Technology · India Bureau
Nalco accelerates ₹30,000 crore smelter expansion to boost output
India's state-owned National Aluminium Company is ramping up efforts to add 500,000 tonnes of annual smelting capacity by 2030-31. The brownfield expansion project is progressing on land acquisition, technology partnerships and dedicated power supply arrangements.
LSN India ·
National Aluminium Company Limited (Nalco) is moving forward with its ambitious ₹30,000 crore aluminium smelter expansion, marking a significant push to enhance the nation's primary metal production capacity. The project, structured as a brownfield development, aims to augment smelting capacity by 0.5 million tonnes per annum (mtpa) by fiscal year 2030-31, according to project timelines.
The expansion initiative has entered an active implementation phase, with multiple workstreams advancing in parallel. Land acquisition for the project site is progressing, while the state-run producer is simultaneously finalizing technology partnerships to ensure the smelter incorporates modern, efficient production standards. Arrangements for captive power generation, a critical requirement for aluminium smelting operations, are also being finalized.
The capacity addition is expected to strengthen India's position in global aluminium production and reduce the nation's dependence on imports. Nalco, which operates existing smelter facilities, views the brownfield expansion as a cost-effective approach compared to developing new greenfield capacity.
The project comes as India seeks to enhance its aluminium sector capabilities amid growing domestic demand from automotive, construction, packaging and aerospace industries. With the new capacity expected to come online by 2030-31, the expansion aligns with India's medium-term industrial development objectives.