Mexican cement maker Cementos Cruz Azul will start a 24-month construction project on a US$300m, 1Mta capacity cement plant in Puebla state municipality Palmar de Bravo, the state government announced.

For improved access, the company will build a 14km railroad and a stretch of road connecting the plant to the Puebla-Orizaba highway.

And as an incentive for building the plant on 320ha of "marginalized" land, the state will not charge manpower taxes, the government said. Cruz Azul has three plants in central and southern Mexico, according to industry chamber Canacem.