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31 JULY 2019 AL CIRCLE

Vedanta aims to increase aluminium export to more than 50 per cent of its production

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

According to a recent report, Vedanta Limited aims to export more than half of its aluminium production to international markets, as the imports of the metal to India is continually increasing. According to the company’s annual report for FY2019, only 30 per cent of the company’s sales were in the domestic market, while imports comprised 58 per cent of India’s consumption during that period. India’s aluminium imports in FY2019 peaked at 2.3 million tonnes, resulting in a forex outgo of $5.5 billion or one per cent of total imports by value.

Vedanta to increase aluminium export

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“Over the last few years we have observed a surge of aluminium scrap imports," said Ajay Kapur, chief executive officer (aluminium and power) of Vedanta Ltd.

He also said, "We, as an industry, are working with the Indian government seeking support to protect the domestic primary industry from increasing scrap import. The domestic market continues to be our key focus for maximising sales in India”.

Vedanta has aluminium production capacity of 2.3 million tonnes per annum in its smelters in Odisha and Chhattisgarh. At the end of the financial year 2018-19, Vedanta’s aluminium production was at 1.96 million tonnes after growing 17 per cent year-on-year.

“Vedanta boosted its sales to Japan and South-East Asia in 2018. International sales to our established customer base in other key Asian, European and North and South American markets also grew, increasing by 30 per cent to 1.3 million tonnes this year”, the annual report noted.

Red Mud Report

“These will continue to be our focus area, apart from specific value-added product sales in Europe and USA. We do not see Rusal-related developments to significantly impact our exports to these geographies," Kapur said.

Besides, Vedanta is also reportedly sharpening its focus on the sales of multiple alloy variants for both domestic and export markets.

“Aluminium billets, which are majorly used in building & construction as well as the transportation industry is one of the most sought-after value-added products. Vedanta, with its stronghold on quality has created an established base of customers globally. With over 20 plus variants, our billets have made a strong mark in the global extrusion industry”, said Kapur.


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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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