Dalmia Bharat has announced anc investment of ₹3,520 crore in Maharashtra and Karnataka augmenting capacity by 6 million tonne per annum (MTPA).

The company will establish a 3.6 MTPA clinker unit and a 3 MTPA grinding unit at its existing Belgaum plant, Karnataka coupled with a new greenfield split grinding unit with a capacity of 3 MTPA in Pune, Maharashtra.

The capex will be funded through a combination of debt and internal accruals, the company said in a statement.

With this expansion, Dalmia Bharat’s total installed cement capacity will increase to 55.5 MTPA, after considering the ongoing expansion in Assam and Bihar. These new units are expected to be commissioned by Q4FY27.

The Belgaum grinding unit will cater to the “under-served southern Maharashtra markets while enhancing share in the existing region by improving penetration. On the other hand, Pune grinding unit will entirely cater to the untapped western Maharashtra markets,” the company statement said.

According to Puneet Dalmia, Managing Director & CEO, Dalmia Bharat Limited, the investment is a “significant step in the Phase II expansion strategy”.

“The increase in our production capacity is primarily to meet the growing infrastructure demand in Western India,” he said.