Despite current market challenges and a negative feedback from Industry analysts, Zuari Cement is boosting its capacity in three Indian expecting huge long-term potential for domestic cement consumption. The Italcementi group company is setting up a grinding unit in Auj and Shingadgaon in Solapur (Maharashtra), a terminal in Kochi (Kerala) and a 3 Mta integrated cement plant in Gulbarga (Karnataka).
While south India has 150 Mta of cement capacity, almost 50 per cent of the total capacity in the country, the consumption only stands at about 70 Mt, which is around 50 per cent of installed capacity. Clearly there is a significant supply-demand imbalance.