+
Vedanta To Invest Rs 132 Billion To Boost Aluminium Capacity
ECONOMY & POLICY

Vedanta To Invest Rs 132 Billion To Boost Aluminium Capacity

Anil Agarwal-led Vedanta Ltd plans to invest Rs 132 billion to expand its aluminium production capacity to 3.1 million tonnes per annum (MTPA) by FY28, up from the current 2.4 MTPA, according to industry sources.
Anchoring aluminium at the core of its growth strategy, Vedanta aims to ramp up capacity in phases — first reaching 2.75 MTPA by FY26, and achieving 3.1 MTPA by FY28. The investment will be spread over the next few years, underscoring the company’s confidence in aluminium’s role in India’s industrial future.
Aluminium, the world’s second most consumed metal after steel, is gaining prominence in electric mobility, renewable energy, urban infrastructure, and aerospace. Vedanta, which holds over 50 per cent of India’s aluminium market share, expects the segment to remain its largest earnings contributor, supporting its target of USD 8–10 billion EBITDA at the group level by FY28, according to a recent stock exchange filing.
Sources added that BALCO, Vedanta’s subsidiary, is also on track to join the one-million-tonne production club.
The company has reduced its aluminium production cost by nearly 24 per cent, or USD 641 per tonne, over the past 11 quarters. This improvement has been driven by backward integration through the Lanjigarh Refinery expansion and captive coal mines, enhancing cost efficiency and operational resilience.
Vedanta’s aluminium operations are fully captive, an uncommon global practice that allows the company to maintain low-cost manufacturing and withstand geopolitical volatility.
Industry experts note that aluminium demand in India is poised for sharp growth, fuelled by government initiatives such as ‘Make in India’, ‘100 per cent rural electrification’, ‘Housing for All’, and ‘Smart Cities’.
“Aluminium is increasingly becoming the backbone of the energy transition. With its scale and integration, Vedanta is well-positioned to meet India’s domestic demand while remaining globally competitive,” said an industry expert.

Anil Agarwal-led Vedanta Ltd plans to invest Rs 132 billion to expand its aluminium production capacity to 3.1 million tonnes per annum (MTPA) by FY28, up from the current 2.4 MTPA, according to industry sources.Anchoring aluminium at the core of its growth strategy, Vedanta aims to ramp up capacity in phases — first reaching 2.75 MTPA by FY26, and achieving 3.1 MTPA by FY28. The investment will be spread over the next few years, underscoring the company’s confidence in aluminium’s role in India’s industrial future.Aluminium, the world’s second most consumed metal after steel, is gaining prominence in electric mobility, renewable energy, urban infrastructure, and aerospace. Vedanta, which holds over 50 per cent of India’s aluminium market share, expects the segment to remain its largest earnings contributor, supporting its target of USD 8–10 billion EBITDA at the group level by FY28, according to a recent stock exchange filing.Sources added that BALCO, Vedanta’s subsidiary, is also on track to join the one-million-tonne production club.The company has reduced its aluminium production cost by nearly 24 per cent, or USD 641 per tonne, over the past 11 quarters. This improvement has been driven by backward integration through the Lanjigarh Refinery expansion and captive coal mines, enhancing cost efficiency and operational resilience.Vedanta’s aluminium operations are fully captive, an uncommon global practice that allows the company to maintain low-cost manufacturing and withstand geopolitical volatility.Industry experts note that aluminium demand in India is poised for sharp growth, fuelled by government initiatives such as ‘Make in India’, ‘100 per cent rural electrification’, ‘Housing for All’, and ‘Smart Cities’.“Aluminium is increasingly becoming the backbone of the energy transition. With its scale and integration, Vedanta is well-positioned to meet India’s domestic demand while remaining globally competitive,” said an industry expert. 

Next Story
Infrastructure Transport

MMRDA Installs 325-Tonne Steel Spans on Mumbai Metro Line 4

The Mumbai Metropolitan Region Development Authority (MMRDA) has achieved a key construction milestone on Metro Line 4 with the successful installation of three large steel spans at Bhandup West during overnight operations.The spans, together weighing 325 metric tonnes, were launched using eight heavy-duty cranes and 12 multi-axle vehicles. The operation required precise engineering and meticulous planning to minimise disruption in the densely populated suburban area.Due to effective inter-agency coordination, the work—originally scheduled across four nights—was completed within just two n..

Next Story
Infrastructure Transport

CMRL Targets March 2027 Opening for Vadapalani–Panagal Park

Chennai Metro Rail Limited (CMRL) is progressing as scheduled to open the Vadapalani–Panagal Park section of Phase II’s Corridor 4 by March 2027. The 3.5 km underground stretch is part of the 26.1 km Corridor 4 connecting Lighthouse with Poonamallee Bypass.Construction activities are advancing steadily, with tunnelling works between Vadapalani and Panagal Park already completed. Track-laying operations are expected to commence shortly. At Panagal Park station, structural works have reached the concourse and platform levels, while excavation continues at the lowest level.CMRL is also consid..

Next Story
Infrastructure Transport

Maha-Metro Invites Pune Metro Civil Maintenance Bids

Maharashtra Metro Rail Corporation Limited (Maha-Metro) has invited bids for the annual civil maintenance contract of the Pune Metro Rail Project. The tender, bearing ID and number P1-O&M-20/2025, is scheduled to close on 23 February 2026, with a pre-bid meeting slated for 10 February 2026. The earnest money deposit (EMD) for the contract is Rs 3,50,500, and the duration of the contract is one year.The scope of work includes annual civil maintenance of 28 elevated and underground stations, 28.079 km of elevated viaduct including steel bridges, 12.15 km of tunnels, and two depots under the ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Open In App