Ramco Cements Expands Capacity by 2 MTPA at Ariyalur, Enhances Future Projects
The Ramco Cements Limited increased its Ariyalur plant's grinding capacity by 2 MTPA to 5.5 MTPA. Debottlenecking at Ramasamy Raja Nagar and Jayanthipuram will add 1.62 MTPA clinker and 1.7 MTPA cement by March-June 2026. The Kolimigundla expansion will increase cement capacity to 3 MTPA, with completion by March 2027.
The capacity additions are substantial and spread across multiple locations, indicating a strategic move to increase market presence and production capabilities, which can have a medium-term impact on the company's financial performance.
The announcement details significant capacity expansions and de-bottlenecking activities, which are positive developments for the company's growth prospects.
The Ramco Cements Limited has announced significant capacity enhancements across its plants. At its Ariyalur Plant in Tamil Nadu, the company has successfully de-bottlenecked the cement grinding system in both Line 1 and Line 2, increasing the combined cement grinding capacity from 3.5 Million Tonnes Per Annum (MTPA) to 5.5 MTPA. This enhancement was completed and resulted in a capacity addition of 2 MTPA.
The company is also undertaking de-bottlenecking activities at its plants in Ramasamy Raja Nagar, Tamil Nadu, and Jayanthipuram, Andhra Pradesh. At Ramasamy Raja Nagar, the proposed capacity addition is 0.62 MTPA for clinker and 1 MTPA for cement, expected to be completed before March 2026. At Jayanthipuram, the proposed addition is 1.01 MTPA for clinker and 0.7 MTPA for cement, expected to be completed before June 2026. These expansions will be financed through internal accruals.
Furthermore, the brownfield expansion project at Kolimigundla, Andhra Pradesh, initially planned for an additional 1.5 MTPA of cement capacity, has been enhanced to 3 MTPA. This project also includes 3.15 MTPA of clinker capacity and a 15 MW Waste Heat Recovery (WHR) system. The investment for this expansion is within the already sanctioned limit of ₹1,250 crores, to be financed through 70% borrowing and 30% internal accruals, and is expected to be completed before March 2027.
By the end of FY27, the company's clinker and cement capacities are projected to reach 20.72 MTPA and 31.14 MTPA, respectively.
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The Ramco Cements Limited filed this with the NSE as a statutory disclosure, categorised under other company updates. It is a primary document, not a recommendation, and the desk marks it medium impact: worth reading, rarely worth acting on by itself.
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See the model portfoliosA plain-language summary of a public exchange filing by The Ramco Cements Limited. Read the original for the full detail.