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The organised segment continues to focus on innovative special concrete, quality and timely delivery, while the unorganised players tend to reduce the operating costs by lower compliances tax evasions and employing unskilled labour at cheaper costs, says Atul Desai.

The construction industry is having a significant role in the India’s development and it contributes about 8-10 per cent to GDP on an average. Developing nations like India need to have faster construction with high quality, durability and a pollution-free environment, which can be achieved only with ready-mix concrete (RMC).

Market size
Overall economic slowdown impacted commercial and industrial construction combined with sluggish residential real estate activity and resulted in moderate rise in RMC market at a CAGR of 4-5 per cent to reach an estimated Rs 215 billion (58 million cubic meters) in 2015-16 from Rs 184 billion (50 million cubic meters) in 2012-13. This growth is anticipated to increase to 6-8 per cent CAGR touching close to 300 billion (81 million cubic meters) by 2020-21. The growth in RMC demand may be primarily attributed to government-infused spending in infrastructure and expected demand from affordable housing.

Growth trends & future projections
Real estate currently accounts for 60-65 per cent of RMC consumption with residential real estate occupying the majority share (38-42 per cent). Further while infrastructure constitutes about 32-35 per cent of RMC demand, industrial and commercial construction constituted about 26-28 per cent of the total RMC consumption in 2016-17.

RMC penetration, measured as the proportion of cement consumed in commercial RMC to total cement consumption in India, is expected to increase to 10 per cent by 2020-21 from the current 7 per cent on the back of healthy demand growth, increased usage in infrastructure projects and penetration of RMC plants in tier-II/ tier-III cities, consistent quality requirements, stringent project timeline, and higher focus on safety and quality norms amongst others. RMC penetration in India has gradually risen with increasing acceptability and usage of higher grade of concrete; however, the current levels are very low compared to other developed economies such as USA, Europe and China where it is above 65-70 per cent.

Southwest, India is anticipated to continue to grow faster than rest of India and is expected to contribute close to 70 per cent of total growth of RMC. North and East may have stable growth and their contribution to RMC growth is only 10 per cent, which may remain more or less range bound till 2020-21.

The biggest demand drivers for the country’s RMC and batching plant segments will be the Indian Government’s large-scale infrastructure and housing for all scheme. These infrastructure projects include the Bharatmala Pariyojana, Sagarmala, the Smart Cities Mission and the Pradhan Mantri Awas Yojana, and Affordable housing. The Government initiatives on the dedicated freight corridors have also provided opportunities for setting up new RMC plants across the country. With rapid urbanisation, the Indian construction industry has witnessed a major move towards complex architectural structures in commercial buildings, elevated driveways, coastal highways, bullet trains, etc., which may further fuel the demand for high performance concrete.

National capacities & regional/metro capacities
The cumulative current RMC capacity is estimated at about 60,000 cu.m/hr with a relatively comparative spread of commercial and dedicated batching plants across India. RMC demand also has increased at a CAGR of 4-5 per cent. However, owing to inadequate awareness and soft government norms, conversion from site mix is at a very negligible pace especially in small towns and rural areas.

Mumbai and Delhi alone constitute close to 45-50 per cent of total consumption in West and North respectively whereas, Bengaluru and Hyderabad put together constitute about 45 per cent of total consumption in South.

Going further, tier-II and tier-III cities may catch up soon, and the concentration of capacities is expected to gradually rise in such cities too.

Hotspots of growth
Key demand centres of western and southern regions are the most favourable markets for RMC business. Mumbai, Nagpur from West and Chennai, Hyderabad and Amravati from southern region are among the top ranked cities for RMC business attractiveness.

Mumbai leads the city-wise attractiveness list. Construction of multiple metro rail corridors, coastal road, trans harbour sea link and Mumbai-Nagpur Expressway to name a few may spurt RMC demand.

