M P Birla Group firm Birla Corporation is looking to ramp up its cement production capacity to 15 million tonnes (MT) in the next four years.
"Our current cement production capacity is 9.3 MT per annum. We want to take it to 15 MT per annum in the next four years," Birla Corporation Chairman Harsh Lodha told reporters after the company's AGM here today.
With the increase in production capacity, Birla Corporation would be among the top-10 cement producers in the country, Lodha said.
The company, which had signed an MoU with Assam Mineral Development Corporation (AMDC) for setting up a plant there, is waiting for the state agency to get the limestone mining lease after which a joint venture company would be formed.
While AMDC would hold 12.5 per cent equity, Birla Corporation would hold the rest, Lodha said adding that the plant would have one million tonne capacity, which will be set up with a capital expenditure of Rs 600 crore.
Lodha said there is an over supply in the cement market at present as capacities were built up (by cement companies) over the last three to four years on higher demand expectations.
But unfortunately, the demand did not rise leading to a glut in the market.
Regarding the jute division, Lodha said the company was trying to develop new usages of the natural fibre as the market was basically dependent on the government packaging order.
