UltraTech Cement Expands Production Capacity by 1.2 MTPA

24 Mar 2025 CW Team

The expansion includes a 0.8 MTPA increase at the Integrated Unit in Hirmi, Chhattisgarh, and a 0.4 MTPA expansion at the Grinding Unit in Roorkee, Uttarakhand. Additionally, further expansion plans involve a 1.9 MTPA increase in Bihar, 1.4 MTPA each in Rajasthan and Madhya Pradesh, and 1.5 MTPA in Odisha. As a result, UltraTech’s total domestic grey cement production capacity has reached 178.86 MTPA. Including its overseas facilities, the company’s total cement manufacturing capacity stands at 184.26 MTPA, with an overseas capacity of 5.4 MTPA. This cements UltraTech’s position as India’s largest grey cement producer.

The company has also outlined its financial objectives in its latest investor presentation. It has set an internal rate of return (IRR) below 25 per cent and a return on capital employed (RoCE) above 20 per cent. Additionally, its product mix for wires and cables is expected to be balanced at a 60:40 ratio in favour of cables.

UltraTech Cement has reaffirmed its focus on its core business and has clarified that it is not considering new business opportunities. The company does not anticipate significant pricing pressure within the cement sector. Instead, the recent capacity expansion is part of a broader strategy to enhance operational efficiency within its existing business framework rather than a shift in its overall direction.

News source: India Infoline

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