Vedanta Goes Big on Aluminium: ₹13,226 Cr Expansion

Vedanta, led by Chairman Anil Agarwal, has announced a ₹13,226 crore investment to expand its aluminium production capacity from 2.4 million tonnes per annum (MTPA) to 3.1 MTPA by FY28—cementing aluminium as the cornerstone of its long-term growth strategy.

The expansion is aimed at meeting rising demand across key sectors such as electric mobility, renewable energy, infrastructure, and aerospace. The company targets an interim capacity of 2.75 MTPA by FY26, with full ramp-up to 3.1 MTPA by FY28. Its subsidiary, Bharat Aluminium Company (BALCO), is also poised to enter the one-million-tonne production club.

Holding over 50% share of India’s aluminium market, Vedanta has enhanced cost competitiveness through backward integration. Over the last 11 quarters, it has reduced production costs by nearly 24% (approximately USD 641 per tonne), driven by the expansion of its Lanjigarh alumina refinery and the ramp-up of captive coal mining operations.

With fully integrated operations across the value chain, Vedanta’s aluminium business is positioned for long-term cost resilience and operational stability.

News by Rahul Yelligetti.