Challenges for growth
Site mix is still prominent due to lack of awareness and lack of focus on quality control and quality assurance – grey areas neglected by the Government authorities.
Capacity utilisation continues to remain low across regions due to restricted traffic hours, limited hours of functioning, stringent regulatory norms and diverse nature of business.
Low capex encourages growth of unorganised players, a segment which is yet to professionalise this business in the right direction.
Availability of consistent quality raw materials.
Increasing credit exposure to the real estate segment, which is under stress due to drop in sales and liquidity crunch is a major concern.

Issues at hand
Deterioration in quality due to site mix.
Limited supply of consistent quality river sand and availability of aggregate nearer to major city.
Freshly-made RMC needs to be placed or used in a fixed time frame, but transportation is a constraint due to huge traffic congestion and entry restrictions in city.
The perishable nature of RMC necessitates the need for the RMC batching plant to be located near construction sites. However, the setting up of commercial plants in metro cities is a challenge due to space constraints as there is no designated zone for RMC units,
Output is restrained due to reduction of working hours – no night work is entertained in residential zones.
Unrealistic short duration and multi-layer Government approvals lead to uncertainty of the plant locations.
Increase in credit exposure to real estate segment has led to huge working capital requirements.
Limited existence of product differentiation and less technological know-how due to spurt in local players is also a significant issue.
Unethical practices by local players.

Outward transport: 12-15 per cent (Unpredictable oil prices, which are directly linked to global crude oil prices are as well increase the cost.)
Power: 2-3 per cent
Wages: 7-8 per cent
Other overheads: 4-6 per cent
Cost due to high working capital because of huge credit exposure to real estate developer segment
Operating margins: 3-6 per cent
The organised segment continues to focus on innovative special concrete, quality and timely delivery. The segment is thus marred with high operating cost owing to high overheads and expenses, which are incurred on training, safety, technology, continuous R&D, QA/QC and testing to bring about transparency in the process. Huge credit exposure also carries significant cost.
The unorganised players, on other hand, tend to reduce the operating costs by lower compliances tax evasions and employing unskilled labour at cheaper costs, overlooking safety/quality norms with minimal upkeep and maintenance of the batching plant.

Crucial differentiators
RMC is operated in the local market, but provides global solutions, which are a real differentiator.
Quality and customised concrete suitable for each application, combined with speed at optimum cost differentiates RMC with site mix.
RMC being a service oriented industry; timely reach to the customer is significant.
Quality authorised labs affiliated to recognised professional bodies to ensure quality assurance and control.

Value offerings in form of special products – providing complete concrete solutions as below mentioned give an edge:

A.PRISM RMC Dyecrete: Aesthetic, though durable, solution to floor dTcor is the best replacement of erstwhile paver blocks. It is safe and minimises accidents. Above all it’s available in variety of designs and patterns to colour ones imagination.
B.PRISM RMC Perviouscrete: Instant solution to water logging at walkways/landscape/parking zones, additionally it may help in water harvesting and storing too.
C.PRISM RMC Elitecrete: Solution for thermal insulation. It is a lightweight concrete, which beats the heat on terrace floor, and is the best alternative to conventional brick-bat coba.
D.PRISM RMC Portacrete: Solution in portable ready-to-pour bags (30 kg) available for small concrete pours like stand- alone columns, starters, etc. and a quality replacement to site mix for all grades.
E.PRISM RMC Easycrete: High-performance concrete solution to congestion of steel reinforcement in the structural components like columns/beam-column junction/slabs, where concrete placement becomes easier due to its flowable and self-compacting properties.
F.PRISM RMC FRCcrete: Solution to rapid wear and tear, cracking. The addition of special fibres (steel/polypropylene) increases the structural integrity and improves durability. Best suited for concrete slabs/industrial floors, etc.
G.PRISM RMC Repaircrete: Strengthening solution for extra life. This ready to pour micro-concrete is best suited used for jacketing of structural members, and all types of repair work where quality, workmanship and space is a constraint.
H.PRISM RMC UTWT: Durable concrete solution towards early opening of road to common man. Reduced thickness concrete road, faster in construction with reduced maintenance cost and improved service life.

