Hindalco’s aluminium wire rod & billets prices decline by INR15500/t in response to bearish LME price

In response to the sharp fall in LME aluminium benchmark price by US$181.50 per tonne on March 15, Hindalco Industries Limited has slashed its aluminium ingot and aluminium products prices, with effect from March 16. Hindalco’s aluminium wire rod price has experienced a cut of INR 15,500 per tonne or 5.03 per cent to INR 292,850 per tonne. On March 15, the price stood at INR 308,350 per tonne, seeing a decline of INR 5,250 per tonne.

Hindalco’s aluminium billets price has also been reduced by INR 15,500 per tonne, with effect from March 16, to stand at INR 295,850 per tonne versus INR 311,350 per tonne on March 15. The latest cut has brought the company’s aluminium ingot price to INR 281,750 per tonne as against INR 297,250 per tonne on the previous day.

Hindalco links its aluminium ingot and aluminium products prices to the three-month future of aluminium on the London Metal Exchange, which nosedived on March 15 to US$3,217.50 per tonne. On a month-on-month basis, the price stood dipped by US$5.50 per tonne from US$3,223 per tonne.

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