Dalmia group firm to invest Rs 500 crore in Junglemahal
Kolkata: OCL India Ltd, a cement company owned by the Rs 5,600-crore Dalmia group, would set up a 1.3 million tonnes grinding facility at an investment of Rs 500 crore in the West Midnapore district of West Bengal.
"We have got 200 acre in Jungelmahal area for a 1.3 million tonnes grinding facility and construction work is on," managing director of Dalmia Cement (Bharat) Ltd (DCBL) Punit Yadu Dalmia told a press conference here on Friday.
He said the project cost would Rs 500 crore and would provide direct employment to 400 to 500 people. "Nearly 80 percent of the employees will be locals," Dalmia said.
The plant would be commissioned by the end of December this year, he said.
Dalmia Cement (Bharat) owns 45 percent stake in OCL.
To a question, he said that he was pleasantly surprised to find that the company was not facing any problem in the erstwhile Maoist-infested area.
"Initially I was scared. But the reality is totally different from perception," Dalmia said.
At present, DCBL has plants in the North East (Assam and Meghalaya), Tamil Nadu and Andhra Pradesh with a total capacity of 17 million tonnes.
"We are setting up a plant in Karnataka at an investment of Rs 1,300 crore with a capcity of 2.5 million tonnes," Dalmia said.
The plant would be operational by March 2014, he said.
Besides, DCBL would infuse another Rs 500 crore in the North-eastern plants to upgrade equipment.
Cement business contributed 70 percent of the total revenue of the group.
Regarding North India, Dalmia said the company is open to selective acquisitions there.