Additionally we have,
1.Megacrete:
Solution to high strength concrete for tall towers,
2.Environcrete: Solution towards ?go green? concept, utilising fly ash and GGBS, which are byproducts of thermal power plants and steel units respectively.
3.Thermocrete: Solution towards reducing heat of hydration in mass concrete
4.Coastcrete: Solution to aggressive attacks from sulphates, chlorides in water and soil.

Cement downstreams v/s standalone players
RMC is a local business, provides global solutions.
Its more construction service oriented business and hence may be seen as standalone business.
RMC provides opportunity to cement companies to understand the customer closely, thereby avoiding commercialisation of cement.
Various options of cement are available.
RMC may also offer aggregate crushers opportunity to ride on value chain, locking the customers.
Pragmatically, since local flavour is more prominent and a lot of options w.r.t cement are available, standalone plants preferably supported by aggregate supply back up may be desired.

Organised v/s unorganised players
Majority forward integrated players with nation-wide business reach constitute organised segment. They have large operational setups with huge capacities in anticipation of meeting the long-term demand. The product offerings are application based superior ones and they maintain highest safety standards. Their labs are usually certified by professional bodies like BIS/QCI/NABL and are well equipped. Continuous R&D is part and parcel of business, resulting in to new product developments and implementation of out-of-box innovations. Driven by professionalism, lots of focus is on training and development of the team.

Whereas, unorganised players are the local standalone one, who caters to regional demand with smaller capacities thriving on moderate profitability. Prices are generally lower and product offerings are standard replicated ones. Desired standards and quality are rarely implemented. Safety is a big concern. Grades widely used are replicated and on-the-job training is usually carried out.

Impact of demonetisation
Demonetisation had majorly hit residential real estate construction, which is characterised by large cash transactions. Furthermore, demonetisation also severely impacted unorganised players thriving on tax evasion and cash payments.

Impact of GST
Cement will attract 28% GST resulting in increased costs for the infrastructure sector. GST in India was a dream to reform various area of economy and taxation system. Implementation of GST has benefitted organised players as the same has brought about transparency in dealings.

Recommendations to the Government
Construction industry in India is in developing stage and the role of Government in bringing about changes is very significant as many areas need complete revamping. A few suggestions relevant suggestions are below mentioned:

Stringent and well-defined QA/QC and safety norms need to be laid down by the Government, which discourages and completely abolishes usage of site mix.
RMC being environment-friendly and pollution-free industry, the Government must enforce usage of RMC at all levels and ban site mix.
RMC being a green industry needs to have designated zones for setting up plants in major cities with long term approval of 10 years to reduce establishment cost.
Long terms single-window approvals from the Government, avoiding multiple agencies for ease-in-business and sustainability is expected.
Value concrete and environment-friendly solutions like UTWT for roads, Dyecrete for pavements and perviouscrete to avoid water logging may be recommended or even made mandatory as the case be.
To avoid accidents and have a safe ride, paver blocks need to be banned and better alternative solutions like Dyecrete?stamped concrete need to be specified.
Solution to traffic restrictions need to be worked out and permission to transport through transit mixers 24×7 should be allowed.
Quality authorisation from BIS/QCI should be mandatory not only for prequalification and tenders, but also for small sites.
Sops may be considered for encouraging RMC industry towards its valuable contribution by becoming environment friendly in "go green" concept utilising fly ash and GGBS.

About the author
Atul Desai is Executive Director & CEO of Prism Johnson (RMC India Division) a Rajan Raheja Group. Desai is currently helming RMC (India) Division employs over 3500 employees and operates a total of 101 ready-mixed concrete and aggregate crushing plants in 44 towns and cities across the nation. He possesses a strong business and leadership record as CXO and has a deep understanding of the consumer and business landscape in the Indian region. Desai is also a Secretary of Ready Mixed Concrete Manufacturers’ Association (RMCMA).

