Nepal is seeing growing demand for cement in the country, as post-earthquake reconstruction work and construction of public and private infrastructure projects have started gathering pace.

Jagadamba Cement, which has a production unit in Lumbini Corridor, is setting up another production plant in the eastern part of Bhairahawa. The new plant, according to the company, will produce 1500tpd of cement.

"We are expanding the production capacity considering the growing demand for cement,” said Bidur Dhungana, managing director of Jagadamba Cement, which has already invested NPR3bn (US$28.6m) in its existing cement production unit in Lumbini Corridor. The company, which is providing employment to around 400 people at present, expects to create another 400 new jobs once it sets up new production unit.

Meanwhile, Arghakhachi Cement is also making a new investment of NPR5bn to build a new clinker plant. The company, which has already injected NPR3bn in its existing clinker plant, will launch the new clinker plant within three months.

"The new production unit will bring Nepal closer to its goal of becoming self-sufficient in clinker and cement production," said Uddhav Karki, managing director of Arghakhachi Cement, which currently produces about 2500tpd of cement and provides employment to around 400 people.