NALCO's price reduction escalates, aluminium wire rod price sees a cut of INR5300/t

National Aluminium Company Limited (NALCO) has again curtailed its aluminium products prices in less than a week from the previous cut. With effect from Thursday, February 16, NALCO’s aluminium wire rod price has been reduced by INR 5,300 per tonne or 2.24 per cent to INR 231,050 -235,400 per tonne. On last Saturday, February 11, the price had seen a cut of INR 4,300 per tonne to INR 231,850-235,350 per tonne. This indicates the fact that NALCO has accelerated the rate of price cut in line with the intensity of LME aluminium price fall.

During February 10-15, the LME aluminium benchmark price fell by US$68 per tonne to close at U$2,367 per tonne. Like any other Indian aluminium giants, NALCO links its aluminium ingot and products prices to the three-month futures of aluminium on the London Metal Exchange.

The Navratna Company has chopped its aluminium billets price by INR 5,300 per tonne too, with effect from February 16, to sell the product at INR 231,000-233,650 per tonne versus INR 236,300-238,950 on February 11.

Aluminium ingot price is no exception but undergone a cut of INR 5,300 per tonne from INR 231,850-235,350 per tonne to INR 226,550-230,050 per tonne, with effect from February 16.

NALCO’s aluminium products and alumina account for nearly two-thirds of the company’s gross topline, while the sales of chemicals contribute to the rest. NALCO manufactures wire rods, billets, coils, and chequered sheets.