Fiber cement manufacturing (FCM) maker Tata Group is in talks to supply its own cement to Indian cement producers, according to the company’s latest filings with the Registrar of Companies.
Tata, India’s biggest cement producer, has been pressing for the supply of FCMs for a decade, and has been working with several cement manufacturers including Reliance Industries, Tata Steel and Tata Chemical for a number of years, said a report by Mumbai-based research firm Technopak.
Talks were underway with the Tata group, which has been pushing for FCMs in India for years, to supply FCMs to Indian producers of cement, Tata said in the filings.
Tales of the steel giant Tata Steel making FCMs have been circulating for years.
TSI has been in talks with several FCM makers in India, said an executive at Tata Steel, who did not wish to be identified.TSI was initially interested in FCMs because they are cheaper than the expensive cement used in cement production, the executive said.
But as FCMs became more common in India and more popular with the consumers, the company turned to cement makers to supply the needed cement.
Tata’s FCMs are also manufactured in the United States, the same country where the Tata Group has been lobbying for FCM production.TASI, which is the largest cement producer in India by market value, had been pressing to supply cement to the cement makers for years in the form of FCM.TISA, which owns Tata Steel Ltd and is the world’s third-largest cement maker, is also pushing for the FCMs and has invested in cement manufacturing.
In February, Tata announced that it was looking to produce FCMs of its own in India.
The Tata Steel executive said that FCMs were not going to be a luxury product in India as the FCM industry is very important to Tata.