More Stories

Informist, Tuesday, May 27, 2025

 

--Sources: Star Cement eyes more limestone mines in Rajasthan

--Sources: Star Cement eyeing 3-mln-tn clinker unit in Rajasthan

--Sources: Star Cement eyes 4.0-4.5 mln tn production capacity in Rajasthan

 

By Avishek Rakshit

 

KOLKATA – Star Cement Ltd. is eyeing more limestone mines in Rajasthan in the upcoming auctions to foray into the state in the next few years. The company plans to set up grinding and clinker units with an installed capacity of 4-4.5 million tonnes, including around 3 million tonnes of clinker capacity, officials in the know of the matter told Informist.

 

In the cement industry, grinding units refer to plants which get readymade clinker which is ground into cement. On the other hand, clinker plants process the limestone into clinker.

 

The company, which is heavily focussed on north-east and eastern India, bagged six limestone blocks in Nimbol in the Beawar district of Rajasthan last October. These limestone blocks are spread across 95.7 hectares and together hold an estimated limestone reserve of around 64 million tonnes.

 

However, officials said that Star Cement wants to set up operations in Rajasthan with substantial production capacity and, hence, is in need of more limestone blocks. The company's Chairman and Managing Director, Sajjan Bhajanka, could not be reached over the phone for a comment.

 

Officials said Star Cement will tread cautiously and obtain all the necessary permits to commence production operations in Rajasthan before it rushes towards setting up plants in the state. The decision follows Star Cement's internal analysis of the north-eastern market where it sees no need to come up with new clinker units in the next four to five years.

 

Currently, Star Cement's production capacity stands at 7.7 million tonnes per annum, of which 5.7 million tonnes is in the north-east, and the balance 2 million tonnes in Siliguri in northern West Bengal. The company is setting up one grinding unit each in Silchar and Jorhat in Assam, which will increase the company's total cement manufacturing capacity to 12 million tonnes once these two plants are completed.

 

The 2-million-tonne Silchar plant is expected to commence operations in 2025-26 (Apr-Mar), and the Jorhat unit is expected to be commissioned in FY27, officials said. The company is targeting to reach a cement production capacity of 25 million tonnes by 2030. To ramp up capacity, Star Cement will spend over INR 8 billion as capital investment in FY26, and another INR 6 billion in FY27.

 

Industry officials said that as many as 14 limestone blocks are up for auction in Rajasthan. Of these 11 are in Jaisalmer, two in Nagaur, and one in Kota and will be auctioned in July. However, the auction of four limestone blocks in Jaisalmer is being put on hold by the government, industry officials said.

 

According to the Cement Manufacturers Association, Rajasthan accounts for over 12%, or 85-90 million tonnes, of the 700 million tonnes total installed cement capacity in India, making the state the largest cement producer in the country. The state also holds around 13% of the proven limestone reserves of over 19 billion tonnes.

 

At 1400 IST, shares of Star Cement traded flat at INR 220 on the National Stock Exchange.  End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Deepshikha Bhardwaj

 

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

 

Informist Media Tel +91 (22) 6985-4000 /+91 (11) 4220-1000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2025. All rights reserved.