Thailand’s Siam Cement Group (SCG) has entered into a joint venture (JV) with Gujarat based BigBloc Construction (BCL) to commission a greenfield project to manufacture Aerated Autoclaved Concrete (AAC) Blocks and AAC panels.
For this purpose, a joint venture company – Siam Cement BigBlock Construction Technologies has been formed with 52% being held by the Gujarat company and 48% by SCG group. The JV will invest Rs 65 crore in Kheda district near Ahmedabad for manufacturing of new age building materials.
Mohit Saboo, director and chief finance officer of BCL said that land acquisition for the project has been completed and JV will be able to start commercial operation by the end of 2023.
BCL is the only listed company in the AAC Block space with a capacity of 5.75 lakh CBM per annum. During the year, the company laid down plans for installation of Greenfield projects at Wada (Maharashtra) and Ahmedabad (Gujarat).
“Expansion at Wada with 5 lakh CBM per annum is going on as scheduled and the company expects commercial production very soon,” said Saboo while addressing a press conference.
“SCG is having high expectations from the JV. It is the starting point for further opportunities for SCG in the fast-growing Indian market,” he said.