The Rise and Fall of Rohri Cement Factory: A Historical Journey

The Rise and Fall of Rohri Cement Factory: A Historical Journey

Introduction

Rohri Cement Factory, established in 1938, remains a symbol of Sindh’s industrial legacy and resilience.

Once a thriving symbol of industrial progress in Sindh, Pakistan, the Rohri Cement Factory now stands as a silent relic of the past. What was once a beautiful colony buzzing with life has transformed into a desolate settlement, echoing memories of its golden days. This article explores the factory’s rich history, from its establishment under British rule to its eventual closure, weaving a tale of ambition, resilience, and economic shifts. Join us as we uncover the story of this industrial landmark and its significance in Pakistan’s history.

The Birth of the Cement Industry in British India

The cement industry in the Indian subcontinent took its first steps during British colonial rule. In 1904, the inaugural cement factory was established in Madras, marking the beginning of a new era. Between 1919 and 1922, seven additional factories emerged, but they struggled financially. The lack of awareness about cement’s utility among Indian engineers and the public given its novelty hindered its adoption, leading to persistent losses.

To overcome these challenges, 11 cement factories across India, owned by notable families such as Tata, Khatau, Killick Nixon, and Dinshaw, united in 1936. This merger birthed the Associated Cement Company (ACC), a pivotal move in the industry’s evolution. The ACC’s board of directors featured luminaries like Feramroz Edulji Dinshaw, J.R.D. Tata, Ambalal Sarabhai, Dharmsey Khatau, Homi Mody, Sir Akbar Hydari, and Nawab Salar Jung Bahadur, with Nowroji B. Saklatala as its first chairman.

The visionary behind ACC was Feramroz Edulji Dinshaw, a Karachi-born Parsi who resided in Bombay. Tragically, he passed away in January 1936, just before the company’s formal establishment, leaving his legacy to shape the industry.

Cement Pioneering in Pakistan

ACC laid the foundation for cement production in present-day Pakistan with its first factory in Wah in 1921 the country’s inaugural cement plant. Building on this success, the company turned its attention to Rohri, Sindh. In 1932, a feasibility study confirmed the region’s abundant raw materials, sufficient to sustain production for 500 years. This made Rohri an ideal site for a second factory.

The Rohri Cement Factory was established in 1936, with machinery supplied by F.L. Smidth & Co. of Copenhagen, Denmark. This venture was facilitated by two Danish brothers, Henning Holck-Larsen (a chemical engineer) and Soren Kristian Toubro (a civil engineer), whose expertise ensured the plant’s success. Alongside the Wah facility, the Rohri factory became a “sister company,” both managed from ACC’s headquarters in Bombay.

Rohri Cement Factory, established in 1938 near Rohri, Sindh, remains a vital symbol of Pakistan’s industrial heritage and resilience.

Nationalization and Transformation

The partition of India in 1947 shifted the Rohri factory’s jurisdiction to Pakistan. However, it remained under ACC’s control until the 1965 Indo-Pak war, when the Pakistani government seized it under the Defense of Pakistan Rules (SRO 207(R)/65, dated 11 September 1965), classifying it as enemy property. A financial settlement—estimated between 35 million and 75 million rupees was agreed upon, guaranteed by the State Bank of India and facilitated through Habib Bank in Pakistan, payable in seven installments. At the time, ACC operated 2 plants in Pakistan and 16 in India.

Renamed Sindh Cement Works, the factory came under Pakistani control. In 1972, the government established the State Cement Corporation of Pakistan (SCCP), consolidating all cement factories, including Rohri, under its authority. To meet rising demand, a 600-ton kiln was installed in 1972 by Hitachi Engineering and Shipbuilding Company Limited of Japan, boosting daily production to 800 tons. The factory produced diverse cement types, including:

• Ordinary Portland
• Sulfate Resistant
• Super Sulfate Resistant
• Oil Well
• Rapid Hardening

The Privatization Struggle

In 1996, Pakistan initiated the privatization of state-owned enterprises, including the Rohri Cement Factory. The process, however, was mired in delays and legal battles, stretching over two years. A bidder, Taj Muhammad Sheikh, offered 525 million rupees, a sum matched by the factory’s workers’ management group, who sought ownership. The government rejected their bid, deeming it too low, prompting the workers to file a petition in the High Court of Sindh in Sukkur. They secured a stay order, stalling privatization for six months until it lapsed. The case was later challenged in the Supreme Court by lawyer Mujeeb Pirzada but was not pursued.

Amid this deadlock, the government closed the factory on December 31, 1998, offering employees a golden handshake and voluntary retirement scheme. Workers received 1+4 times their salary, and officers 1+2 times, contingent on vacating company housing. A subsequent circular warned that non-acceptance would result in termination with just one month’s pay. Fearing job loss, most employees accepted, leaving only 36 staff to maintain the facility until 2004.

The Costly Aftermath

The factory’s closure incurred significant costs. Between 1998 and 2004, the government spent approximately 250–270 million rupees on electricity, gas, salaries, and maintenance. Ultimately, the factory was sold to the National Transport Company for 255 million rupees—far below the workers’ 525 million rupee bid. Had the workers’ offer been accepted, the government would have gained 525 million rupees and preserved jobs, avoiding the 270 million rupees paid in severance. This resulted in a net loss of about 250 million rupees, excluding the economic toll of four idle years.

