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Hindalco Expands Odisha Aluminium

Sambalpur: The expansion of Odisha’s industrial landscape reached a significant milestone as Hindalco commissioned India’s first Flat Rolled Products (FRP) unit and a specialized battery foil manufacturing facility in Sambalpur. This development, inaugurated by Chief Minister Mohan Charan Majhi, represents a strategic pivot toward high-value downstream manufacturing.

Minister Revenue & Disaster Management, Shri Suresh Pujari, Minister Industries, Shri Sampad Swain, Senior Lawmaker, Shri Jai Narayan Mishra and other dignitaries graced the occasion. Additional Chief Secretary Home, Industry and I&PR, Shri Hemant Sharma and other Government officials were present.

The integrated project, combined with a newly initiated ground-breaking for the Aditya Aluminium Smelter capacity expansion, involves a total capital outlay of 26,996 crore. Specifically, the FRP unit accounts for 5,000 crore of this investment, while the battery foil plant represents 834 crore, with the smelter expansion projected at 21,162 crore.

From an industry perspective, these facilities are designed to address critical gaps in the domestic supply chain. The battery-grade aluminium foil plant is positioned to indigenize the production of raw materials essential for lithium-ion batteries, capable of supporting 100 GWh of cell manufacturing capacity. By utilizing inputs directly from the FRP complex, Hindalco has established a comprehensive aluminium value chain within the state. This vertical integration extends from primary metal production to sophisticated applications in electric mobility, defense, energy storage, and renewable energy sectors.

The economic implications of this expansion are centered on import substitution and regional industrialization. Currently, nearly 40 percent of flat-rolled aluminium in India is imported; this new capacity is intended to drastically reduce that dependence. Furthermore, the projects are slated to generate employment for 5,012 individuals, fostering industrial depth in Western Odisha. According to Aditya Birla Group Chairman Kumar Mangalam Birla and Hindalco Managing Director Satish Pai, these investments reinforce the state’s role as a primary hub for a sustainable aluminium ecosystem that balances large-scale production with advanced value addition.

The state government highlighted that this progress is part of a broader industrial shift, with Odisha currently managing approximately 20 lakh crore in industrial proposals. Officials emphasized that the transition from traditional land use to world-class manufacturing hubs is a cornerstone of the state’s economic strategy, aiming to create 15 lakh jobs as these proposed projects become operational.