National Aluminium Company Limited (NALCO) has continued to reduce the prices of its aluminium ingot and aluminium products for the second time in a row after two weeks on January 1, 2021. With the latest cut, NALCO’s aluminium ingot price has come in at INR 167,450-170,950 per tonne, down by INR 4,900 per tonne from INR 172,350-175,850 per tonne on December 18. NALCO’s aluminium ingot price on December 18 was down by INR 1,400 per tonne from the previous day, meaning the price cut on January 1 expanded by INR 3,500 per tonne.
NALCO’s aluminium wire rod price has also been cut by INR 4,900 per tonne from INR 175,850-180,200 per tonne on December 18 to INR 170,950-175,300 per tonne on January 1. NALCO’s aluminium billets price is standing at INR 170,900-173550 per tonne, down by INR 4,900 per tonne as well from 175,800- 178,450 per tonne two weeks ago.
NALCO, like any other Indian aluminium producers, links its aluminium ingot and aluminium products prices to the three-month futures of aluminium on the London Metal Exchange, which after December 18 fell from US$ 2049 per tonne to US$ 1978 per tonne, as of January 31, 2020. So, currently, the LME aluminium three-month futures price is up by US$ 206 per tonne or 11.63 per cent from the beginning of 2020.
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.
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