Vedanta reduces aluminium products prices by nearly 1% for the fifth time

Vedanta Limited has reportedly reduced the prices of its aluminium products by nearly 1 per cent for the fifth time within two weeks. The cut is with effect from Wednesday, February 5, which brings the company’s aluminium products price to INR 135,250 per tonne to INR 148,250 per tonne, the lowest level since early June 2019.

Vedanta usually increases or decreases its aluminium products prices in line with the fall or surge in global aluminium prices. The three-month futures of aluminium have slipped to their lowest level since late October on the London Metal Exchange. Hence, Vedanta’s continuous price cut.

The three-month futures of aluminium contract on LME are down more than 6 per cent as compared to the end of the previous quarter because of the escalation of the coronavirus outbreak in China. Given that China is the world’s largest producer and consumer of aluminium, the virus outbreak is impacting commodity prices globally.

Vedanta’s aluminium business positions third in generating consolidated sales for the company. It has a stake in Bharat Aluminium Company Limited and smelters in Jharsugda, Odisha, commanding a 40 per cent share in India’s primary aluminium market.

source https://www.alcircle.com/news/vedanta-reduces-aluminium-products-prices-by-nearly-1-for-the-fifth-time-51032