Birla Shakti Concrete rolls out expansion plans with new production lines in Chakan & Navi Mumbai
- Estimated total investment of Rs.600 million with hiring over 500 people by 2020
- Will add capacities to reach the total installed capacity of 20 lac cubic meters of concrete annually
- Expected turnover of 1000 Crores by 2025
February 23, 2016, Pune: Birla Shakti Concrete, Ready Mix Concrete (RMC) is promoted byKesoram Industries Limited, Cement Division of the flagship company of BK Birla group. It is embarking on an expansion drive after successful operations in Pune and today announced adding new green field RMC plants in Maharashtra by 2018
Company recently launched Birla Shakti Concrete in Nagpur and announced additions of two more plants in Navi Mumbai and Chakan, which are expected to be commissioned with a total investment of Rs.600 million by 2020. They will add nearly 13 lac cubic meters of concrete capacity, ramping up the aggregate capacity of the company to 20 lac cubic meters annually. The new plants will improve customer focus by catering not only to several core areas of their existing client base but also serve new customers in and around the western corridor including Hinjewadi, Wakad, Baner, Tathavade, Pimple Saudagar & Balewadi.
With this expansion, the company aims at accelerating its growth in concrete segment.
Speaking on the occasion, Mr. Abhijit Lunkad, Franchisee Promoter, Birla Shakti Concrete said, “Our expansion strategy is aimed at accelerating Birla Shakti Concrete’s organic growth momentum, while enhancing competitiveness and increasing our footprint across Maharashtra. Pune is fast emerging as a real estate hub and having a production
facilities positioned near our demand centers is a critical component of our business strategy and leaves us well placed for future growth”
Full commercial production at the new facilities is anticipated to start in 2018 The expansion will be funded by internal accruals and borrowings.
Mr. I. K. Purohit, Senior Vice President – Sales & Marketing, Birla Shakti Cement said,“Going forward, the supply of superior and consistent quality concrete tailored to specific industry requirements will be vital in creating innovative and sustainable building solutions. Our franchise agreement enables us to set up the right processes and technology in place to make us the partner of choice for our customers well into the future.”
“Our brand legacy coupled with in depth industry experience, expertise, and long standing relationships will further strengthen and expand our capacity to drive meaningful growth.”, he added.
The company’s existing facility in Wagholi is India’s largest and most advanced Ready Mix Concrete production facility. It produces the complete range of market-leading, high performance concrete mixes from M7.5 to M110 grades (including M10 pumpable concrete), designed to meet stringent IS Code specifications & new-age construction applications includingcustom light weight architectural and structural precast concrete.
Spread across an area of 25000 sq.mt., it houses a fully automated & computer-aided design manufacturing facility including Putzmeister Truck mounted Moli Pumps, Putzmeister Boom Placer 42m, a state of the art concrete testing lab, and Water Recycling plant. Single largest fleet of Liebherr Transit Mixers mounted on AMW vehicles, complete with GPS tracking systems, ensures prompt & timely delivery. The plant operates under most stringent, self-imposed quality control regimen in the industry and is acknowledged as the market leader for on-time delivery & commitment to excellence, strength and durability.
The market for Ready Mix Concrete is expected to grow by 20% in FY 2016/17.
Rapid urbanization, revival in infrastructure spending coupled with increasing use of new age construction techniques, conformity to BS norms and the trend of third party audits is pushing the demand for RMC market as well as spur the demand for higher-grade concrete mixes between M40 to M50, from the previous range of M30 in 2013/2014.
