Associated Cement Companies (ACC), country’s second largest cement maker, has decided to sale off its Mancherial Cement Works in Andhra Pradesh. The decision, which was taken by the ACC board today, will be placed before shareholders for their approval through postal ballot.
A K Jain, executive director, said the company was forced to take the sale off decision after the unit became economically unviable. " The unit at Adilabad district of Andhra Pradesh has been running with a production capacity of 2 lakh tonne, one lakh tonne less than the installed capacity. There is no room for expansion as the key raw material, lime stone, is in short supply in the vicinity of the plant. Above all, cement markets in Andhra Pradesh continue to be depressed, making little sense for us to continue with such a small unit."