SWOT ANALYSIS Strengths: Double digit growth rate • Cement demand has grown in tandem with strong economic growth; derived from: -Growth in housing sector (over 30%) key demand driver; -Infrastructure projects like ports, airports, power projects, dam & irrigation projects -National Highway Development Programme -Bharat Nirman Yojana for rural infrastructure -Rise in industrial projects -Export potential also demand driver • Capacity utilization over 90%
Weakness: Low value commodity • Cement Industry is highly fragmented • Industry is also highly regionalized • Low – value commodity makes transportation over long distances uneconomical
Opportunities: Demand–supply gap •
Substantially lower per capita cement consumption as compared to developing countries (1/3 rd of world average) Per capita cement consumption in India is 82 kgs against a global average of 255 kgs and Asian average of 200 kgs.