the other companies.

The fixed assets at the beginning of the study period were lower (Rs.934 crores) in

respect of Madras Cements. A similar position was found at the end of the study

period also. There was a constant increase in the fixed assets during the study

period in almost all the companies.

78

Chart 3.2

Fixed Assets wise Classification

NET WORTH

The net worth of a company is an appropriate tool for the measurement of its

growth. The net worth is the value of net assets belonging to the stakeholders.

The following table shows the networth of the selected companies during the study

period.

79

Table 3.4

Net Worth wise Classification

(Rs. In Crores)

S.No. YEAR ACC AMBUJA GRASIM INDIA MADRAS

1. 2003-04 1,319 2,013 3,606 570 483

2. 2004-05 1,585 2,172 4,324 570 523

3. 2005-06 2,130 3,484 4,978 159 586

4. 2006-07 3,142 4,655 6,226 269 891

5. 2007-08 4,153 5,669 8,137 506 1,314

6. 2008-09 4,928 5,817 9,474 582 1,734

Source : Annual Reports

The networth of ACC Ltd increased from Rs. 1,319 crores in the year 2003-

04 to Rs. 4,928 crores in the year 2008-09, whereas the networth of Gujarat Ambuja

increased from Rs. 2,013 crores to Rs. 5,817 crores during the same period. Grasim

industries witnessed a constant increase in the networth throughout the study period.

Its networth at the beginning and at the end of the study period was Rs. 3,606 crores

and Rs. 9,474 crores respectively.

However, the networth of India Cements was subject to decline in the first

half of the study period and increased during the second half of the study period.

Madras Cements was regarded as an efficient company in terms of netwoth as its

networth increased about 4 times during the study period.

80

Chart 3.3

Net worth wise classification

NET PROFIT

Net profit is the net earnings of an organization from its overall activities

during a particular period of time, say, one year. It determines the efficiency of the

organization in its operations. It is measured after having charged all the revenues

and expenses to the profit and loss account. It serves as a base for determining the

growth of the company. Net profit is also considered to be the base for determining

the rate or dividend. A comparison of net profit earned by the selected companies

over the period of study has been made in the following table.

81

Table 3.5

Net Profit wise Classification

(Rs. In Crores)

S.No. YEAR ACC AMBUJA GRASIM INDIA MADRAS

1. 2003-04 200 222 779 164 50

2. 2004-05 378 337 886 176 53

3. 2005-06 544 468 863 198 83

4. 2006-07 1,232 1,503 1,536 207 339

5. 2007-08 1,439 1,769 2,233 293 325

6. 2008-09 1,213 1,402 1,648 325 491

Source : Annual Reports

Table 3.5 depicts that there was an increasing trend in the net profit of ACC

Ltd until 2007-08. The net profit increased from Rs.200 crores to Rs. 1,439 crores

during the period from 2003-04 to 2007-08. However, there was a decline in the net

profit during the year 2008-09 when it was found to be Rs. 1,213 crores. A similar

trend was reflected in Gujarat Ambuja also. The net profit of Gujarat Ambuja

increased from Rs.222 crores in the year 2003-04 to Rs. 1,769 crores in the year

2007-08. The net profit of Gujarat Ambuja witnessed a decline during the year

2008 -09.

The net profit of Grasim industries was subject to a fluctuating trend.

It increased from Rs.779 crores to Rs. 886 crores in the year 2004-05 and fell to

Rs.863 crores in the year 2005-06. There was a tremendous increase in the net

82

profit during the years 2006-07 and 2007-08. However Grasim Industries witnessed

a sudden fall in the netprofit during the year 2008-09.

India Cements were efficient in its performance by showing a constant

increase in net profit during the study period. It increased nearly twice that of the

year 2003 -04. The increase in the net profit of Madras Cements was meager till the

year 2005-07 but there was a gradual decline in the year 2007-08. The net profit

increased to Rs.491 crores during the year 2008-09.

Chart 3.4

Net profit wise classification

INSTALLED CAPACITY

The installed capacity is the installed plant capacity. It denotes the

production capacity of the company. The following table shows the installed

capacity of the selected companies during the study period. The higher the installed

capacity the greater will be the production.

83

Table 3.6

Installed Capacity wise Classification

(Tonnes in lakhs)

S.No. YEAR ACC GUJART GRASIM INDIA MADRAS

1. 2003-04 161 16 14 23 60

2. 2004-05 168 18 17 25 60

3. 2005-06 190 20 21 35 60

4. 2006-07 199 27 28 47 60

5. 2007-08 224 31 32 52 80

6. 2008-09 226 37 37 65 100

Source: Annual Reports

Table 3.6 reveals that the installed capacity of ACC Ltd increased from 161

lakh tonnes to 226 lakh tonnes. Gujarat Ambuja raised its installed capacity from 16

lakh tonnes to 37 lakh tonnes over the study period. Grasim Industries also had a

similar installed capacity which varied from14 lakh capacity to 37 lakh capacity.

India Cements marginally increased its installed capacity from 23 lakh

tonnes to 65 lakh tonnes. Madras Cements kept its installed capacity constant at 60

lakh tonnes till the year 2006-07 and increased the same to 100 lakh tonnes in the

year 2008-09.

84

Chart 3.5

Installed capacity wise classification

PRODUCTION CAPACITY

Production capacity reveals the levels of utilization of installed capacity.

It implies that the efficiency of the company is utilizing its installed capacity.

The following table shows the production capacity of the selected companies.

Table 3.7

Production Capacity wise Classification

(Tonnes in lakhs)

S.No. YEAR ACC AMBUJA GRASIM INDIA MADRAS

1. 2003-04 146 09 10 19 37

2. 2004-05 153 11 12 19 38

3. 2005-06 129 18 15 41 48

4. 2006-07 187 21 19 52 57

5. 2007-08 199 26 22 90 59

6. 2008-09 208 34 25 93 66

Source: Annual Reports

85

It is understood from Table 3.7 that the production capacity of all the

companies increased over the study period. ACC Ltd increased its production

capacity from 146 lakh tonnes to 208 lakh tonnes. The production capacity of

Gujarat Ambuja increased from 9 lakh tonnes to 34 lakh tonnes during the same

period. The increase in production capacity of Grasim industries was gradual

from10 lakh tonnes to 25 lakh tonnes.

However, India Cements accelerated its production by increasing the

production capacity from 19 lakh tonnes to 93 lakh tonnes. The production capacity

of Madras Cements witnessed a marginal growth from 37 lakh tonnes to 66 lakh

tonnes.

It is implied from the above details that though ACC Ltd had the highest

production capacity, the performance of India Cements was found to be efficient.

Chart 3.6

Production capacity wise classification

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CONCLUSION

The companies selected for the present study have been found to be the major

players in the Indian Cement Industry. Their plant capacity occupies the major

portion of the industry. Hence, these companies have been selected and their

profiles and financial performance have been presented. These profiles reveal the

genesis and growth of the selected companies and the milestones achieved by them

in the past.