Businesses
As the world shifts to more sustainable ways of living, low-carbon solutions based on aluminium and copper are in high demand across multiple consumer segments—automobiles, construction, electronics, packaging, etc. To meet this fast-growing demand, we have been on a mission to expand our offerings in the value-added, downstream sector.
In 2007, Hindalco acquired Novelis, a global leader in recycling and flat-rolled aluminium products. Since then, we have evolved from a commodities player into a downstream market leader, offering a range of value-added products such as aluminium extrusions, flat-rolled products, foil and copper rods that serve the needs of diverse industries.
This strategic expansion of our downstream operations has successfully allowed us to increase revenue from value-added products and de-risk our margins from the volatility of commodity exchanges. Today, we are able to command a premium for our value-added product portfolio.
Over the past few years, we have made steady investments in extending our downstream footprint. Today we are the largest fully integrated aluminium player–with a value chain that extends from mining to alumina to rolls, foils, extrusions and customised alloys for the aerospace and automotive sectors.
To further boost our downstream production capacity, we acquired two major facilities in 2021—Hydro’s 15,000-tonne SAPA aluminium extrusions facility in Kuppam, Andhra Pradesh, and Polycab’s 225,000-tonne copper rod manufacturing unit in Asoj, Gujarat. These acquisitions will go a long way in securing our position as a leading consumer-centric manufacturer of aluminium and copper in the global market.
While new acquisitions certainly have an important role to play in our growth, we are also working towards increasing the production capacity of our existing plants as well as building new production facilities of our own. Our upcoming 34,000-tonne extrusions plant at Silvassa, and 170,000-tonne flat-rolled products facility in Hirakud, for instance, will play a key role in meeting the fast-growing demand for extruded aluminium products and value-added product mix in Western India.
Our copper division, Birla Copper, has recently entered two new segments—inner groove tubes for air conditioners and Cu-Mg alloy rods for use in railways. Copper will soon play an even bigger role in accelerating India’s journey towards electrification, urbanisation and renewable energy. As one of India’s leading copper suppliers, we are truly excited about how we can help shape the future.
We will continue to build on this momentum to take our place as a leading manufacturing solutions provider on the global stage.
