Cement cos may get tax sops — Maran

"Needless to say, any suggestion of the industry which is consistent with the basic tenet of revenue neutrality will get our immediate nod," he added. The minister assured the cement industry to provide it a facilitating environment and a level-playing field. He called upon the industry to increase cement exports. Though India is the second largest cement producer in the world, its share in global cement is less than 5 per cent. The country exported less than 4 per cent of its production in 1999-2000, while Greece nearly halved its production. "The cement industry should make all possible efforts to export cement."

The present per capita cement consumption of 97 kg is very small as compared to the world average of 263 kg, Maran said. The average of some developing countries is between 400 and 800 kg. "Thus, there is ample scope for growth of cement industry to reach per capita consumption levels of at least 200 kg."

One of the crucial demand segments which the cement industry has not fully exploited so far is the rural sector, Maran said. "Industry should evolve appropriate technology of blending and use of other material to make cement price affordable by the rural people."

Energy saving has to be given the highest priority to be competitive globally as well as in the domestic market, he said. "I find the Indian cement industry’s performance, though reasonable, has the scope of further improvement."

Maran expressed his satisfaction over the fact that the domestic cement industry is alert to the global warming issue "and has taken several steps to arrest the pollutants that cause environment degradation."