Birla Corporation, the flagship of the M P Birla Group, has announced a capital expenditure of Rs 4,335 crore aimed at expanding its cement production capacity through a mix of greenfield and brownfield projects.
The investment will be executed jointly by Birla Corporation and its wholly-owned subsidiary RCCPL, with plans to set up three new grinding units and expand one integrated manufacturing unit. Birla Corporation's board has approved the establishment of a greenfield cement grinding unit with a capacity of 2.8 million tonne per annum (MTPA) in Gaya, Bihar. The project, which will be developed in phases, is expected to be completed by the Q4/FY29 at an estimated cost of Rs 860 crore.
Meanwhile, RCCPL will spearhead the larger portion of the investment, amounting to Rs 3,475 crore. This will include the construction of two greenfield grinding units in Uttar Pradesh with a combined capacity of 3.4 MTPA and the expansion of a 3.7 MTPA brownfield clinker manufacturing unit at Maihar in Madhya Pradesh.
“Our capacity utilization in central and eastern India is more than 100 per cent,” Chairman, Birla Corporation, Harsh V Lodha said. The new capacity is expected to ease the strain on existing infrastructure and position the company for further growth in these high-demand regions.