Vedanta raises its aluminium products prices by over 3% in line with LME aluminium price surge above US$2300/t

Vedanta Limited has increased its aluminium ingot and aluminium products prices for the fifth time in a row with effect from Friday, April 16. In tandem with the continuous surge in LME aluminium benchmark price, the company has sharply increased the prices of its products by INR 7,000 per tonne after a week of the last price hike.

Vedanta's aluminium wire rod price are hovering in the range of INR 210,000-217,500 per tonne, up by INR 7,000 per tonne or 3.45 per cent from INR 203,000-210,500 per tonne on April 9. The company’s aluminium billets price has also been raised by INR 7,000 per tonne from INR 203,500 per tonne on April 9 to INR 210,500 per tonne on April 16.

Vedanta is currently selling its aluminium ingot at INR 202,500-215,500 per tonne compared to INR 195,500-208,500 per tonne last week.

Vedanta links its aluminium products and aluminium ingot prices to the three-month futures of aluminium on the London Metal Exchange, which in the last four days (April 12-15) increased by US$ 78 per tonne. As of April 15, the LME aluminium price soared above US$ 2,300 per tonne to stand at US$ 2,328 per tonne. On a year-on-year calculation, the price is up by US$ 858.50 per tonne or 58.42 per cent.

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.