Holcim plans Rs 10,000cr capacity expansion

Aiming to exploit the burgeoning infrastructure sector, Swiss cement maker Holcim will invest around Rs 10,000 crore in the next five years to set up plants and raise capacity by 25 million tonne in the country.

The company is present in India through ACC and Ambuja Cements in which it had acquired controlling stakes.

"We aim to grow at 8-10% annually and for that, we will add 4-5 million tonne of capacity each year at an investment of $400-500 million a year. In the next five years, we will add up to 25 million tonne," Amit Kothari, Holcim Asia Pacific told PTI.

As on December 31, 2007, the company had a production capacity of 45 million tonnes through the two firms, he said.

Kothari said the company was currently working on capacity expansion at four plants - two each of ACC and Ambuja.

The company is not planning to do any acquisitions in the country. "No acquisition at the moment. If there is an opportunity, we will definitely look at it. But right now, we are hands full with ACC and Ambuja," Kothari said.

The company is not planning to bring the Holcim brand to India.

Holcim had a global sale worth around $20 billion and to which India contributed around $2-2.5 billion, Kothari said.

The company has 24 plants in the country and enjoys a market share of about 23-25%. Holcim has manufacturing facilities in 70 countries with a capacity of over 200 million tonne.