Explain the initial development of cement industry in India. What is the situation of this industry in Rajasthan?
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Answer:
The cement industry is experiencing a boom on account of the overall growth of the Indian economy primarily because of increased industrial activity, flourishing real estate business, growing construction activity, and expanding investment in the infrastructure sector. The performance of the industry, under different policy regimes, truly establishes that decontrol of the industry and liberalization of the economy has led to remarkable improvement in the indicators such as installed capacity, capacity utilization, per capita consumption and exports. The industry experienced a complete shift in the technology of production, from wet process to dry process. The competitiveness among the firms in Indian cement industry has also been evaluated. For the year 2006-07, out of the sample of seventeen firms (90.21% of the total market share), about 47% have recorded above industry average performance in the overall competitiveness index. The marginal difference between the competitiveness of different firms reveals the tough competition in the industry.