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Economy & Market

The Road Ahead Begins Here

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The future of India’s roads took centrestage at RAHSTA Expo 2026, where policymakers, contractors and industry leaders came together under one roof. The event blended thought leadership, technology showcase and industry recognition into a single powerful platform.

India’s roads and highways community gathered in full strength at the Jio World Convention Centre, Mumbai, for the 16th edition of the RAHSTA Expo (Roads and Highways Sustainable Technologies & Advancement). Over two action-packed days, the event brought together policymakers, contractors, consultants, developers, equipment manufacturers, material suppliers, technology providers and investors to deliberate on the future of India’s ,infrastructure while showcasing the latest innovations driving the sector.

The event culminated in the prestigious RAHSTA Awards, where Shri. Ajay Tamta, Union Minister of State for Road Transport & Highways, felicitated organisations and professionals for their outstanding contributions to road construction, engineering, safety, sustainability and technology. With leading contractors, senior government officials, industry veterans and technology providers under one roof, the event reaffirmed RAHSTA’s position as one of India’s most influential platforms for the roads, highways, bridges and tunnels ecosystem.

Organised by FIRST Construction Council in association with ASAPP Info Global Group, RAHSTA has steadily evolved beyond an exhibition into a platform where policy, technology, engineering and business converge to address the opportunities and challenges shaping India’s next generation of transport infrastructure.

Beyond expansion, towards value

The conference opened with a thought-provoking address by Pratap Padode, Founder and Editor-in-Chief, Construction World, who observed that India’s highways sector has reached an important inflection point. Introducing this year’s theme – ‘From Expansion to Value: The Next Phase of India’s Highways’ – he noted that while the country has successfully expanded its road network over the past two decades, the industry’s priorities are now shifting towards building infrastructure that delivers greater lifecycle value, durability, safety and operational efficiency. With funding pressures, asset monetisation and evolving project models changing the sector’s dynamics, he said the focus must now move beyond kilometres constructed to the quality and long-term performance of every asset.

Dr Brijesh Dixit, Managing Director, Maharashtra State Infrastructure Development Corporation (MSIDC), reminded delegates that successful infrastructure delivery is ultimately a collective effort. Emphasising on collaboration between government, industry and engineering professionals, he remarked, “There is no loser in a winning team, and there is no winner in a losing team,” urging stakeholders to work together to deliver projects with quality, financial sustainability and technological excellence.

Delivering the keynote address, Bidur Kant Jha, Director, New Technologies for Highway Development, Ministry of Road Transport & Highways (MoRTH), outlined the Government’s long-term vision for India’s highway network. Highlighting the country’s 6.26 million km roads network, he spoke about the growing adoption of digital planning tools such as BIM and GIS, bridge health monitoring systems and Integrated Smart Transport Corridors under the Vision 2047 roadmap. He emphasised that while India remains open to global innovations, every new technology must be adapted to Indian conditions before large-scale deployment.

Addressing the gathering during the awards ceremony, Tamta underlined the increasing role of specialised equipment and modern construction technologies in executing complex infrastructure projects across diverse terrains. Referring to challenging tunnel projects in Uttarakhand, he noted how advanced machinery has transformed execution capabilities, while also acknowledging the rapid evolution of Indian contractors into globally competitive infrastructure companies. Recognising excellence through industry awards, he said, motivates organisations to continually raise performance standards and embrace innovation.

Meanwhile, Dr Sanjay Mukherjee, IAS, Metropolitan Commissioner, MMRDA, highlighted that infrastructure development must increasingly focus on integrated urban mobility. Reflecting on Mumbai’s engineering journey – from its historic underground utility network to the Coastal Road and other transformative projects – he underlined that future infrastructure planning must seamlessly integrate roads, metro systems and public transport to create efficient, multimodal cities.

