Gujarat Ambuja Cements has announced that it
would spend Rs.2,000 crore over the next three years to expand its production
capacity.
The company plans to add 6 million tpa of cement
capacity to its existing 14 million tpa, taking its overall capacity to 20
million tpa. The expansion would be achieved through both greenfield and
brownfield projects, financed largely through internal accruals.
Meanwhile, GACL has estimated that domestic
cement demand would increase to 146 million tonnes by 2006-07 from 122 million
tonnes in 2004-05. Cement demand, according to GACL estimates, has been
increasing at 8 per cent over the past decade.