JSW may shelve Gulbarga investment, India

JSW Cement planning to shelve its plan to set up a 3Mta clinker plant at Chittapur in Gulbarga, Karnataka district, temporarily as the company's short-term goal is to ensure that its Andhra Pradesh plant reaches full capacity, the Times of India (TOI) reported citing a senior company official. 

JSW Cement currently runs three plants ­ Nandyal unit (4.8Mta) in Andhra Pradesh, Vijayanagar unit (0.7Mta) in Karnataka and Dolvi unit (0.7Mta) in Maharashtra. While its Vijayanagar and Dolvi plants are running at 100 per cent capacity utilisation, its Nandyal unit is only operating at 50 per cent capacity utilisation due to subdued demand

. "There is 50 per cent capacity utilisation at our Nandyal plant. Since we already have around 2.5Mta unused capacity , we need to convert it into utilized capacity. And for that to happen it will take another one to one-and-a-half financial year. Till such time there is no point in expanding," JSW Cement director and chief executive officer Anil Kumar Pillai told the TOI.