State Market Demand

N1 Uttaranchal 4.3 Max

N2 Haryana 11.7 N1 24.5 19.6
N1 Punjab 13.4 N2 39.6
N2 Rajasthan 19.6
N1 Himachal Pradesh 3.8 E1 33.6 15.6
N1 Chandigarh 0.6 E2 20
N2 Delhi 8.3
N1 J&K 2.4 S1 49.3 27.1
E2 Assam 2.6 S2 42.6
E1 Bihar 10.3
E1 Jharkhand 6.2 W1 62.5 39.7
E1 Orissa 9.8
E2 West Bengal 15.6 C1 48.7 33.6
E1 Chhatisgarh 7.3
E2 NE states 1.8
S1 Andhra Pradesh 27.1 Assumption:
S2 TN 26.3 1 We are planning to open mfg plants in city outs
S1 Karnataka 22.2
S2 Kerala 15.4
S2 Pondicherry 0.8
S2 Andaman & Niconbar 0.1
W1 Goa 1.2
W1 Gujarat 21.6
W1 Maharashtra 39.7
C1 UP 33.6
C1 MP 15.1
320.8

Cement Freight Rates Rs. 3.45 per km per Tonne

The Client needs to choose each plant's capacity from 3 options:
Capex Requirement for Mfg Plant 1 Mn T 2 Mn T 6 Mn T
Per Tonne Capex (INR) 9100 7800 5200
Total Capex (INR Mn) 9100 15600 32100
Fixed Opex INR Mn 303 520 1040
Assume variable costs per Tonne like material, labor are constant across plants
i.e. they do not change with the decision of putting up one large plant or
several smaller ones.
Ignore raw material costs and availability for this calculation.
Can assume the demand to be located in the largest city of each state or region
 Max
Rajasthan Haryana Punjab Rajasthan Delhi

West Bengal Bihar Orissa West Bengal

Andhra Pradesh Andhra Pradesh TN Karnataka Kerala

Maharashtra Gujarat Maharashtra

Gandhinagar (dholera)
UP UP MP

anning to open mfg plants in city outskirts or industrial area.

State Major Centre:
MP  Katni, Jamul, Satna, Durg, Maihar, Neemach
 Andhra Pradesh Vijayawada, Karimnagar, Cementnagar, Krishna, Adilabad
Rajasthan Hopur, Chittorgarh, Udaipur,Pali
 Karnataka  Bhadravati
Gujarat Porbandar,Somnath
Jharkhand Sindri
 Uttar Pradesh Churk, Dalla
 Punjab Bhupendra Nagar
Maharashtra  Chandrapur
West Bengal  Durgapur
 Himachal Pradesh Solan,
Kerala Cochin
 Chhattisgarh  Raipur