Uttar Pradesh takes centrestage

One of the highlights of the second day was Uttar Pradesh’s comprehensive presentation on its infrastructure-led industrial transformation.

Srihari Pratap Shahi, IAS, Additional CEO, Uttar Pradesh Expressways Industrial Development Authority (UPEIDA), demonstrated how the state’s expanding expressway network is evolving into a catalyst for industrial development through integrated manufacturing and logistics clusters. Expressways, he noted, are no longer merely transport corridors but engines of economic competitiveness.

Building on this narrative, Deeksha Jain, IAS, Additional Chief Executive Officer, Uttar Pradesh State Industrial Development Authority (UPSIDA), showcased the state’s rapidly expanding industrial ecosystem supported by extensive expressway connectivity, dedicated freight corridors, airports, industrial townships and investor-friendly policies. She highlighted Uttar Pradesh’s strong manufacturing growth, expanding industrial land bank, plug-and-play infrastructure and increasing use of digital governance to facilitate investments.

Further underlining the significance of the platform, Deepak Kumar, IAS, Infrastructure & Industrial Development Commissioner, Government of Uttar Pradesh, remarked, “RAHSTA provides an excellent platform for states to showcase our infrastructure progress and investment ecosystem. Uttar Pradesh has transformed significantly over the past decade, backed by more than 34 investor-friendly industrial policies, and platforms like RAHSTA help communicate these developments to industry stakeholders from across the country.”

Ideas that shaped the industry conversation

The two-day conference featured seven panel discussions, each examining a critical dimension of India’s evolving roads and highways sector.

The opening discussion on ‘Financing Roads & Highways in a Capital-Constrained Era’ brought together experts from Cube Highways, NIIF, SBI Capital Markets, Centrum Capital and Bandhan Infra Fund, who examined how the financing landscape is changing. Discussions revolved around asset monetisation, InvITs, institutional investments and new funding structures, with panellists agreeing that better project preparation, transparent governance and predictable returns will be crucial for attracting long-term capital into infrastructure.

Attention then shifted to execution realities during the panel on ‘Contractors’ Perspective: Execution Realities, Risks & the Quality Imperative.’ Representatives from GHV Infra Projects, PNC Infratech, NCC and Maccaferri candidly discussed the challenges of delivering projects amid contractual complexities, land acquisition delays, rising costs and tight timelines. While execution pressures remain significant, the discussion reinforced that better collaboration across the project value chain is essential for achieving both speed and quality.

Day 2 opened with a technically rich discussion on ‘Designing Roads for Sustainability, Durability & Climate Resilience’. Experts from CSIR-CRRI, IIT Bombay, IIT Madras, Zydex Group and SRMB Steel explored advanced pavement technologies, recycled materials, climate-resilient designs and scientific construction practices that can significantly improve durability while lowering lifecycle costs. Sustainability, they agreed, must become an integral part of road design rather than an afterthought.

The subsequent session on ‘Bridges & Tunnels: Complex Engineering, Safety & Future Readiness’ highlighted the growing complexity of India’s infrastructure projects. Panellists discussed advances in structural engineering, digital monitoring, risk management and safety practices that are enabling the successful delivery of increasingly ambitious bridge and tunnel projects across the country.

Technology remained a recurring theme during the discussion on ‘Technology as a Risk-Mitigation Tool for Developers & Investors’. Experts explained how AI, BIM, drones, predictive analytics, digital twins and intelligent monitoring systems are helping improve project planning, minimise execution risks, strengthen quality assurance and enhance asset management throughout the infrastructure lifecycle.

The construction equipment panel brought together leading industry experts to examine how technology, sustainability and digitalisation are redefining construction equipment in an era of rising cost pressures. Discussions centred on enhancing productivity, reducing lifecycle costs and preparing the industry for India’s infrastructure ambitions leading up to 2047.

