`The Adani Group is soon going to enhance its cement manufacturing presence in the state of Madhya Pradesh with the commissioning of a huge cement grinding unit situated in the Guna district. This upcoming unit, which will be set up through Adani Cement, will have the production capacity of six MTPA and will require investment of about ₹1,500crores. This move reaffirms the Group's focus and commitment to developing its cement business along with catering to the industrial needs of Central India.
The acquisition of the land on which the Guna grinding unit is to be set up has already been done. This is one big step that has been taken towards the execution of this proposed project. The unit is likely to generate around 300 direct employment opportunities and 1,200 indirect employment opportunities when it is fully up and running.`
The new grinding unit fits into the overall plans of Adani Cement to optimize capacity expansion in the vicinity of the demand centers, thus rationalizing transportation cost and reduced carbon emissions. With the developing infrastructure plans, Madhya Pradesh has turned out to be an important market for cement companies for the northern and Central India region.`
Besides the Guna project, Adani Cement is also moving ahead with the plan for the second grinding unit at Ujjain district. This proposed grinding unit would also require an investment of around ₹1,400 crore and would have the same capacity of six MTPA.
The company would require approximately 70 acres of land, although the allocation of the land is also being considered at present.
`Confirming the above developments, Chandramauli Shukla, Managing Director, Madhya Pradesh Industrial Development Corporation (MPIDC), commented, that, here are two proposals from the Adani group, for the Guna and Ujjain regions respectively. He further clarified that land allocation for the Guna project has already been finalised, but the Ujjain proposal is under process. Other alternative sites, including Bhopal and Rewa, could also be considered for the project.
Adani Cement, which comprises popular brands in this industry such as Ambuja Cements and ACC, has been continuing to increase their production and grinding capacity in various parts of India ever since their acquisition of the cement business. In the state of Madhya Pradesh, the Company already has their integrated cement plant located in Kymore through their acquisition of ACC.
The planned grinding units are expected to help supplement existing capacities of clinker and enhance their distribution chain in central and northern regions. With infrastructure development and housing requirements picking up, their plans are quite timely in meeting increasing demands in the cement segment.
In totality, the Guna and proposed Ujjain projects represent the long-term strategy and goals set by the Adani Group for the development of size, efficiency, and geographical diversification in the cement industry. Apart from capacity creation, the proposed ventures are expected to contribute significantly to the creation of jobs and development of ancillary sectors in the state of Madhya Pradesh.
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