Dalmia Bharat Breaks Ground on ₹3,100 Crore Green Cement Plant

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Dalmia Bharat Limited has laid the foundation stone for its second cement manufacturing facility in Kadapa, Andhra Pradesh, marking a major expansion of its production capacity and reinforcing its commitment to sustainable manufacturing. The project involves an investment of ₹3,100 crore and will establish one of the company’s most advanced integrated cement plants.

The foundation stone was laid in the presence of Nara Lokesh, Minister for Information Technology, Electronics & Communications, Real Time Governance and Human Resources Development, Government of Andhra Pradesh, along with Puneet Dalmia, Managing Director and Chief Executive Officer of Dalmia Bharat Limited, senior government officials and company executives. Scheduled for commissioning in the third quarter of FY2027-28, the new facility will be Dalmia Bharat’s largest integrated manufacturing unit in southern India. It will have a clinker production capacity of 6.1 million tonnes per annum (MTPA) and a cement manufacturing capacity of 9.6 MTPA. The project is expected to generate around 1,000 direct and indirect employment opportunities while supporting the growing demand for cement across southern India.

Designed as a next-generation manufacturing facility, the plant will operate on more than 80 per cent renewable energy and recycle its entire water requirement, significantly reducing its environmental impact. The company said the project reflects its long-term strategy of building energy-efficient and resource-conscious manufacturing facilities that support low-carbon infrastructure development.

Speaking on the occasion, Nara Lokesh welcomed the investment and said Dalmia Bharat’s continued expansion in Andhra Pradesh reflects the state’s strong industrial ecosystem and investor-friendly policies. He noted that the project would create employment, strengthen local industries and contribute to the state’s economic growth while promoting sustainable industrial development.

Puneet Dalmia said Andhra Pradesh has played an important role in the company’s growth over the past decade. He credited the state’s stable policy environment, infrastructure and ease of doing business for encouraging further investment. He added that the new facility has been designed to set new benchmarks in efficient and sustainable cement manufacturing. The project, he said, will help meet India’s growing infrastructure needs while supporting the country’s environmental goals through the production of low-carbon cement.

Beyond manufacturing, the expansion is expected to create business opportunities for local MSMEs, transporters, contractors and service providers. Dalmia Bharat also plans to strengthen its community development programmes in the region through initiatives focused on education, healthcare, skill development and rural development.

Dalmia Bharat is one of India’s leading cement manufacturers with an installed capacity of 54.7 million tonnes. Operating across 19 manufacturing units in 12 states, the company is recognised for maintaining one of the lowest carbon footprints in the global cement industry and remains the first cement manufacturer worldwide to commit to the RE100, EP100 and EV100 sustainability initiatives.