Nalco’s aluminium ingot price down by over INR 2000/t after two consecutive hikes

National Aluminium Company Limited (NALCO) has cut its aluminium ingot and product prices with effect from Wednesday, July 8, following two consecutive hikes on June 20 and July 1. Nalco’s aluminium ingot price has been reduced by INR 2,100 per tonne or 1.5 per cent to INR 138,050-141,550 per tonne. After the last marginal hike of INR 100 per tonne on July 1, the company’s aluminium ingot price was in the range of INR 140,150 – 143,650 per tonne.

Nalco’s aluminium billet price after the latest cut has come in at INR 141,750-144,150 per tonne, down by INR 1850-2100 per tonne from INR 143,600- 146,250 per tonne, as of July 1. Nalco’s aluminium wire rod price has been decreased from INR 144,750-148,000 per tonne to INR 141,550-145,900 per tonne.

Indian aluminium producers generally link prices of its products to the three-month futures of aluminium on the London Metal Exchange. Currently, the three-month futures of aluminium are down by over 9 per cent due to slower global demand following the coronavirus outbreak. Aluminium prices are expected to remain under pressure due to the Coronavirus pandemic.

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.