Ambuja Cements Limited has announced plans to invest around Rs. 14,500 crore to add nearly 30 million tonnes per year (MTPA) of cement capacity by the financial year 2030. The expansion will take place across six states, taking the company’s total capacity from 113.5 MTPA to 155 MTPA.

The new projects will cover Assam, Bihar, Jharkhand, Gujarat, Maharashtra and Uttar Pradesh. The company, which is part of the Adani Portfolio, plans to expand its manufacturing network in eastern, western and northern India through new plants and upgrades to existing facilities.

The investment comes as cement makers prepare for higher demand from housing, roads, railways and other construction projects. India’s growing need for cement has led major producers to add capacity and strengthen their presence in regional markets.

Ambuja’s expansion will include 15.5 MTPA of new grinding capacity in the West Cluster, 11.6 MTPA in the East Cluster and 2.9 MTPA in the North Cluster.

In Assam, the company plans grinding units at Rangia and Hojai, each with a capacity of 2.9 MTPA. The East Cluster will also include a 2.9 MTPA unit at Godda in Jharkhand and another at Muzaffarpur in Bihar.

The western expansion covers Mundra and Hazira in Gujarat, with 2.9 MTPA at each location. Maharashtra will see additions at Raigad, Kalyan and Amravati, each with 2.9 MTPA, along with a 0.7 MTPA unit at Dahanu.

In Uttar Pradesh, Ambuja plans to add 2.9 MTPA at Dadri Line 2.

The company is also planning new clinker production capacity to support the grinding units. This includes 4 MTPA at Umrangso in Assam, 4 MTPA at Maratha in Maharashtra and 2.3 MTPA at Mundra in Gujarat.

Clinker is a key material used to make cement. Grinding units turn clinker into cement powder. Having enough clinker production near its grinding units can help a company manage supplies and reduce the cost of moving materials over long distances.

Vinod Bahety, CEO of the Cement Business at Adani Group, said the expansion would help create a more balanced manufacturing network.

“Our next phase of expansion is focused on quality of growth and creating a more balanced manufacturing network. By strengthening the link between clinker and grinding capacity and expanding closer to the high growth potential key markets, we are building greater flexibility into the network. As we scale, our focus is on combining market reach with logistics and cost efficiencies so that every capacity addition strengthens the competitiveness of the overall business. We have a vibrant supply chain ecosystem with stronger Brand Equity and share of Premium Cement in these markets. The growth footprint will complement well with our value-based strategic growth.”

Bahety said the company expects the new capacity and other upgrades to help lower production costs. Ambuja has set a target of bringing its manufacturing cost down to Rs. 4,000 per tonne by FY28.

The expansion follows capacity additions completed during the first half of the financial year 2026-27. Ambuja added 4.6 MTPA through a 1.2 MTPA brownfield expansion at Dahej in Gujarat, a 2.4 MTPA grinding unit at Salai Banwa in Uttar Pradesh and a 1.0 MTPA expansion at Kalamboli in Maharashtra.

These projects took the company’s cement capacity to 113.5 MTPA.

A further 5.6 MTPA is expected to be commissioned or brought into full operation during the second half of FY27. This includes the Bathinda Grinding Unit in Punjab, with a capacity of 1.2 MTPA, and the Jodhpur Penna Integrated Unit in Rajasthan, with a capacity of 2 MTPA. Both are expected to stabilise and ramp up during the second half of the financial year.

The company also expects to commission its 2.4 MTPA Warisaliganj Grinding Unit in Bihar during the same period.

These additions are expected to take Ambuja’s total cement capacity to 119 MTPA by the end of March 2027.

Ambuja Cements has completed 11 capacity projects since its acquisition, adding 16.3 MTPA of cement capacity and 9.0 MTPA of clinker capacity up to 30 September 2026.

Its manufacturing network currently includes 24 integrated plants and 24 grinding units. The company has also reported a network of 25 Integrated Units, 37 Grinding Units and three Clinker Units as part of its wider operating structure.

The expansion will add to the competition among cement makers as companies seek to serve growing construction markets across India. New plants closer to customers may help reduce transport costs, though the final benefit will depend on factors such as fuel prices, freight rates and plant operating costs.

For Ambuja Cements, the planned investment marks another large step in its effort to increase production and reach more markets. The company expects the new projects and further plant upgrades to take its total capacity to 155 MTPA by FY30.

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