Vedanta and Hindalco cut prices of aluminium ingots in line with falling LME prices

According to trade sources both Vedanta and Hindalco have cut prices of their products on November 14 and November 15.

Vedanta Ltd has cut prices of aluminium ingots by 1% with effect from November 14. The company had cut prices by over 1% last week as well. With this price cut, prices of Vedanta’s products are at their lowest level since mid-August. Prices of ingots are now down 4% for the quarter. The three-month aluminium price in London Metal Exchange has fallen 4% since the start of the quarter and stood at US$ 1944.50 per tonne on November 15. After the cut, the price for Vedanta aluminium ingot stands at INR 1,58,250 (USD 2199) per tonne, down from INR 1,59,750 (USD 2220) per tonne on November 13.

Hindalco Industries Ltd is also reported to have cut the prices of aluminium products by more than 1%, effective November 15. 

The basic price of Hindalco’s P1020 Grade Ingots/Sows stands at INR 1,56,400 (USD 2174) per tonne on November 15, down from INR 158400 (USD 2201) per tonne on November 13. Prices of Hindalco’s aluminium products are now at their lowest level since mid-August. The company’s product prices have dropped over 4% in third quarter from the 2nd. This is in line with price of three-month futures of aluminium on the London Metal Exchange, which have declined more than 4% so far this quarter. Aluminium business accounted for 50% share in Hindalco’s sales and 70% of its operating profits in FY18.