Adani Cement Crosses 100 MTPA Capacity, Outlines Ambitious Cost and Sustainability Targets

Adani Cement crossed 100 million tonnes per annum (MTPA) in manufacturing capacity, reaching 107 MTPA, making it the ninth-largest global building-materials solutions provider.

This milestone has been achieved in less than three years of organisational integration, reflecting both the accelerating demand landscape and the strategic clarity behind the brand's expansion playbook.

As analysts have observed over the last 12 months, the pace of Adani Cement's expansion has begun to reshape competitive dynamics in India's building materials sector, particularly in capacity planning and technology adoption.

Industry watchers noted that the company's integrated approach, built on scale, sustainability, and digitalisation, has pushed the sector to reimagine what is possible within compressed timelines.

The organisation's next leap is already underway.

With debottlenecking efforts targeting an incremental 15 MTPA at relatively low capital intensity, its 2027-28 capacity target has been revised upward to 155 MTPA from 140 MTPA.

The rapid integration of recently acquired assets, including Orient, Penna and Sanghi, further reshaped its operational footprint, strengthening presence across high-growth regional clusters.

The company's listed entities, Ambuja Cements, ACC and Orient Cement, also delivered standout performance through the year.

Ambuja reported its highest-ever Q2 series volume, at a record 16.6 MT, in the second quarter of 2025-26. ACC registered a strong 10 MT in the same quarter, its highest-ever Q2 series volume.

These volume gains were paired with strengthening financial fundamentals. Ambuja Cements' net worth rose sharply by Rs 12,969 crore to reach Rs 63,811 crore at the close of 2024-25 and climbed further to Rs 69,493 crore by the second quarter (Q2) 2025-26.

The growth signalled not just the benefits of operational scale but also the robustness of the Group's integrated supply chain and disciplined cost approach.

The synergies among Adani Group companies helped reduce total costs by 5 per cent year-on-year, even as kiln fuel costs were maintained at Rs 1.65/'000 kilocalorie (Kcal), among the lowest in the global peer set.

The company targets a total cost of Rs 4,000 PMT by the end of March 2026, and a further 5 per cent reduction year-on-year for the next two years, to achieve Rs 3,800 PMT by the end of March 2027, and Rs 3,650 PMT by ethe nd of March 2028.

Adani Cement has reiterated that the Goods and Services Tax (GST) rationalisation in September 2025, which brought cement under the 18 per cent slab, was fully passed on to customers.

This, according to Adani Cement, has helped expand the reach of premium cement among customers, raising its share of trade sales to 35 per cent today.

Branding initiatives and cultural engagement programmes energised contractor and influencer networks, while stakeholder engagement initiatives such as CEO Club, DHANVARSHA, SamvAAAd, and NirmAAAnotsav strengthened relationships.

New partnerships with CREDAI (Confederation of Real Estate Developers' Associations of India) and the Builders Association of India (BAI) added further depth to the ecosystem, Adani Cement noted.

Adani Cement's accelerating digital transformation was another defining theme of 2025.

The launch of CiNOC--its central intelligence and operations command--embedded AI-driven decision-making into the heart of plant, logistics, and commercial functions. This was complemented by the institutionalisation of the Adani Workplace Management System (AWMS), which reinforced the company's RESQ (Reliability, Environment, Safety, Quality) philosophy across sites.

Market experts also believe that such systemic investments in automation, AI-driven controls, and future-focused capability building will shape the next decade of cement manufacturing in India.

The organisation also invested heavily in talent and skilling. FutureX--one of the largest industry-academia initiatives in the sector--was launched with 400+ institutes and schools, engaging 4 lakh+ students nationwide to build awareness and aspiration for careers in manufacturing, technology and sustainability.

"Our focus is not just on growing capacity, but on redefining how capacity should be created--responsibly, efficiently and with a long-term view of the planet," said Vinod Bahety, CEO, Adani Cement. "The next chapter of our industry will be shaped by electrification, digital intelligence, and deep decarbonisation, and we are committed to leading that transition with credibility and purpose."

The organisation also noted that it reported 12x water positivity and 11x plastic negativity, a critical reflection of the cement sector's shifting approach toward resource stewardship and circularity.

Over the past 12 months, Adani Cement has continued to supply materials for some of India's most high-profile national projects.

These included the Chenab Railway Bridge in Jammu and Kashmir, Navi Mumbai International Airport, and the world-record raft pour at Umiya Dham in Ahmedabad. National and global recognitions--ranging from being named among India's 'Most Trusted Cement Brands' to global ESG awards--added to its credentials as a dependable infrastructure partner.

- ANI