The conference concluded with an engaging CXO Forum on ‘Rebuilding Confidence in India’s Roads & Highways Sector’, where senior industry leaders emphasised that stronger governance, better project preparation, digitalisation, transparent contracting and closer public-private collaboration will be essential to sustain India’s infrastructure growth over the coming decades.

Technology and recognition under one roof

Beyond the conference halls, RAHSTA Expo reflected the technological transformation underway across India’s road infrastructure ecosystem. Leading equipment manufacturers, technology companies and material suppliers showcased advanced construction equipment, intelligent digital platforms, pavement technologies, structural materials and productivity-enhancing solutions designed to improve project efficiency and asset performance. The exhibition created valuable opportunities for contractors, consultants, government agencies and project developers to evaluate new technologies while interacting directly with solution providers.

The event also served as a celebration of excellence through the RAHSTA Awards 2026, which recognised outstanding achievements across road construction, contracting, materials, equipment, technology, safety, sustainability and infrastructure development. Presented by Minister Tamta, the awards honoured organisations that are setting new benchmarks for quality, innovation and execution across India’s roads sector.

RAHSTA Expo 2026 also received extensive support from across the infrastructure ecosystem. Alongside leading corporate sponsors, the event was backed by industry bodies including the Builders Association of India (BAI), Construction Equipment Rental Association (CERA), Consulting Engineers Association of India (CEAI), International Road Federation (IRF), CSIR-CRRI, CILT India, All India Transporters Welfare Association, Hydraulic Trailer Owners Association (HTOA), Gujarat Contractors Association, Bitumen Forum, Fluid Power Society of India, Indian Institute of Material Management, Ministry of Ports, Shipping and Waterways, Gati Shakti Vishwavidyalaya and Mumbai First, reflecting the industry’s collective commitment to advancing India’s road infrastructure.

As the curtains came down on the two-day event, one message resonated throughout the conference: India’s highways story is entering a new chapter. While expansion will continue, the future will increasingly be defined by smarter planning, stronger partnerships, digital transformation, sustainable engineering and long-term value creation. By bringing together the entire infrastructure value chain on a single platform, RAHSTA Expo 2026 once again demonstrated why it has become one of the country’s most influential forums for shaping the future of roads, highways, bridges and tunnels.

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Economy & Market

Fornnax Names Lukas Baur as Authorised Service Partner to Bolster EU Operations

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Strapline: Fornnax Technology has appointed NOBA Maschinenservice’s Lukas Baur as its authorised service partner for the European Union, strengthening its commitment to delivering fast, reliable, and localised after-sales support across the region.

Fornnax Technology, a leading manufacturer of industrial shredding solutions, has announced the appointment of Mr. Lukas Baur of NOBA Maschinenservice as its authorised service partner for the European Union. The partnership, formalised under the authorisation of Fornnax CEO Mr. Jignesh Kundaria, reinforces the company’s commitment to providing dependable, localised service support to its expanding customer base across Europe.

Strengthening Service Through Proven Expertise

With over two decades of experience in servicing, maintaining, and overhauling industrial shredders, Mr. Baur brings extensive technical expertise to the partnership. His capabilities span welding, hardfacing, shaft and knife rebuilding, complex assembly, hydraulics, and complete electrical engineering services, delivered in collaboration with a trusted partner company based in Halle/Saale.

Operating from Worbis, Germany, Mr. Baur is strategically positioned to provide emergency support across the European Union within 24 hours, covering an operational radius of approximately 1,000 kilometres.

Supporting this capability is a well-equipped service infrastructure comprising 12 Mercedes Sprinter service vans, a team of 24 skilled technicians, specialised bearing-change tools, a fully equipped hydraulic workshop, and a 1,000-square-metre facility with a five-ton crane track. Together, these resources position his team to manage the complete spectrum of Fornnax’s European service requirements efficiently and reliably.

