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Tuesday, 16 August 2016

Hindalco, Balco feel pressure due to cheap imports 16-August-2016

Aluminium majors like Hindalco and Bharat Aluminium Company (Balco) have started feeling the pressure of cheap imports. Cheap aluminium imports are eating up nearly 50 per cent of the total domestic cosumption. Primary aluminium producers are finding it diffcult to have volume-driven toplines amid rangebound price trend of the base metal.

 "Realisations are not strong due to weakness in global aluminium prices. If cheap imports have to eat up the domestic demand, aluminium producers like us are not able to take even the volume advantage prevailing in the domestic market. In such a scenario it becomes difficult to push up earnings," said Ramesh Nair, chief excecutive officer at Balco.

 Balco, part of Anil Agwarl-led Vedanta, has major operations in Korba town of Chhattisgarh. Mumbai-based Vedanta also has another aluminium business in Jharsuguda area of Odisha.
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1 comments:

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