Mumbai, Nov. 5 -- Ambuja Cements will invest Rs. 145 bn to expand its cement capacity to 155 mn tonnes per annum by fiscal 2030. The planned investment, equivalent to $1.53 bn, will increase production capacity from the company's current level of 113.5 MTPA.
The company expects capacity to reach 119 MTPA by March 2027, with the wider expansion programme adding facilities across several major cement markets. The investment is intended to support the company's long-term growth and strengthen its manufacturing network in India.
The new capacity will be developed across Assam, Bihar, Jharkhand, Gujarat, Maharashtra and Uttar Pradesh. The projects will expand Ambuja Cements' manufacturing footprint across the eastern, western and northern regions, where demand for cement is supported by infrastructure and housing activity.
Indian cement producers have expanded capacity in recent years as infrastructure development and housing construction have increased. Companies have been investing in new plants and grinding units to improve their presence across regional markets and serve rising demand.
Ambuja Cements announced the investment shortly after reporting a 34.7 per cent decline in quarterly net profit. The fall was attributed to higher fuel and freight costs, which affected the company's performance during the quarter.
The capacity expansion forms part of Ambuja Cements' broader effort to increase its production base while improving its reach across key markets. Once completed, the programme will give the company a substantially larger operating footprint and position it to participate in anticipated growth in India's cement sector.
Published by HT Digital Content Services with permission from Indian Cement Review.