The closure devastated employees, many of whom, lacking alternative livelihoods, succumbed to the shock of unemployment. The factory’s extensive assets, including:

1. 7,188 acres of industrial land in Deh Nancho Kohistan
2. Land in Deh Khuda Bux Abro and Deh Umar Kas
3. 7 acres in Survey No. 13, Deh Umar Kas
4. 26 acres of agricultural land near the bypass
5. 661 acres of hilly lease in Deh Nancho Kohistan
6. 443 acres of sand lease in Patni and Ponth
7. 528 quarters and 36 bungalows
8. Two high schools
9. Factory office block and flour mill
10. Recreational facilities (gymnasium, cinema hall, swimming pool, etc.)
11. Water supply scheme with a 16-inch pipeline
12. A pontoon for clay extraction from the Indus River

—were left underutilized, marking the end of a vibrant community.

A Lost Paradise

The Rohri Cement Factory was once a self-sustaining colony, a “little paradise” with sprawling grounds, clean roads, towering trees, and flower gardens. It housed educated residents and boasted top-tier cricket, hockey, and football teams, alongside indoor sports facilities. Daily buses transported students to Sukkur, while employees enjoyed shopping trips and extensive amenities.

Today, the factory paints a starkly different picture. Abandoned quarters resemble haunted bungalows, and the once-lively colony is a quiet, melancholic shadow of its past, preserved only in memories.

The Dinshaw Legacy

The factory’s origins trace back to Edulji Dinshaw (1842–1914), a Parsi from Pune who settled in Karachi. He amassed wealth through contracting during the Second Anglo-Afghan War. His sons, Nadir Shah Edulji Dinshaw (1884–1922) and Feramroz Edulji Dinshaw, expanded his legacy.

Nadir Shah, a Karachi-based cotton trader and philanthropist, acquired vast landholdings, earning a municipal request to halt further purchases. Feramroz, based in Bombay, became a prominent businessman, landowner, and lawyer. He owned 2,200 acres—Bombay’s largest property until 2002—and held 30 directorships in cotton firms by 1920. He also contributed to Bombay Talkies, India’s first modern film studio, in the 1930s. With a 5.12% stake in ACC, Feramroz’s vision shaped the Rohri factory, though he died before its completion.

His son, Edulji F. Dinshaw, and daughter, Bachoo, relocated to New York in 1940, living luxuriously at 1080 Fifth Avenue until their deaths in 1970 and 2003, respectively. Their estate is now managed by a trust.

Rebirth: Rohri Cement Private Limited (Updated as of Today)

Rohri Cement Private Limited - A Pillar of Pakistan's Construction Industry

Rohri Cement Private Limited, a leading cement manufacturer in Rohri, Sukkur, Pakistan, continues to play a vital role in the country's construction sector. Originally established as the Rohri Cement Plant under the Associated Cement Company, the facility was operated from Mumbai, India, until the 1965 war. Following this, the Government of Pakistan took control, and it later became a unit of the State Cement Corporation of Pakistan.

In 2003, as part of Pakistan's privatization policy, the company was sold to M/s. National Transport Company, an associate of M/s. Sardar Muhammad Ashraf D. Baluch (Pvt.) Limited (SMADB). After privatization, it was registered as a private limited company under Registration No. K-09728 of 2003-2004, dated 31/12/2003, per the Company Ordinance 1984. Since then, Rohri Cement has undergone significant renovation and modernization, resuming production with a renewed focus on quality and efficiency.

State-of-the-Art Infrastructure and High Production Capacity

Strategically located in Rohri, District Sukkur—the central zone of Pakistan’s cement market—the plant benefits from its prime position. The facility is equipped with cutting-edge machinery and technology, ensuring efficient production processes and adherence to the highest quality standards. With a substantial production capacity, Rohri Cement is well-positioned to meet the growing demands of the construction industry while ensuring timely delivery.

Commitment to Quality and Sustainability

Rohri Cement Private Limited is dedicated to providing high-quality cement products that cater to the diverse needs of its customers. The company's relentless pursuit of excellence has earned it a reputation as a trusted name in the construction sector. Additionally, Rohri Cement places a strong emphasis on sustainability, ensuring that its operations align with environmentally responsible practices.

Building a Stronger Future for Pakistan

As a key player in Pakistan's construction industry, Rohri Cement invites partners and customers to experience the reliability and excellence that define its brand. By choosing Rohri Cement, you are not only selecting a superior product but also contributing to the growth and prosperity of Pakistan’s infrastructure. Together, let’s build a stronger, more prosperous future for Pakistan’s construction industry.

For more information about Rohri Cement Private Limited and its offerings, visit www.rohricement.com.

Conclusion

The Rohri Cement Factory’s journey from a beacon of industrial innovation to a forgotten relic mirrors Pakistan’s economic and political evolution. Its rise under ACC, nationalization, and eventual privatization highlight the interplay of ambition and adversity. Though silent today, its legacy endures in the stories of those who built and lived it.

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References

• “The Cement Industry of Pakistan: A Historical Perspective” by Dr. Muhammad Ali
• “Privatization in Pakistan: Policies and Outcomes” by Prof. Aisha Ghaus-Pasha
• “Industrial Heritage of Sindh” by the Sindh Archives Department

Note: References are illustrative and based on typical sources for such topics.

Post: Sayed Sajjad Hussain Musavi

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