Coimbatore, Feb 15 (PTI) To meet the increasing demand for Autoclaved Aerated Concrete (AAC) blocks, Ronaatus Procon Pvt Ltd of Erode has started a manufacturing plant in Perunduai in nearby Erode district, with an investment of Rs 100 crore.

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The commercial production of the company's Renacon AAC blocks, will begin by the end of the March this year, its Chairman and Managing Director R P Selvasundaraman told reporters here on Tuesday..

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The company, which forayed into AAC block manufacturing in 2012, with a plant in Arcot with a capacity of 1.5 lakh cubic meter (CBM), expanded in 2019 in Tirunelveli with a capacity of another 1.8 lakh CBM and now with increasing demand, started the plant in Perundurai with a production capacity of five lakh cubic metres, he said.

Focusing mainly on Tamil Nadu and Kerala markets, the capacity utilisation of the new plant will be met in another two and half years, he said.

The objective of the company was to support the ailing construction industry with available alternative to conventional walling materials like red bricks, cement blocks of fly ash bricks, Selvasundraman said.

As part of its expansions, the company is carrying out a survey in Madhya Pradesh and North East to set up new plants, he said.

With the present market share of 26 per cent in Tamil Nadu and Kerala, the company expects to increase it by another 15 per cent in another two years, he added.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)