MUMBAI, February 10: Even as ACC faced a major reversal on the export front, Gujarat Ambuja clocked a 70 per cent growth in exports year-on-year to emerge as the largest cement exporter during the first nine months of the current fiscal. The company's total cement exports almost doubled during the period with sales doubling to over 2 million tonnes, from 1.16 tonnes last year.Gujarat Ambuja widened its export base by tapping new emerging markets like Africa and Sechelles, and has exported over 5 million tonnes of cement during the period. The leap in exports for the company are quite impressive considering the fact that the company exported barely 3 lakh tonnes during the corresponding period last year. Modi Cements, which was acquired by Gujarat Ambuja, exported around 440 tonnes during the period.
The country's largest cement producer, ACC put up a lacklustre performance with exports dipping around 20 per cent to 1.47 lakh tonnes. Exports for December, 1997, at 12,477 tonnes were, however, a shadebetter than last last year.
Exports of Gujarat Ambuja jumped to 5.11 lakh tonnes, from 3.02 lakh tonnes exported last year. The company has also diversified its destination base and unlike last year, when exports were primarily for the Sri Lankan market, this year's overseas destinations also include Africa and Seycheles which imported respectively 16,582 tonnes and 3,000 tonnes in the month of December alone. Despite an impressive export performance in the first nine months, Indian cement companies are unlikely to repeat the feat in the last quarter following the currency crisis in South-east Asia. Indian exports are all set to become price-wise less competitive vis-a-vis cement produced by S-E Asian countries.
During the first nine months, exports from ACC's Chaibasa unit increased from 41,108 tonnes to 58,202 tonnes during the period, the company's Kymore plant failed to meet last year's export levels. Exports at this unit fell sharply from 65,112 tonnes to 47,792 tonnes.
Larsen & Toubro, thecountry's second largest cement company, made major inroads in the overseas markets as exports soared to 3.48 lakh tonnes, as against a modest 58,642 tonnes of exports between April-December, 1996.
The company exported large consignments to Nepal, Bangladesh and Sri Lanka, achieving an impressive five-fold growth over last year. Birla Corp, the MP Birla group company, registered a modest dip in exports, with overseas sales dropping to 1.76 lakh tonnes, from 1.8 lakh tonnes last year.
BK Birla-controlled Century Textiles has, however, put up an impressive performance on the export front with export sales more than doubling to 63,677 tonnes. The company exports cement mainly to adjoining Nepal and Bangladesh.
A pioneer in the industry
GACL has been a consistent high performer on the Indian export front. In fact, its exports were the highest ever recorded by an Indian cement company. Of its total despatches till December, exports accounts for almost 15 per cent. Exports to total despatches(incremental) ratio for the period works out to be 26 per cent and increase in domestic despatches is 25 per cent. Which just proves that GACL has been a pioneer in the industry.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
