UltraTech Cement Achieves 200 Million Tonnes Production Capacity in India
UltraTech crosses 200 million tonne capacity in India
The Economic TimesImage: The Economic Times
UltraTech Cement, part of the Aditya Birla Group, has surpassed 200 million tonnes of production capacity in India, solidifying its position as the largest cement producer outside of China. The company aims to expand this capacity to 240 million tonnes by FY28, driven by significant capital investments and strategic acquisitions.
- 01UltraTech Cement has crossed 200 million tonnes of production capacity in India.
- 02The company plans to increase its capacity to 240 million tonnes by FY28.
- 03UltraTech controls about 25% of the Indian cement market.
- 04Recent expansions include new grinding units in Uttar Pradesh, Jharkhand, and Andhra Pradesh.
- 05The company has significantly increased capacity through both greenfield projects and acquisitions.
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UltraTech Cement has achieved a significant milestone by surpassing 200 million tonnes of production capacity in India, reinforcing its leadership in the country's cement market, which is the second largest globally. The Aditya Birla Group company has tripled its capacity over the last decade and is now the world's largest cement producer outside of China. With an annual capital expenditure of approximately βΉ16,000 crore (roughly $1.93 billion USD), UltraTech aims to boost its capacity to 240 million tonnes by the fiscal year 2028. Currently, it holds about 25% of the Indian market share, with 110 million tonnes of its capacity coming from greenfield and brownfield expansions, and the remaining 90 million tonnes from acquisitions. Notable acquisitions include L&T Cement and Jaypee Cement. Chairman Kumar Mangalam Birla highlighted the rapid growth, noting that it took 36 years to reach 100 million tonnes, but only five years to add the next 50 million tonnes. Recently, the company also commissioned three new cement grinding units in Shahjahanpur, Uttar Pradesh; Patratu, Jharkhand; and Visakhapatnam, Andhra Pradesh, bringing its consolidated capacity to 205.5 million tonnes, including operations in the UAE, Bahrain, and Sri Lanka.
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The expansion of UltraTech Cement's production capacity will likely lead to increased job opportunities in the construction sector and may also stabilize cement prices in the market, benefiting homebuyers and construction companies.
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