Partnership Driven by Industry Insight

Having spent years servicing Eldan, Lindner, and Vecoplan shredders across the European recycling industry, Mr. Baur’s decision to collaborate with Fornnax is rooted in his understanding of market needs and customer expectations. His experience has provided valuable insight into what recycling plant operators require—not only from their machinery but also from the service teams supporting them.

According to Mr. Baur, Fornnax’s reputation for robust machine construction, superior wear protection, and maintenance-friendly design made the partnership a natural fit.

The collaboration comes at a time when Europe’s tyre recycling industry is facing mounting challenges, including rising cost pressures, shrinking margins, delayed investments, and a shortage of skilled labour. Mr. Baur believes these conditions reinforce the need for technically strong service partners capable of delivering rapid, dependable support.

Commenting on the partnership, he said, “Fornnax, with its exceptional price-performance ratio and superior quality, has the potential to become a market leader in Europe. We would like to be their service partner in this journey.”

Comprehensive Support Across the Equipment Lifecycle

As Fornnax’s authorised service partner, Mr. Baur will oversee the complete lifecycle support of the company’s equipment throughout the European Union. His responsibilities will include installation, commissioning, preventive maintenance, emergency repairs, and spare parts support across mechanical, hydraulic, and electrical systems.

Looking ahead, he also plans to develop a centralised spare parts distribution hub for European customers, particularly if Fornnax establishes a warehouse facility in Worbis to facilitate faster deliveries. To further strengthen service coverage, Mr. Baur intends to expand operations by adding two to three additional service teams and vehicles each year, progressively increasing capacity across the continent.

A Shared Commitment to Customer Excellence

Highlighting the strategic importance of the partnership, Mr. Jignesh Kundaria, Director and CEO of Fornnax, said:

“We strongly believe that by continuously improving our service quality and customer satisfaction index, we can build long-term relationships with our customers. Higher customer satisfaction leads to greater trust, which significantly increases repeat orders and ultimately drives sustained growth in our sales revenue.”

This customer-first philosophy underpins Fornnax’s strategy of building a dedicated European service partner network instead of relying solely on remote support. With Mr. Baur joining this network, customers across the European Union will benefit from faster response times, expert technical assistance, and dedicated on-ground support from a partner with extensive experience in high-throughput shredding operations.

Mr. Baur’s appointment also reflects Fornnax’s broader ambition to establish itself as the preferred shredding solutions provider for the European recycling industry, marking another important milestone in the company’s international growth strategy.

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Concrete

Nuvoco Vistas launches Limla cement plant, expands Gujarat footprint

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Nuvoco Vistas opens a 2 MMTPA grinding unit at Limla, entering Gujarat and advancing its target of 35 MMTPA capacity by FY 2028.

Surat (Gujarat)

Nuvoco Vistas Corporation Ltd, a part of Nirma Group and one of India’s leading building materials company, has inaugurated the Limla Cement Plant in Surat (Gujarat), one of Vadraj Cement Limited’s (VCL) principal manufacturing facilities. The commissioning represents a key milestone in Nuvoco’s acquisition and restoration of VCL, while supporting the company’s expansion across the Western Indian cement market.

Vadraj Cement Limited is a subsidiary of Nuvoco Vistas Corporation Limited and has installed cement capacity of 6 MMTPA across its assets. The Limla inauguration therefore represents the first operational step in the acquired platform’s wider revival, while the Kutch facilities provide clinker supply, mineral security and coastal logistics support for the western business.

Nuvoco completed its acquisition of Vadraj Cement Limited, then under the Corporate Insolvency Resolution Process, after paying a consideration of Rs 1,800 crore in June 2025. VCL’s asset portfolio comprises a clinker unit at Kutch and a grinding unit at Limla in Surat. It also includes high-quality captive limestone reserves and a captive jetty at Kutch, supporting more efficient logistics. Following the takeover, Nuvoco began an extensive programme of restoration, refurbishment and expansion at both locations, leading to the commissioning of the Limla plant.

