UltraTech announces two new greenfield plants
UltraTech Cement is investing INR324,000m (US$3.89bn) in capex over the next three years, including two new greenfield plants, which will add an additional 5.4Mta in cement production capacity. The two facilities will be located in Chhattisgarh and Tamil Nadu, taking the company’s total cement capacity to 151.6Mta. According to the company, this capacity is equivalent to more than 150 per cent of the capacity in the USA and 80 per cent of the capacity in Europe.
It has taken 36 years for the cement business of the Aditya Birla Group to reach 100Mta. UltraTech subsequently added another 50Mta in less than five years with an investment of around INR320,000m. Over the past two decades, UltraTech has grown 11x, far outpacing the industry growth of 4x.
“Reaching this milestone is symbolic of India’s ascent on the global stage and demonstrates the dynamism and scale of Indian corporations,” said Kumar Mangalam Birla, chairman, Aditya Birla Group. “UltraTech, as a national champion, is an enabler of India’s development. With a mix of integrated cement plants, grinding units, bulk terminals across 59 locations in India along with 307 ready-mix concrete plants, UltraTech’s scale and capacity footprint is unparalleled. And this scale will further enable UltraTech to service India’s growing demand for cement across the country. This milestone underscores our pledge to continue laying the foundation for a resilient and prosperous India, ensuring our growth strides in tandem with the nation's development.”
Over the last 12 months, UltraTech has expanded its capacity by 18.7Mta. In addition, the ongoing expansion of 35.5Mta is actively being implemented across 16 locations with the company in the process of closing the proposed acquisition of Kesoram Cement. This will further boost UltraTech’s grey cement capacity to 198.2Mta.
