The first phase of the calcium aluminate cement production facility being set up by Kerneos India Aluminate (KIAPL) in Visakhapatnam, Andhra Pradesh could be completed in 2014.

The company is setting up the facility at Atchuyutapuram in Visakhapatnam on a 20 acre land bought from the AP Industrial Infrastructure Corporation (APIIC).

It will have 30,000 ton capacity per annum and of this 90 percent is for domestic sale, while only 10 percent would be for export, said a top official of the firm.

The Rs 120 crore-first phase project would be completed in 2014 and the company plans to double the capacity later as part of expansion.

Currently, India imports the product used for improving castable refractories from China, France and the United Kingdom.

The new facility of CAC at the Visakhapatnam is expected to help in reduction of freight, and production cost for clients in the eastern belt.

Meanwhile, the company plans to set up bauxite based cement facility in Gujarat, as the state has high bauxite deposits. However, it may take time, as the company's current focus is to start its Visakhapatnam operation.