Chunar Cement Factory (CCF) of Jaypee Group is located at Chunar, District Mirzapur in Uttar Pradesh. After being closed in 1998 due to huge losses, the factory was reopened in 2008 after an investment Rs 1,100 crore by the JP Associates .
Jaypee Group is the 3rd largest cement producer in India. The group produces special blend of Portland Pozzolana Cement (PPC) under the brand name ‘Jaypee Cement’. JP Associates had acquired this factory from the erstwhile state-run UP State Cement Corporation Ltd in 2005.
The group initiates the factory in 2008 with an initial production capacity of 1.5Mta of cement. However, they have a plan to enhance the capacity of 3Mta by 2010 .
The company’s cement division operates modern, computerized process control cement plants. Now the total cement generation capacity of the plant is about 2.50 MnTPA.
The company also planned to set up coal-based captive power plants at Chunar of 27MW and 38MW respectively to make these cement plants most cost effective. .
The factory has caused major pollution and water scarcity in the area after its inception. From 2009, people started complaining about the factory and its operation. The villagers had formed an organization called 'Jan Samasya Nivaran Samiti' to protest against the pollution and land acquisition by the factory. On September 29, 2009 the organization submitted their demands to the local Sub Divisional Officer (SDO). In their petition they complained that the factory was causing pollution in the surrounding areas. They also accused that the company has acquired land of poor villagers illegally. Above all villagers found the company responsible for the water scarcity in the Chunar area due to heavy extraction of ground water. In the peak of their protest, in October 2009 thousands of people clashed with the state police force while they were blocked the factory workers from entering into the factory premises. During the agitation a number of police men and the villagers were wounded. Police arrested agitating villagers including Mr. Rama Shanker who was leading the protestors .