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New cement player in Nepal

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World Cement,

In Nepal, a revamped cement plant is set to commence commercial production next week. Arghakhanchi Cement has a capacity of 1200 tpd of clinker and 1000 tpd of finished products, according to reports, and required an investment of Rs.3 billion. The plant has been in operation for four years, supplying clinker to local cement plants.

Arghakhanchi Cement is owned by Siddhartha Group (35%), Muraka Group (30%) and Kediya Group (17.5%) – all local firms – while Indian company Uma Cement International owns the remaining 17.5% share. The three Nepalese investors have their own cement operations. They originally acquired Arghakhanchi Cement as Dynasty Cement, renamed it and imported modern machinery to expand its capacity.

The plant includes a diesel power plant to support production and avoid the problems posed by power shortages. It will produce OPC and sell it in 50 kg bags at a fixed price of Rs.630 per bag (before tax). The company has opted for laminated bags to ensure product shelf life. It will reportedly provide employment for 600 people.

Rajesh Kumara Agrawal of the Siddhartha Group told press the company would like to increase production at the plant to 2400 tpd of clinker, but that authorities were hesitant to grant permission for the expansion because of the plant’s location close to a UNESCO World Heritage site. “We have used the latest technology to reduce pollutants and harmful emissions,” he said. “The officials should take into account our efforts to reduce pollution and permit us for capacity expansion.”

Edited from various sources by


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