The Limla Cement Plant is expected to support a phased increase in sales volumes across Gujarat. It will also help Nuvoco supply neighbouring markets in Western Maharashtra and release cement capacity from its northern plants, which can consequently be redirected towards markets in North India. The plant will manufacture a full portfolio comprising Ordinary Portland Cement, Portland Slag Cement, Portland Pozzolana Cement and Portland Composite Cement. It will additionally produce the complete Nuvoco Duraguard range, including the premium Nuvoco Duraguard Microfibre product. The acquisition is also expected to generate operational synergies with Nuvoco’s existing plants at Nimbol and Chittorgarh in Rajasthan, improving logistics optimisation and market reach across important regional markets.

The grinding unit at the Limla Cement Plant was completed ahead of schedule, with 2 MMTPA of capacity now inaugurated to expand Nuvoco’s operating scale and customer reach. After Vadraj Cement’s assets become fully operational, plants in North and West India are expected to account for nearly 40 per cent of Nuvoco’s total cement capacity. This will broaden the company’s manufacturing network, strengthen access to high-growth markets and support its plan to increase consolidated cement capacity to 35 MMTPA by FY 2028, reinforcing its longer-term growth strategy.

Commenting on the development, Jayakumar Krishnaswamy, Managing Director, Nuvoco Vistas Corp Ltd, said: “The inauguration of the Limla Grinding Unit in Surat is an important milestone in Nuvoco’s growth journey and demonstrates our commitment to disciplined, value-accretive expansion. Gujarat is strategically significant for Nuvoco, with substantial opportunities arising from infrastructure investment, industrial growth, rapid urbanisation and continuing demand from the housing and construction sectors. The facility strengthens our regional footprint, improves operational flexibility and increases our ability to serve customers across northern and western markets with greater reliability and efficiency.”

He added: “Through the Vadraj acquisition, we have refurbished and restarted a strategically important asset, returning it to operations in record time through strong execution and collaboration between teams. The achievement demonstrates our ability to create value from acquired assets, fulfil our commitments and retain the confidence of stakeholders. It also highlights the strength of our project delivery capabilities and our continued focus on building sustainable, profitable growth over the long term.”

Nuvoco Vistas Corporation Limited is a building materials company whose vision is to build a safer, smarter and more sustainable world. It is among the leading players in East India and has a significant presence across North and West India. Nuvoco began operations in 2014 with a greenfield cement plant at Nimbol, Rajasthan. It later acquired Lafarge India Limited, which had entered India in 1999, followed by Emami Cement Limited in 2020 and Vadraj Cement Limited in April 2025. The company has also announced an expansion in eastern India through a new grinding mill at the Arasmeta Cement Plant, supported by several debottlenecking programmes involving equipment upgrades, process improvements and internal capacity initiatives. These developments place Nuvoco on track to achieve total cement capacity of approximately 35 MMTPA. The company reported total income of Rs 11,362 crore in FY 2025-26, reflecting its continuing growth trajectory.

Nuvoco operates a diversified portfolio across three segments: Cement, Ready-Mix Concrete and Modern Building Materials. Its cement portfolio includes Concreto, Duraguard, Double Bull, PSC, Nirmax and Infracem, covering Ordinary Portland Cement, Portland Slag Cement, Portland Pozzolana Cement and Portland Composite Cement. Its pan-India RMX business provides value-added products under Concreto for performance concrete, Artiste for decorative concrete, InstaMix for ready-to-use bagged concrete, X-Con covering M20 to M60 grades, and Ecodure for specialised green concrete. Nuvoco has supplied materials to projects including the Mumbai-Ahmedabad Bullet Train, Birsa Munda Hockey Stadium in Rourkela, Aquatic Gallery at Science City in Ahmedabad, and metro railway projects in Delhi, Jaipur, Noida and Mumbai.

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