Now Reading: Gravita India plans ₹64 crore copper recycling capacity expansion
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Gravita India plans ₹64 crore copper recycling capacity expansion
Gravita India will add 59,200 tonnes per annum of copper recycling capacity at its Mundra facility in Gujarat, investing ₹64 crore entirely from internal accruals. The phased expansion is scheduled for completion…
Gravita India will add 59,200 tonnes per annum of copper recycling capacity at its Mundra facility in Gujarat, investing ₹64 crore entirely from internal accruals. The phased expansion is scheduled for completion by March 31, 2029, and will serve as backward integration for the company's upcoming Mandvi copper recycling plant.
The move follows Gravita's ₹561.84 crore acquisition of a 99.44% stake in Rashtriya Metal Industries Ltd in July 2026, which marked its entry into copper alloys. The company reported consolidated revenue of ₹1,475.06 crore for Q1 FY27, up 41.8% year-on-year, with net profit rising 14.3% to ₹106.37 crore. The Mundra expansion is part of Gravita's strategy to diversify beyond lead recycling into higher-margin non-ferrous metals.
Indian Opinion Analysis
Gravita India already derives most of its revenue from lead recycling, but margins in that segment are thinning as raw material costs rise. Copper recycling offers better realisation, especially as India's non-ferrous scrap imports, over 5 lakh tonnes annually, keep growing. The Mundra location is strategic: the port gives direct access to containerised copper scrap from West Africa, Europe and the Middle East, bypassing inland logistics bottlenecks. Backward integration means the Mandvi plant will get semi-processed feed from Mundra, cutting tolling costs by an estimated 8, 10%. Watch Gravita's Q2 FY27 copper volume disclosures to see whether the RMIL acquisition is already contributing to margins.
Source: sahi.com
This story was synthesised by AI from the source linked above.
