UltraTech Cement has announced a capital expenditure (capex) plan of INR9.65bn to modernise and almost double the production capacity of its white cement brand Birla White. The Aditya Birla Group company plans to increase the capacity of Birla White from the current 650,000tpa to 1.253Mta, UltraTech Cement said in a post-earnings statement.
The company's board at its meeting on Monday approved the capex plan towards modernisation and the expansion of capacity at Birla White in a phased manner. The capacity expansion will help Birla White strengthen its presence in the growing white cement market, reducing its dependence on high-cost imports, it added.
Moreover, UltraTech has also commenced operations from its bulk terminal at Kalamboli, Navi Mumbai, during the quarter. This is the seventh bulk terminal of the company. "With a capacity to handle 1.2Mta of cement and considering the large infrastructure development projects in and around Mumbai, the bulk terminal will strengthen the company to further increase its sales of bulk cement," the company said.
"This will effectively help in reducing freight cost, with the increase in the usage of rail transportation. This is one more step of the company in reducing carbon emissions and driving sustainable growth," it said.
