11-Sept-2020 Delhi: In order to boost infrastructure development, CemX; An Indian Startup has come up with a unique idea of selling cement on EMI. In order to do this, they have partnered with India’s premier NBFC ZESTMONEY. In an exclusive conversation with Ashutosh Kumar- Jha (Founder & CEO) & Sourav Chakraborty (Co-Founder & CBO), here is what they have to say about this initiative.
“To appropriately capitalize in the lending-driven cement procurement industry, CemX has partnered with India’s premier NBFC ZESTMONEY, to launch a first-of-its-kind holistic approach for quick and affordable EMI options for their end customers. This will be the first time when an EMI credit option shall be offered to any Building Material customer to cope up with the financing challenges of small and medium builders in Tier 2 and Tier 3 cities of India.”
About CemX
We ‘cemX – India’s first cement e-commerce’, are a B2B and B2C online procurement marketplace for cement, with an e-commerce focal point. We are an aggregator platform that facilitate a direct supply channel between the large dealerships of cement and the end consumers that may be a real estate company, builders or small retailers lower down on the supply chain in the B2B domain while it also targets individual customers on the B2C side. The present Offline supply chain for various materials is fragmented, orthodox and unorganized. Therefore, by taking the procurement process of cement online into the Digital domain we aim to achieve parity and transparency in cement pricing thereby removing any arbitrage for offering economies of scale on cement pricing. Procuring cement online at the right price is helping the companies, individuals, and the retailers to avoid cost over-runs to a very large extent. CemX envisioned to introduce the entire orthodox Indian cement industry into the digital domain thereby democratizing price arbitrage for cement procurement below the regional distributorships. We therefore are breaking the barriers of geographic segregations by disrupting the human-middlemen supply chain. With a near-zero investment, offline extension stores are strategically established in remote geographies to promote cross-marketing and cross-retailing with other existing brick- and-mortar building material stores. We guarantee hassle and bargain free cement deals with faster and reliable delivery at the best market rates.
Current Market
As per the IBEF (India Brand Equity Foundation) report, India is the second largest cement producer in the world and accounted for over 8 per cent of the global installed capacity as of 2019. India’s overall cement production capacity was nearly 545 million tonnes (MT) in FY20. Of the total capacity, 98 per cent lies with the private sector and the rest with public sector. The top 20 companies account for around 70 per cent of the total cement production in India.
The demand of cement industry is expected to achieve 550-600 MT per annum (MTPA) constantly by 2025 because of the expanding requests of different divisions, i.e., housing, commercial construction, and industrial construction.
