Hindalco and Vedanta cut their aluminium billets & wire rod prices by more than 1% with effect from April 17

A day after increasing the aluminium products prices by INR 7,000 per tonne on April 16, both Hindalco Industries Limited and Vedanta Limited reduced the prices by a little more than 1 per cent with effect from April 17, 2021. Hindalco’s aluminium wire rod price came in at INR 210,350 per tonne on April 17, representing a decline of INR 3,250 per tonne or 1.52 per cent from INR 213,600 per tonne. Vedanta, on the other hand, decreased its aluminium wire rod price by INR 3,000 per tonne or 1.43 per cent from INR 210,000-217,500 per tonne per tonne on April 16 to INR 207,000-214,500 per tonne on April 17.

Hindalco’s aluminium billets price and Vedanta’s aluminium billets price also witnessed a cut of INR 3,250 per tonne and INR 3,000 per tonne, respectively, to INR 206,350 per tonne and INR 207,500 per tonne with effect from Saturday, April 17.
Since the latest slash, Hindalco is selling its aluminium ingot price at INR 199,250 per tonne compared to INR 202,500 per tonne on the previous day, while Vedanta is selling at INR 199,500-212,500 per tonne in comparison with INR 202,500-215,500 on April 16.

Both Hindalco and Vedanta link their aluminium products and aluminium ingot prices to the three-month futures of aluminium on the London Metal Exchange, which on Friday, April 16, declined to US$ 2,308.50 per tonne after four consecutive days of hikes from US$ 2,254 per tonne to US$ 2,328 per tonne.

Aluminium operations of Hindalco, excluding those of its US arm Novelis Inc, generally account for nearly half of its total sales and 70% of its operating profit. 

Vedanta’s aluminium business typically accounts for one-third of the company’s consolidated sales. Vedanta has a stake in Bharat Aluminium Co Ltd and smelters at Jharsuguda in Odisha. It commands a 40% share in India's primary aluminium market.