UltraTech Cement, India’s largest cement manufacturer, has announced plans to venture into the wires and cables industry with an investment of ₹1,800 crore over the next two years. The company aims to begin production by December 2026, with a manufacturing facility set to be established in Bharuch, Gujarat.
This move marks UltraTech’s strategic decision to expand its presence within the construction value chain, a step that Chairman Kumar Mangalam Birla views as an opportunity to offer more comprehensive solutions to customers in the construction sector. While the company is venturing into new territory, it will continue to prioritize growth in its core cement business.
UltraTech’s board has approved the plan to enter the cables and wires segment through its building products division, signaling the company’s intention to diversify its portfolio and strengthen its position as a leading provider of building solutions. The company will leverage its expertise in manufacturing and its strong customer connections to deliver high-quality wires and cables.
This expansion follows a broader trend within the Aditya Birla Group, which is already active in various sectors of the construction value chain, including cement, metals (via Hindalco Industries), and paints (via Grasim’s recent entry into the market). Hindalco’s metal products, essential in wire and cable production, further integrate the group’s footprint in this new business.
UltraTech is positioning itself to serve a wide array of sectors, including residential, commercial, infrastructure, and industrial applications. The wires and cables industry has shown impressive growth, with a compound annual growth rate (CAGR) of approximately 13% from FY19 to FY24, providing a strong foundation for UltraTech’s entry.
The company did not specify its target for market leadership, though it has historically aimed for top-2 positions in the sectors it operates in. With the industry shifting from unorganized to organized players, UltraTech sees this as an attractive opportunity for a trusted new entrant to gain market share.
In the cement industry, UltraTech remains the dominant player with a production capacity of over 175 million tonnes per annum. Its approach to the wires and cables business may increase competition, especially with industry leader Polycab India already well-established in the sector.
