Aditya Birla Group-owned Hindalco Industries announced in its annual general meeting on August 22 that it would invest $10 billion in capacity expansions. Chairman Kumar Mangalam Birla distinctly outlined his plans for ongoing and near-term projects related to aluminium and copper smelters, including the Aditya flat-rolled product plant, a new alumina refinery in Rayadaga, and the Bay Minnette expansion in Novelis.
Chairman said one of Hindalco's key expansion plans includes scaling up Aditya Aluminium smelter capacity by approximately 200,000 tonnes in Odisha, requiring a significant portion of power through renewable energy sources.
In addition, Hindalco is establishing a greenfield alumina refinery in Rayagada, Odisha, with the first phase having a capacity of 850,000 tonnes and expected to be commissioned in FY2026-27. All these expansion plans are aligned with India's soaring domestic demand for aluminium. According to a research report, the Indian aluminium market in 2023 was valued at around US$11.28 billion and is predicted to reach US$19.76 billion by 2030, with a CAGR of 7.6 per cent from 2024 to 2030.
Mr Mangalam also noted its investment in the rolling and recycling project in Bay Minette to equip it with the most advanced, cutting-edge technologies, ensuring the plant becomes automated and posts Novelis in an advantageous position in the market. Birla said that the plant has already secured long-term contracts for the new beverage packaging capacity, which is likely to begin commissioning in the second half of the calendar year 2026.
Mr Mangalam even highlighted that Hindalco's net profit in Q1 FY2025 jumped by 25 per cent year-on-year, amounting to INR 3,074 crore. Revenue from aluminium upstream and downstream businesses increased by 9.6 per cent and 18 per cent, respectively, said the company in an exchange filing on August 13.
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