Indian Aluminium Industry was first established in the year 1808 and it took almost 46 years to make its production commercially viable. The research work of the country took several years and resulted in extracting the Aluminium from the ore. On earth Aluminium is third most available element constituting almost 7.3% by mass. Currently Aluminium is also the second most used metal in the world after steel. Due to the fact that consistent growth of Indian economy at a rate of 8%, the demand for metals, used for various sectors, is also on the higher side.

India is world's fifth largest aluminium producer with an aluminium production competence of around 2.7 million tones, accounting almost 5% of the total aluminium production in the world. India is also a huge reservoir of Bauxite with a Bauxite reserve of 3 billion tones

The major sectors contributing to Indian aluminium consumption growth are Electrical (Power), Building and Construction, Packaging and Transportation. These sectors are expected to grow in double digits in the next decade, to reach a per capita consumption of approx 10 kg. To be in line with China’s per capita consumption in 2020, consumption in India has to reach 10 million tonnes.

Leading Players

•     Hindustan Aluminium Company (HINDALCO)

•     National Aluminium Company (NALCO)

•     Bharat Aluminium Company (BALCO)

•     MALCO

•     INDAL

Demand : Past & Future

Year                th MT

2000-01       661

2001-02       672

2002-03       723

2003-04       859

2004-05       917

2005-06       926

2006-07       972

2007-08       1016

2008-09       1057

2009-10       1099

2010-11       1149

2011-12       1206

2012-13       1259

2013-14       1305

2014-15       1357

2019-20       1650

Market Segmentation

Segment                        Share (%)

Electricity                      36

Automotive                  22

Transport                       12

Packaging                      12

Bldg.& construction      12

Consumer durables           5

Others                                   1

Market Growth Rates

1990-91-1996-97               5.7%

1996-97-2001-02               0.7%

2001-02-2006-07               7.7%

2006-07-2011-12               4.4%

2011-12-2019-20               4.0%

Sensitivity Coefficient    4.8%