Sanitaryware major CERA is planning to ramp up its tiles production capacity. Having already set up a 10,000sqm tile manufacturing facility in Andhra Pradesh in JV with Anjani Tiles, the company is eying another plant in Rajasthan. It has finalised the details, and construction of the plant is expected to begin towards the end of 2016.

Commenting on the development, Cera’s executive director Atul Sanghvi informs, “We are planning for a new tiles plant at Rajasthan and are in the process of getting the land. We expect construction to begin from December.” He adds that investment could be to the tune of R 75-80 crore including the cost of land. However, whether a local partner would be roped in or not hasn’t been decided yet.

Cera has posted net sales of RS 934 crore in the year ending March 2016. Throwing light on the contribution of various segments on the company’s revenue, Sanghvi informs that sanitaryware constitutes around 62%, tile about 21%, wellness 14% and about 3% comes from mirrors. “Few years ago the industry was expanding at a CAGR of 30% but it has shrunk to 15%. We are focusing at improving margins and bottomline.”