UltraTech: cementing an all-round success story

As the post-pandemic global economy gathers momentum, optimism is in the air again. Among those bullish on growth is UltraTech cement, the cement flagship of Aditya Birla Group. Driven by the buoyant economic sentiment and an anticipated boom in India’s construction sector, the company has rolled out an ambitious expansion agenda. These plans are supported by UltraTech’s all-round focus on growth parameters like innovation, digitalisation, sustainability and diversity.

Gearing for growth

The Indian economy recently made news for becoming the world’s fifth-largest. Experts also predict that India’s growth will lead the global economic rebound in the coming years. An important indicator of the improved domestic growth outlook is the rise in demand for cement.

With India doubling down on infrastructure, rural housing, and urbanisation projects, its cement industry is expected to add 80-100 million tonnes in capacity by FY2025. UltraTech, the country’s largest cement producer, is gearing up for this demand by speedily ramping up its capacity.

Earlier this year, UltraTech announced that it would add another 22.6 million tonne per annum (MTPA) in production capacity by FY-2025. This latest round of expansion, which involves an investment of Rs129 billion, will take UltraTech’s overall capacity to 159.25 MTPA. At this size, the company will continue to be the world’s third-largest cement producer outside of China.

Innovating for excellence

UltraTech’s market leadership stems from its ability to continuously push the envelope on R&D. In the recent past, the company has been able to develop and add newer cement and concrete alternatives in its portfolio.

Some of its most recent R&D innovations include:

Ultra-high-performance concrete that improves strength in high-rise buildings

Concrete that supports 3D printing applications

Corrosion-resistant concrete

India’s first scented putty

Ultra-lightweight floating concrete varieties for niche applications

With an eye on upcoming consumer trends, UltraTech is also incorporating smart materials in cement applications that allow for wall cooling in hotter environments, colour-changing photochromic additives, and ultraviolet-reflective coats.

Digitally driven

The rising popularity of digital technologies is allowing UltraTech to create smarter, more interactive customer ecosystems. These ecosystems empower stakeholders (such as dealers and builder partners), improve efficiencies and drive collaboration, setting UltraTech apart in its industry.

Some of its digital initiatives include:

One UltraTech (Trade Connect) – a dealer platform for placing orders, real-time tracking, and data visualisation

UltraTech Prashikshan Pahal – an app that provides simplified construction-related knowledge for all, especially masons

Utec – India’s first end-to-end resource platform for home-builders

Utec Partners – an app that bridges the gap between home-builders and partners (e.g., engineers, architect, contractors, etc.)

In the coming years, these and other digital initiatives will keep UltraTech’s customers and partners at the core of its business.

Sustainable pathways

In line with Aditya Birla Group’s emphasis on sustainable growth, UltraTech has adopted stringent environmental targets.

UltraTech is currently 3.8 times water positive – which means that it restores to nature nearly four times the water it uses. It is also ‘plastic negative’, since a lot of its plastic waste is used as fuel in its cement kilns. In fact, the company sources solid waste from 80+ municipal organisations across India, besides industrial and other waste, as alternative fuel for its operations.

To achieve greater circularity in its operations, the company also reuses the fly ash generated through its captive power plants as an input in cement manufacturing.

In addition, UltraTech has taken strides towards decarbonising its operations. In the next decade, the cement giant will slash its Scope 1 greenhouse gas emissions by 27%. Using various mitigation technologies, UltraTech will also deliver ‘carbon-neutral concrete’ by 2050 or earlier. By the same year, it will meet 100% of its power requirements from renewable sources (from ~18% at present).

UltraTech also benchmarks itself with the world’s best companies on sustainability. It is ranked seventh in S&P’s Dow Jones Sustainability Index (DJSI) in the construction materials category globally.

Making diversity work

Success is a team effort. And UltraTech is an organisation that emphasises workplace diversity and equal opportunities for all employees, regardless of background or affiliation.

A great example of diversity is its all-woman RMC (ready-mix concrete) manufacturing plant near Pune. Since March this year, the RMC has become the only such unit in India to be run entirely by a team of women. Steps like these break the notion that manufacturing or construction are ‘male’ sectors, and underline Aditya Birla Group’s philosophy of nurturing an inclusive work culture.

Towards the future

For nearly two decades, UltraTech has remained Big in the Life of customers and partners. As India steps into another exciting phase of growth, UltraTech will support the nation’s need for housing, roads, and other infrastructure in its aspirational quest for a thriving tomorrow.