Now Reading: Reliance Industries explores aluminium entry, may rival Adani
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Reliance Industries explores aluminium entry, may rival Adani
Mukesh Ambani-led Reliance Industries Ltd (RIL) is evaluating a foray into aluminium production, potentially competing with the Adani Group which announced an $11.5 billion aluminium project in Odisha in June. The move…
Mukesh Ambani-led Reliance Industries Ltd (RIL) is evaluating a foray into aluminium production, potentially competing with the Adani Group which announced an $11.5 billion aluminium project in Odisha in June. The move is at an exploratory stage and aims to utilise fuel from RIL's planned coal gasification project in Andhra Pradesh to improve commercial viability, four people familiar with the matter told Mint. Reliance participated in the recent auction for the Karlapat bauxite block in Odisha, one of the sources said.
If Reliance proceeds, it would become the fourth large conglomerate in India's aluminium sector after Vedanta, Hindalco and Nalco. Industry data from BigMint shows domestic aluminium consumption could rise from nearly 6 million tonnes in FY26 to 8.5mt by FY30, leaving a capacity gap of about 1.4-1.5mt even after announced expansions. The potential entry marks the third business segment where the Ambani and Adani groups would compete directly, alongside renewables and data centres.
Indian Opinion Analysis
India's aluminium sector is dominated by Vedanta, Hindalco and Nalco, with a combined capacity that industry watchers say will fall short of projected demand by FY30. The entry of two of the country's largest conglomerates into the same metal at nearly the same time signals a structural bet on domestic consumption driven by infrastructure and EVs. Both groups already compete in renewables and data centres, aluminium would be a third front. The immediate number to track is the outcome of the Karlapat bauxite auction, where Vedanta's Balco has emerged as the preferred bidder with a record premium, but the block's allocation process is not yet finalised.
Source: livemint.com
This story was synthesised by AI from the source linked above.
