July 26, 2010: As the cement industry reels under high raw material costs and reduced coal linkages, companies are exploring alternative options such as rubber tyres and rice husk as substitutes for fuel. Companies such as Grasim Industries, ACC, Shiva Cement have started using alternative fuels in their plants while other cement firms are exploring similar techniques to deal with the fuel shortage. "As coal prices are rising, there is no other option but to use alternative fuels like rubber tyres, saw dust and sewage as alternatives, though the percentage is small currently," said Shree Cement managing director Hari Mohan Bangur. Other companies such as JK Cement, too, have plans to use alternatives such as city waste, rubber tyres and saw dust for the production of cement. Cement firms recently wrote to the coal ministry seeking additional supplies from Singareni Collieries Company, one of the largest suppliers to cement plants in the southern states. India has more than 70 cement companies and a total installed capacity of 260 million tonne. Cement manufacturers will add 110 million tonne to their current production capacities at an investment of about Rs 50,000 crore over the next three years. The Indian cement industry is growing at 9-11% for the past few years with a capacity of 260 million tonne while China, the world's largest market, is growing at 14%. The global market is expected to grow at 5% and the Brazil market at 4%. Source: The Economic Times