SIAM Cement BigBloc Construction Technologies planning commercial operations at Kapadvanj unit

December 21, 2023 11:30 am

SIAM Cement BigBloc Construction Technologies, a joint venture between BigBloc Construction Ltd and Thailand’s Siam Cement Group, is set to launch its AAC Blocks and ALC panels plant in Gujarat.

SIAM Cement BigBloc Construction Technologies Pvt Ltd a joint venture between Gujarat-based BigBloc Construction Ltd and Thailand’s Siam Cement Group (SCG) expects commercial operation of its first plant at Kapadvanj, Gujarat in the next 3-4 months. The joint venture company will manufacture AAC Blocks and ALC panels at the facility and will market its products under the brand name ‘ZMART BUILD’. 

Key officials of SCG Group and BigBloc Construction including, Mr. Jirapat (DMD and Green Biz Director) – SCG, Ms. Smitthida, Marketing Manager – SCG, Mr. Palapong Palarith – Technical Advisor – SCG, Mr. Akkharaphon Tipphayawong – Director, SCG India and Mr. Naresh Saboo, Managing Director, BigBloc Construction and Mr. Manish Saboo, Head – Marketing & Strategy, BigBloc Construction visited the factory site to update on the progress of the plant construction.   

In 2021, BigBloc Construction entered into a strategic Joint Venture with Siam Cement Group (SCG) of Thailand for setting up a 3 lakhs cubic meter (CBM) per annum state-of-the-art manufacturing facility for ALC Panels and AAC Blocks at Kapadvanj, Ahmedabad (Gujarat). BigBloc Construction holds 52% in the joint venture company while 48% with SCG. This is SCG Group’s first investment in India.

Established in 1913, SCG is one of the largest cement and building material companies in Thailand and Southeast Asia and ranks 2^nd in 2021 Forbes list.

Total investment in the Kapadvanj project is estimated at Rs. 65 crore. At full capacity the plant is expected to generate revenues of around Rs. 100-125 crore per annum. The Joint venture Company – SIAM Cement Big Bloc Construction Technologies Pvt Ltd acquired 60,000 square meter land for the project, completed banking tie-up for financing the project and ordered machinery & technical services for the plant.

Mr. Naresh Saboo, Managing Director, BigBloc Construction Ltd said, “The joint venture aims to share techno-commercial knowledge, promote mutual growth & cooperation in the construction industry and bring new age building materials to Indian markets. In its initial phase, the venture plans to establish a plant with an annual capacity of 3 lakh cubic meters for AAC Blocks and ALC Panels. Subject to approval from both joint venture parties, the project has the potential to expand to 5 lakhs CBM per annum in the second phase.”

Mr. Jirapat, DMD and Director – Green Business, SCG International Corporation Co. Ltd said, “We are pleased with the current developments at the plant, where construction is progressing rapidly and nearing completion. The company has already initiated the procurement of plant and machinery, with the first batch anticipated to arrive soon. SCG International plays a pivotal role as the forefront of SCG Group’s ventures in emerging markets, and we are optimistic that this initial endeavor will pave the way for additional opportunities in the rapidly expanding Indian market.”

Incorporated in 2015, BigBloc Construction Ltd is one of the largest and only listed company in the AAC Block Space with an installed capacity of 8.25 lakhs cubic meter per annum. Company’s manufacturing plants are located in Umargaon (Vapi) and Kapadvanj (Ahmedabad) in Gujarat and Wada (Palghar) in Maharashtra. It is among very few company in AAC industry to generate carbon credits.

Mr. Manish Saboo, Head – Marketing & Strategy, BigBloc Construction Ltd said, “Moving forward, SCG and BigBloc aims to collaborate on a comprehensive range of Building Material Solutions to enhance the supply chain in India, capitalize on each other’s capabilities, and deliver exceptional solutions to the construction industry.”