KATHMANDU: Kajaria Ramesh Tiles Ltd, Nepal's largest tile manufacturing 50:50 joint venture between Kajaria Ceramics Ltd and Ramesh Corp, has announced the successful financial closure of the consortium agreement.
They have successfully secured substantial funding of Rs 3 billion for their ambitious project valued at approximately Rs 4 billion.
The consortium agreement was led by Everest Bank in collaboration with three other prominent financial institutions — Nabil Bank, Nepal SBI Bank, and Prabhu Bank. Ramesh Corp Vice Chairman Rohit Gupta and Everest Bank CEO Sudesh Khaling signed the agreement.
With a visionary commitment to making Nepal self-reliant in the production of vitrified tiles and ceramics, Kajaria Ramesh Tiles has embarked on a greenfield project for tile manufacturing in Nepal. This ambitious venture is conducted as an equal joint venture with Kajaria Ceramics, India's foremost and the seventh-largest tile manufacturer in the world. This project is dedicated to producing high-quality Kajaria Tiles within Nepal's borders. The state-of-the-art manufacturing plant, situated in the Nawalparasi district, will emerge as Nepal's largest tile production facility with an impressive 8 million-square-metre production capacity. Their facilities will incorporate cutting-edge modern technology, aligning with international standards, to ensure that their products are of unparalleled quality.
Kajaria Ramesh Tiles has emphasized its commitment to utilising locally available raw materials, thereby supporting the local economy and fostering sustainable production practices. The company's objective is to enrich the lives of people in Nepal by providing them with the finest quality Kajaria floor tiles, seamlessly blending technological expertise with exquisite design.
The primary objectives of this joint venture extend beyond business success. They aspire to make Nepal self-sufficient in meeting its tile demand, create employment opportunities for the local populace, and contribute to national economic development. Kajaria has garnered a global reputation for excellence in quality, service, and innovation. Through this collaboration, they intend to make Kajaria products affordable to all while maintaining their unwavering commitment to superior quality.
As the progress towards finalising the financial aspects of this Consortium Agreement has taken place, they are pleased to report that their factory construction is proceeding at a rapid pace. They anticipate that it will be fully operational by March 2024. Kajaria Ramesh Tiles is expected to play a pivotal role in shaping the future of Nepal's tile and ceramics industry, contributing to the nation's growth and prosperity.
