Ambuja Cements plans 30 MTPA capacity expansion with ₹14,500 crore capex; targets 155 MTPA by FY30
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Ambuja Cements, part of the Adani Group, has firmed up its next phase of expansion, announcing plans to add around 30 Million Tonnes Per Annum (MTPA) of cement capacity through greenfield and brownfield projects, backed by a growth capital expenditure (capex) programme of approximately ₹14,500 crore.
The company revealed that the expansion will strengthen its manufacturing presence across six states, with the company targeting a total cement capacity of 155 MTPA by FY30, compared with its existing capacity of 113.5 MTPA.
Commenting on the expansion, Vinod Bahety, CEO – Cement Business, Adani Group, said, "Our next phase of expansion is focused on quality of growth and creating a more balanced manufacturing network."
He added that strengthening the link between clinker and grinding capacity, while expanding closer to high-growth markets, would improve network flexibility, logistics and cost efficiencies.
The proposed capacity additions will span Assam, Bihar, Jharkhand, Gujarat, Maharashtra and Uttar Pradesh, with the West cluster accounting for 15.5 MTPA of new grinding capacity, followed by 11.6 MTPA in the East and 2.9 MTPA in the North. The programme will also include additional clinker capacity to support the expanded grinding network.
Maharashtra, Gujarat to anchor western expansion
Under the expansion programme, Ambuja plans to add grinding capacity at Mundra and Hazira in Gujarat, with 2.9 MTPA each. In Maharashtra, the proposed additions include Raigad, Kalyan and Amravati, with 2.9 MTPA each, and Dahanu with 0.7 MTPA.
The eastern expansion will cover Rangia and Hojai in Assam, Godda in Jharkhand and Muzaffarpur in Bihar, each with 2.9 MTPA of grinding capacity. In the North, the company plans a 2.9 MTPA addition at Dadri Line 2 in Uttar Pradesh.
On the clinker front, Ambuja plans 4 MTPA at Umrangso in Assam, 4 MTPA at Maratha and 2.3 MTPA at Mundra.
Capacity to reach 119 MTPA by March 2027
The latest expansion builds on capacity additions already undertaken. During the first half of FY27, Ambuja commissioned 4.6 MTPA through expansions at Dahej in Gujarat (1.2 MTPA), Salai Banwa in Uttar Pradesh (2.4 MTPA) and Kalamboli in Maharashtra (1 MTPA).
Another 5.6 MTPA is expected to be commissioned or ramped up during the second half of FY27, taking total capacity to 119 MTPA by March 2027. This includes the 2.4 MTPA Warisaliganj grinding unit in Bihar, alongside capacity stabilisation and ramp-up at Bathinda and Jodhpur.
The company expects the expansion and debottlenecking initiatives to support its target of reducing manufacturing costs to ₹4,000 per tonne by FY28.