Udayapur Cement Industry Limited, a government-owned enterprise based in Jaljale, has produced over Rs 550 million worth of cement within a week of resuming operations after a six-month shutdown. Despite grappling with daily power cuts lasting up to six hours, the factory managed to produce 3,600 metric tons of clinker—enough to yield around 70,200 sacks of cement.
The plant resumed kiln firing on April 24 (Baisakh 12) following extensive repairs and maintenance. Acting General Manager Mahesh Sah said frequent power disruptions have posed a major challenge, forcing the kiln to be refired multiple times. “If electricity is cut for over 30 minutes, the system shuts down and needs to be completely refired,” Sah explained.
Although the kiln has been operational for around two weeks, four of those 12 days were lost to power interruptions. Still, in seven to eight effective working days, the factory produced clinker valued at approximately Rs 550 million at current market prices.
The company has decided to retain its pre-shutdown pricing of Rs 750 per sack for its Gaida brand cement, undercutting private manufacturers that are charging over Rs 800 per sack. According to Sah, this pricing strategy aims to regain market share after the lengthy production halt. Gaida Cement is reputed for being more durable and of higher quality than many private brands.
Though the clinker is ready, cement sales have not yet begun. The company plans to launch sales in bulk once production stabilizes. While the plant’s full capacity is 800 metric tons per day, it is currently producing at around 350 metric tons daily due to power shortages and aging machinery. On the initial days, production ranged between 250 to 400 metric tons.
The factory had stockpiled enough coal and diesel to support operations at full capacity for 12 days. Given the reduced output, the fuel reserves are expected to last an additional five days. Cement sales are expected to start soon once adequate inventory is built up.