Cement maker Nuvoco Vistas Corp on Thursday, as part of its expansion plans, announced investment of Rs 1,950 crore, which includes Rs 1,500 for setting up a new project in Gulbarga, Maharashtra.
The new facility will help it expand its footprints in the Western and Central India markets, said Nuvoco Vistas Corp, a Nirma Group company, in a statement.
Besides, Nuvoco Vistas will invest Rs 400 crore on debottlenecking and upgradation of projects at its existing plants and Rs 50 crore to set up alternate fuel material handling facilities.
As part of its growth strategy, Nuvoco Vistas will expand its 6,000 tonne per day (TPD) clinker capacity at Gulbarga in Phase - I with the architecture for higher capacity.
The capital expenditure (CAPEX) for Phase-I of the project is approx Rs 1,500 crore. The ground-breaking for the expansion project is set in FY23, the company said.
It already has an operational limestone mine at the site, Nuvoco Vistas Corp added.
Commenting on these investments, Chairman Hiren Patel said the recent Budget has reemphasised India's growth story with a focus on infrastructure as a key enabler.
Projects like Gati Shakti will lend much-needed power, speed and efficiency to mega infrastructure projects launching India on the path to economic success. India has also been on an affordable housing mission. Cement is an integral part of the infrastructure and housing sector, he said.
Managing Director Jayakumar Krishnaswamy said cement demand in India is estimated to grow at a compound annual growth rate (CAGR) of 6-7 per cent by FY26.
We are well-placed for a growth trajectory in long run. Our investment towards alternate fuel material handling facilities is a testament to our untiring commitment towards a sustainable future. Our current growth investments will help us seize the opportunities predominantly in the northern and western parts of the country, while further strengthening our leadership position in the east, he added.
Nuvoco Vistas, which started its operations in 1999, operates into three segments - Cement, Ready-Mix Concrete (RMX) and Modern Building Materials (MBM).
It acquired the cement business of LafargeHolcim in 2016 and NU Vista Limited (formerly Emami Cement) in 2020.
Nuvoco Vistas operates 11 cement plants and is the largest cement company in East India in terms of capacity, offering cement under brands such as Concreto, Duraguard, Nirmax, Double Bull and Infracem.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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