BENGALURU (Reuters) - India's JSW Cement said on Tuesday it will invest around 30 billion rupees ($360.2 million) to set up a cement factory in the northern state of Rajasthan, in a bid to meet surging demand for the key construction material.
The investment comes at a time when Indian cement makers are ramping up production amid higher government spending in infrastructure and a healthy real estate market.
Market leader UltraTech Cement said last month that it will set aside $3.9 billion for ongoing capital expenditure over the next three years.
JSW Cement's proposed unit will supply cement to Rajasthan, Haryana, Punjab and the national capital region, marking the firm's entry into the country's northern market, which is dominated by Shree Cement and UltraTech.
According to its latest annual report, JSW Cement conducts its business in the eastern, southern and western regions of the country.
The new cement facility will include a clinkerization unit with capacity of up to 3.30 million tonnes per annum (MTPA) and a grinding unit with a capacity of up to 2.50 MTPA, the company said in a statement.
JSW Cement will fund the investment through a mix of equity and long-term debt, and expects to create 1,000 direct and indirect jobs, it added.
($1 = 83.2825 Indian rupees)
(Reporting by Hritam Mukherjee in Bengaluru; Editing by Varun H K)
