According to reports from CNBC TV18, RHI Magnesita has officially entered into a joint venture agreement with Khemka Refractories Pvt. Ltd. on Thursday, June 25 to establish a refractory recycling facility in Odisha. The partnership aims to expand the recovery and reuse of spent refractory materials in India, with RHI Magnesita holding a 51% stake and Khemka Refractories owning the remaining 49% of the joint venture. As per RHI Magnesita India Ltd (RHIM), the proposed facility will focus on refractory recycling and industrial minerals activities, supporting sustainable industrial growth and strengthening domestic supply chains.
As reported by CNBC TV18, the proposed facility is strategically located near major steel clusters in Odisha, expected to improve access to spent refractory materials while reducing transportation costs and logistics complexity. The facility's positioning is designed to support the rapidly growing demand for closed loop sustainable solutions in the Indian refractory market by creating an integrated recycling supply chain. According to RHI Magnesita India, the venture combines the company's global expertise in refractory recycling with Khemka's established regional presence and supplier network.
According to the joint venture announcement, the facility will focus on recovery, processing and reuse of spent refractory materials from steel plants. The operation is expected to increase the availability of high-value recycled raw materials for refractory production and other industrial applications, while providing customers with customized recycling and enhanced sustainability solutions. Refractories are heat-resistant materials used to line furnaces, kilns and reactors in industries such as steel, cement and glass, which are essential consumables for steelmakers and typically need periodic replacement.
As reported by CNBC TV18, the joint venture represents a significant step toward establishing sustainable manufacturing practices in India's refractory industry. The facility's location near major steel clusters positions it to serve the growing demand for environmentally conscious manufacturing solutions, with the project expected to support efforts to reduce dependence on virgin raw materials, improve resource efficiency and lower carbon emissions across industrial value chains. For India's expanding steel industry, greater availability of recycled refractory materials could help improve supply security and reduce input costs over time. According to RHI Magnesita India, the project is expected to enhance supply chain resilience and accelerate the transition toward a circular economy in India.
Parmod Sagar, Chairman, MD & CEO, RHI Magnesita India Ltd., emphasized that India is one of the world's fastest-growing industrial markets and as the market leader in refractories, RHI Magnesita is committed to deepening its technological investment in the country. He stated that the time is right to build an ethically compliant circular economy platform that brings trust, quality, innovation, consistency and scale to raw materials management for refractories and other industrial markets. Alok Khemka, Director, Khemka Refractories Pvt. Ltd., expressed delight at partnering with RHI Magnesita in this pioneering initiative for the Indian refractory market, highlighting their operational capabilities, strategic location in Odisha and well-established supply network. The company will subscribe to 10,000 equity shares of Re 1 each in cash at the time of incorporation, subject to regulatory approvals and fulfillment of conditions under the joint venture agreement.
