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Govt’s proposal to auction assets of CCI unit sparks political row

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Telangana demanding the Centre to revive the CCI unit at Adilabad

The government’s proposal to auction the assets of the Cement Corporation of India (CCI) unit at Adilabad in Telangana has snowballed into a political controversy with the ruling Telangana Rashtra Samiti (TRS), Congress, and Left parties coming together to criticise the action and demanding the Centre revive the unit instead of dismantling it.The unit was spread over 772 acres and was shut down in 2008 as it had operated into heavy losses.On Wednesday, TRS Member of Legislative Council (MLC) K Kavitha, the daughter of Chief Minister K Chandrashekar Rao, urged the Centre to roll back the auction proposal.The Centre should consider withdrawing the decision as the action will harm thousands of families dependent on it.For the Adilabad factory, the bid was invited along with a bid for two plants in Chhattisgarh, one each from Madya Pradesh and Karnataka.Kavita said that the Centre should answer if it is proceeding to reinvest the funds in Telangana or set up new factories to create employment.She also asked if the BJP government would accord national status to state-funded irrigation projects or install Kazipet Coach Factory and educational institutions with the funds they are attempting to consolidate via the sale of national assets.Kavita said that the state BJP leaders are answerable to the people of Telangana about the auction of the Adilabad unit of CCI, privatisation of Singareni Collieries Company Ltd, and selling of national assets.Telangana’s IT and Industry Minister KT Rama Rao urged Commerce and Industry Minister Piyush Goyal to review the proposal and revive the unit. Rao said that the state government would give financial incentives if the unit is revived, which can create employment. Electricity and plenty of water were available, and the unit can be revived.A joint action committee (JAC) including TRS, Congress, CPI, CPM, and student organisations have launched a protest urging that the Centre revive the unit rather than dismantle it.S Vikas, secretary of the CCI Employees Association, told the media that there was a high court (HC) order against the auction of CCI assets and dismantling.

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Also read:Dalmia Cement decides to invest Rs 2,600 cr in Tamil Nadu within 3 years

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Cement industry to gain from new infrastructure spending

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As per a news report, Karan Adani, ACC Chair, has said that he expects the cement industry to benefit from the an anticipated US$2.2tn in new public infrastructure spending between 2025 and 2030. In a statement he said that ACC has crossed the 100Mt/yr cement capacity milestone in April 2025, propelling the company to get closer to its ambitious 140Mt/yr target by the 2028 financial year. The company’s capacity corresponds to 15 per cent of an all-India installed capacity of 686Mt/yr.

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AI boom drives demand, says ACA

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The American Cement Association projects a nearly 1Mt annual increase in US cement demand over the next three years, driven by the surge in AI data centres. Consumption by data centres is expected to grow from 247,000 tonnes in 2025 to 860,000 tonnes by 2027. With over 5,400 AI data centres currently operating and numbers forecast to exceed 6,000 by 2027, the association cautions that regulatory hurdles and labour shortages may impact the industry’s ability to meet demand.

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GoldCrest Cement to build plant in India

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GoldCrest Cement will build a greenfield integrated plant with a 3.5Mt/yr clinker capacity and 4.5Mt/yr cement capacity. GoldCrest Cement appointed Humboldt Wedag India as engineering, procurement and construction contractor in March 2025 and targets completion by March 2027. It has signed a 40-year supply agreement with Gujarat Mineral Development Corporation for 150Mt of limestone from its upcoming Lakhpat Punrajpur mine in Gujarat.

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