JK Lakshmi breaks ground on Umrangso cement plant; CM cites Rs 11,000 cr

The investor behind the cement project in Dima Hasao that Chief Minister Himanta Biswa Sarma travelled to on Friday has now been named. JK Lakshmi Cement Ltd held the groundbreaking ceremony for an integrated cement plant, called "Project Kamakshi", at Umrangso (19 Kilo village) on Friday, October 30, The Sentinel reported.

It is the company's first plant in Assam. Sarma was the chief guest, joined by Industries Minister Bimal Borah, Dima Hasao Autonomous Council Chief Executive Member Debolal Gorlosa and JK Lakshmi Cement chairperson and managing director Vinita Singhania.

How big is the project?

Two different figures have been attached to the project, and the difference matters. Before the ceremony, Sarma's posts and some reports described a cement unit worth Rs 1,800 crore. At the event, he spoke of "a project worth Rs 11,000 crore in Umrangso" that would be able to produce about 6 million tonnes of cement, according to The Sentinel.

The larger number matches the proposal the Assam Cabinet cleared on September 24: an investment of Rs 11,000 crore by JK Lakshmi Cement for a clinker manufacturing unit and four associated cement grinding units in the state. Sarma said then that it would create direct jobs for around 2,000 people, The Assam Tribune reported. The Rs 1,800 crore figure may refer to a first phase at Umrangso, but neither the company nor the government has published a phase-wise breakdown.

What Sarma said

Sarma said Assam had received investment proposals worth Rs 5.15 lakh crore under the Advantage Assam summit and that projects worth about Rs 3 lakh crore had since been brought to the ground. He said the Dima Hasao council would earn substantial royalties and that local people would get jobs.

He also asked the council to promote homestays and non-polluting hotels and resorts run by local people, and said the state was open to exploring an airport for the area if Karbi Anglong or Dima Hasao wanted one. He listed Dalmia, Adani Ambuja, Star, JK Lakshmi and Jindal among cement makers setting up plants in the region.

Land questions in Umrangso

JK Lakshmi was declared preferred bidder for the New Umrangso limestone block earlier this year. In September, residents of Umrangso 19 Km village asked the council to reduce the amount of village land in the roughly 200-hectare block, pay fair compensation for land and standing property, and fund need-based CSR work in the village. There has been no public update on how those demands were settled.

NEInsider reported on Friday that the Chief Minister was heading to Dima Hasao for the groundbreaking on the anniversary of the 2008 serial blasts. The company has not yet announced a construction timeline.