UltraTech Cement, an Aditya Birla Group company, has envisaged a capital outlay of Rs 2,000 crore for its expansion plans in Rajasthan.

The company plans to expand its capacity at Aditya Cement works in Rajasthan by 2.90 million tonnes per annum (MTPA), including setting up of two grinding units.

According to a company statement, the additional capacity is expected to be commissioned by March 2015.

The company has commissioned a clinkerisation plant at Rawan, Chhattisgarh with a capacity of 3.30 mtpa and a grinding unit at Hotgi, Maharashtra having a capacity of 1.55 mtpa.

It has also enhanced its cement grinding capacity at Gujarat plant to 0.6 mtpa, bulk terminal at Kochi, Kerala and wall care putty plant at Katni, Madhya Pradesh, the release said.

With the commissioning of these projects, the company’s clinker capacity has increased to 41.80 mtpa and that of cement to 53.90 mtpa. The clinkerisation plant of 3.30 mtpa in Karnataka is expected to go on stream in the first quarter of FY’14.

UltraTech posted a combined cement and clinker sales at 12.05 million tonnes in the fourth quarter of FY’13.

Net revenue stood at Rs 5,819 crore against Rs 5,650 crore, up by 3 per cent. Profit-after-tax was Rs 753 crore (after providing for the additional deferred tax liability of Rs 87 crore) compared with Rs 872 crore in the fourth quarter of FY’12.

The quarter witnessed continuing pressure on input and logistics costs, given the increase in railway freight and hike in diesel prices though there was some relief on account of the softening in prices of imported coal, the company said.

Commenting on the outlook, the company said the demand for cement is expected to grow by an average 8 per cent in the long-term with housing, infrastructure and allied spending being the key value drivers.

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