Asbesto cement roofing firm HIL shifts focus to greener building products.

HIL Ltd., part of the $-1.6 billion CK Birla Group, is on a major diversification drive. It is moving from its traditional product of asbestos cement roofing towards new and green building substitutes such as autoclaved aerated concrete blocks and polymer products.

While the AAC blocks are a cheaper and a greener alternative to the red bricks used in construction, the company’s advanced polymer products are targeted as an alternative to the GI (galvanised iron) pipes used as plumbing pipes in buildings.

HIL, formerly Hyderabad Industries Ltd., spent a major slice of its capital investment of Rs. 80 crore last fiscal on setting up facilities for these new products, which are expected to add to its top-line this fiscal.

'Presently, our fibre cement roofing products account for 80 per cent of our revenue, while the green products make up the rest 20 per cent. We see this ratio becoming 60:40 in the next three to four years,' Abhaya Shankar. Managing director, said.

Last fiscal, the firm's turnover slipped to Rs. 960 crore from Rs. 1,160 crore in the previous year because of tepid market demand, policy paralysis in certain sectors and the elections.

HBL