NE BUSINESS BUREAU
AHMEDABAD, DEC 8
Thailand’s Ambassador to India Pattarat Hongtong on Wednesday heaped praise on Gujarat government for its ease of doing business policy and conducive environment for setting up industries.
She was speaking at the announcement of a 52:48 joint venture between a Thailand-based SCG International Corporation Company Ltd’s Indian arm SCG India Ltd and Gujarat-based BigBloc Construction Ltd.
- Thailand’s Ambassador to India Pattarat Hongtong heaps praise on Gujarat government for its ease of doing policy and conducive environment for setting up industries.
- The Joint Venture between SCG and Big Bloc has selected Gujarat for the first maiden FDI from Siam Cement Group into India: Abhijit Datta, Managing Director of SCG International Corporation co. Ltd said.
- Setting up 3 lakh cubic meter per annum facility with an estimated capex of Rs. 65 crore to bring new age AAC Panels to India
- SCG Intl. India Pvt Ltd. will hold 48% in the Joint Venture and BigBloc Construction Ltd. will hold 52%
Having spent some time exploring the Indian market, SCG Intl. decided to partner with Big Bloc and selected Gujarat as the first location for SCG investment, giving the positive work culture, investment friendly environment and other favourable factors. The JV has selected Gujarat for the first maiden FDI from Siam Cement Group into India.
Managing Director of SCG International Corporation Co Ltd Abhijit Datta said, “SCG International Corporation, which is a reputed International supply chain company (with presence in 20 countries) and part of SCG Group is a leading business conglomerate in ASEAN with asset more than 27 Billion USD will hold 48% in the joint venture with 52% being held by BigBloc Construction Limited. Total investment in the project is estimated at Rs. 65 crore. This is the first JV formed by SCG in India.”
Delighted to be at launch of JV betw/ SCG Intl. @ZmartBuild 🇹🇭 & Big Bloc 🇮🇳 to construct ALC Block and reinforced concrete panels production facility, first from Thai company in India!, along w/ @RTCGinMumbai. Through partnership, 🇹🇭 aim to play key role in 🇮🇳 economic success👍🏻 pic.twitter.com/S84yO6cnAi
— Thailand in India (@ThailandinIndia) December 7, 2022
“SCG Intl India has been actively operating business in Gujarat by supplying plasterboard liner to most Gypsum board plants Pan-India with Vol. around 15,000 MTPA whilst sourcing approx. 2 million sqm. of ceramic & bathroom fittings annually from Morbi. We have already started marketing our Building Materials and Services under the brand name “Zmartbuild” and have launched dedicated India website at https://www.zmartbuild.com/in/ to showcase our wide range of products and service solutions. SCG INTL. acts as a spearhead for SCG Group in emerging markets and we have high expectations that this initial move will be the starting point for further opportunities in the fast growing Indian Market,” Datta added.
BigBloc Construction Limited, one of the leading players in the manufacturing of Aerated Autoclaved Concrete (AAC) Blocks, Bricks and Panels has completed land acquisition for its joint venture with SIAM Cement Group (SCG). Company has acquired land for setting up 3 lakh cbm per annum facility for ALC Panels and AAC Blocks at Kapadvanj, Kheda District near Ahmedabad, Gujarat. The plant is expected to start commercial production in Calendar Year 2023.
Commenting on the development, Naresh Saboo, Managing Director, BigBloc Construction Ltd. said, “We are happy to announce that company has completed land acquisition and necessary due diligence for the Joint Venture plant at Kapadvanj with SCG International Corporation. The joint venture also aim to share techno-commercial knowledge, promote mutual growth & cooperation in the construction industry and bring new age building materials to Indian markets. In the first phase, it plans to set up 3 lakh CBM per annum plant for AAC Block and ALC Panels. Company is confident to start commercial production from the plant in Calendar year 2023. The project can be expanded to 5 lakhs CBM per annum in the second phase with approval from both joint venture parties. Going further SCG and BigBloc shall work jointly on all the Building Material Solutions to strengthen supply chain in India, leverage each other capability and provide exceptional solutions to the Construction Industry.”
“Post completion of both expansion, company’s total capacities will increase to 13.75 lakh cbm. per annum making the company one of the largest players in the country. Company expects to generate around 3 lakh tons of carbon credit every year post the expansion. Expansion will help company to further penetrate its presence into untapped markets across the western regions and also make it the largest player in India. Use of AAC blocks are expected to grow stupendously in the coming years owing to increased awareness, growth in the infrastructure sector and preferences for low-cost houses amongst the builders and architects and several beneficial attributes of AAC blocks over red clay and fly ash bricks,” said Mohit Saboo, Director & CFO, BigBloc Construction Ltd.
