UltraTech Cement Ltd. stated it’s going to make investments ₹12,886 crore in increasing capability by 22.6 million tonnes every year (MTPA).
Board of administrators of the Aditya Birla Group firm, accepted the plan which might be a mix of brownfield and greenfield enlargement.
“This would be achieved by setting up integrated and grinding units as well as bulk terminals,” the corporate stated in a press release.
“The additional capacity will be created across the country. Commercial production from these new capacities is expected to go on stream in a phased manner, by FY25.”
UltraTech stated its present enlargement programme is on observe and estimated to be accomplished by the top of FY23.
Upon completion of the most recent spherical of enlargement, the corporate’s capability would develop to 159.25 MTPA. At current, UltraTech’s manufacturing capability stands at 119.95 MTPA.
The deliberate capability enlargement at UltraTech, the most important cement producer, is estimated to value $76 per tonne of cement, which is considerably decrease than current the acquisition value of Holcim’s India cement belongings by the Adani Group, analysts stated. The Adani Group had stated it could purchase the mixed capability of about 70 MTPA of Ambuja Cement and ACC for $10.5 billion [more than ₹81,000 crore.]
Kumar Mangalam Birla, Chairman, Aditya Birla Group stated, “This ambitious capacity expansion plan is a significant milestone in the ongoing transformational growth journey of UltraTech. The company has more than doubled its capacity over the last five years and is committed to meeting India’s future needs for housing, roads, and other infrastructure.”
“This investment is backed by a strong conviction on India’s growth potential as well as a deep and nuanced understanding of the market dynamics of the cement industry. Given the size of the investment outlay, I am confident that this new capacity creation will have a multiplier effect leading to jobs and growth across multiple regions in India,” he added.
Source: www.thehindu.com
