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(27/01/2026 15:42)

Hindalco announces Rs 21,000-Cr Smelter Expansion; Commissions FRP, Battery Foil Facilities in Odisha

Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, on Tuesday announced a major expansion of its aluminium operations in Odisha, including a Rs 21,000-crore smelter expansion and the commissioning of flat rolled products (FRP) and battery-grade aluminium foil manufacturing facilities.

The company will expand capacity at its Aditya Aluminium smelter in Sambalpur by 3.6 lakh tonnes per annum, while commissioning a 1.7 lakh tonnes per annum FRP and battery foil facility at an investment of Rs 4,500 crore. The projects were inaugurated by Odisha Chief Minister Mohan Charan Majhi.

The newly commissioned battery-grade aluminium foil facility—India’s first—will support up to 100 GWh of lithium-ion cell manufacturing capacity and is expected to play a key role in strengthening India’s electric mobility and energy storage ecosystem. The FRP expansion is also aimed at reducing India’s dependence on imported flat-rolled aluminium, which currently accounts for nearly 40% of domestic consumption.

These projects form part of Hindalco’s broader growth capital expenditure programme, with investments of around Rs 37,000 crore planned in Odisha and an overall growth capex of Rs 55,000 crore across India.

Hindalco, which commands over 50% share of India’s flat rolled products market, said the expanded FRP capacity could halve the country’s import dependence in this segment. The smelter expansion will also integrate round-the-clock renewable energy (RE-RTC) for part of its power requirement, supporting the company’s energy transition and sustainability goals.

Commenting on the development, Aditya Birla Group Chairman Kumar Mangalam Birla said the investments reinforce India’s self-reliance by building an integrated aluminium ecosystem spanning upstream resources to high-value downstream products. Hindalco Managing Director Satish Pai said the expansion strengthens the company’s ability to serve sectors such as packaging, defence, electric mobility, renewable energy and advanced manufacturing.

Hindalco has invested over Rs 25,000 crore in Odisha over the past 15 years and currently employs nearly 23,000 people through its integrated operations. The next phase of expansion is expected to generate more than 15,000 additional direct and indirect jobs. The company added that sustainability remains central to its growth strategy, supported by renewable energy integration, advanced manufacturing technologies and inclusive CSR initiatives.

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