Market leader UltraTech Cement, along with Dalmia Bharat and Nuvoco Vistas Corp-the fourth and fifth largest cement producers-are boosting total capex by around 14% compared to FY26. The three companies have earmarked about ₹15,000 crore towards capex in FY27, with UltraTech alone accounting for two-thirds.
“West Asia situation is near-term cost moderator, not a structural demand reversal,” Atul Daga, chief financial officer, UltraTech, said recently. “The structural drivers are firmly in place, India’s urbanisation story, the government’s infrastructure commitment… Mumbai City itself spending about $60 billion in improvement of infrastructure, the PMAY housing targets, rising rural demand, none of these have been diluted by the West Asia crisis.”
Dalmia Bharat’s capex target of ₹3,400 crore includes unspent capital from the previous year. “Capacity expansion and becoming a pan-India player is a key strategic priority,” said Puneet Dalmia, managing director. “All our announced projects in South and West are progressing well.”
Nuvoco Vistas, which has increased its planned capex by 26% to ₹900 crore, will be utilising most of the capital for the refurbishment of its Vadraj plant.
On the other side of the camp is Adani Group-owned Ambuja Cement, which will be cutting capex by up to 20% this fiscal, to ₹6,000-6,500 crore. “…Our capex has not been up to the mark, and that’s one of the reasons why we are pausing and correcting ourselves, and we want to first complete our projects that we have taken in our hand before we start any new projects,” said Karan Adani, director.
Shree Cement, the third-largest cement producer, acknowledged slowing down capex plans to ₹1,500 crore for FY27. “Even in the last concall of one of our competitors, they have also slowed their aggression. So, we will ride the wave as it is,” said Ashok Bhandari, senior advisor.