Chief Minister of Odisha inaugurates the expansion of Hindalco’s Utkal Alumina refinery

On 16th September 2021, the Chief Minister of Odisha Naveen Patnaik virtually inaugurated Utkal Alumina refinery’s expansion of production capacity from 1.5 MTPA to 2 MTPA at Doraguda, Kashipur in Rayagada district.

Aditya Birla Group, the parent company of Utkal Alumina has injected around INR 1,500 crore for the expansion of the refinery. The company foremost invested around INR 8,500 crore to set up the existing refinery in 1993.

The alumina refinery is receiving bauxite from its captive mine Baphlimali. Naveen said: “We are very happy that investors in Odisha are expanding their existing projects even after the impact of Covid-19.”

“This shows that our economy is bouncing back from the impacts of the pandemic and we are back on the path of sustained growth and development,” the Chief Minister said by adding that the state has pulled investments to the tune of over INR 4.5 lakh crore since the pandemic.

Naveen Patnaik also praised Odisha’s association with Aditya Birla group during the meeting through videoconference, in the presence of Group Chairman Kumar Mangalam Birla and Satish Pai, Hindalco’s Managing Director.

He further requested the metal and manufacturing company to guide their ancillary units and associates to visit the state and explore more opportunities to invest in the state as it will support the development of an industrial ecosystem.

The inaugurated expansion unit is employing more than 500 people through direct and contractual roles. However, Aditya Birla group employs more than 12,000 people in Odisha, which accounts for more than 10% of its global workforce.

The Aditya Birla Group Chairman quoted: “The group has invested over INR 30,000 crore in the state in diverse sectors like metals, mining, cement, financial services, fashion and retail.”

“We plan to deepen our presence in Odisha. The group will invest about INR 7,200 crore across various businesses. For Hindalco, we have earmarked an investment of INR 3,000 crore to set up a flat-rolled product (FRP) plant, a downstream unit at Hirakud. We are committed to partner with the Odisha and the people in our quest for collective prosperity,” said Birla.

Satish Pai said: “The expansion and the FRP unit will make Odisha home to one of the largest, most modern FRP plants in the world with advanced technology from its American subsidiary Novelis.”

“The development will accelerate the pace of employment generation in technology, transportation, packaging and logistics and boost business for ancillary industries. Globally, India is the third-largest producer of aluminium. With Hindalco’s additional capacities, Odisha will produce two-third of that metal,” the MD added.

The Odisha state government had approved Hindalco’s proposal in January 2020 for a second Greenfield alumina refinery unit at Kansariguda in Rayagada district with an investment of INR 8,000 crore.