One of the country's leading business conglomerates with presence in civil engineering and construction, Jaypee Group this week launched their brand Jaypee Cement in the city.
With an installed capacity of over 31 million tonne per annum (MTPA) from 24 cement plants across the country, Jaypee is set to increase its annual cement manufacturing capacity to 36 MTP with forays in the State and a new cement plant in Krishna district. “We are third largest cement manufacturer in the country and the new plant in Krishna district is designed for 5 MTPA,” said Narayan Rao, Senior General Manager (Marketing) while announcing the launch of Jaypee cement in the city.
A wide network was being set up to make the cement available across the State through more than 1,100 dealers. “Our cement is being placed in premium category and will be made available accordingly,” he said. The price of cement fluctuates like that of gold and as per present pricing, it would in the range of Rs.290 to Rs.300 per bag.
Value added services
Also, the company has plans to provide value added services for the customers and the same had been designed through an offer of onsite guidance, tips on good construction practices, concrete testing and educational programmes for masons.
Intertwined with real estate developments and also government projects, the cement consumption which went down couple of years back has started to pick up again. The revival of interest in the real estate in recent months started to get reflected in the cement demand going up.
Positive trend
“Cement consumption has been stable here last year at around 16 lakh tonne per month but it had come down from earlier 21 lakh tonne. The slowdown among other issues was the reason. The trend now is positive and it is picking up and it could go up to 18 lakh tonne,” said Mr. Rao.
Given the rise in costs of transportation and raw material, the price of cement too has been affected.
“There has been nearly 20 per cent rise in raw material costs and also transport costs which put cement prices in the country in the range of Rs.250 to Rs.300 plus and the price of cement in Andhra Pradesh is more or less in the range,” he added.
