Vedanta cuts its aluminium ingot and product prices by INR1750/t after raising them for six times in a row

Vedanta has reduced the prices of its aluminium ingot and aluminium products with effect from Wednesday, November 25, after increasing them for six times in a row till a week ago. The company has cut its aluminium prices in tandem with the downtrend of global aluminium benchmark price on the London Metal Exchange. With the latest cut, Vedanta’s aluminium ingot price has come in at INR 164,750–177,750 per tonne, down by INR 1,750 per tonne from INR 166,500-179,500 per tonne on last Thursday, November 19.

The company has cut its aluminium wire rod price by INR 1,750 per tonne as well. Thus, the price is now hovering at INR 172,250–179,750 per tonne, as against INR 174,000-181,500 per tonne on November 19.

Vedanta’s aluminium billet price is at INR 172,750 per tonne, as of November 25, compared with INR 174,500 per tonne last week.

Vedanta links its aluminium ingot and aluminium product prices to the three-month futures of aluminium on the London Metal Exchange, which after November 19, decreased by US$ 18.50 per tonne from US$ 1983 per tonne to US$ 1964.50 per tonne, as of November 24.

Nonetheless, LME aluminium three-month futures price is currently up by US$ 192.50 per tonne or 10.86 per cent since the beginning of 2020.

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.