Lafarge Invests $115 Million in New Plant

2006-10-09 00:00:00

< DIV > October 8, 2008, Lafarge India has signed a contract with an investment of 5.1 billion rupees (about 115 million US dollars) to expand its cement plant in Chhattisgarh.

< DIV > Chhattigarh Industries Minister Rajesh Munat revealed: "Lafarge India on Friday signed a MoU with the Chhattisgarh government to invest Rs 51 for its Sonadih plant in Raipur district."

< DIV > According to Munat, the Sonadih plant currently has an annual production capacity of 1.4 million tons; after the expansion, the plant will have a production capacity of 1.6 million tons; the project is expected to be completed in December 2007.

< DIV > In May this year, the public protested against cement producers who raised the price of cement by 25-30%. At the time, Chhattisgarh's Bharatiya Janata Party (BJP) had rejected Lafarge India's investment offer.

< DIV > Munat said Lafarge's expansion project would create more jobs in the state and the state government would fully support Lafarge's work in India. Lafarge has three cement plants in India, two in Chhattisgarh and one in Jharkhand, since it started operations in India in 1999 with the acquisition of the cement division of India's Tata Steel (TISCO). Based on these three cement plants, Lafarge India currently has a total annual production capacity of 5 million tons.
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