Hindalco to Invest ₹15,000 Crore in MP for Aluminium Smelting Expansion.

Hindalco Industries has signed a Memorandum of Understanding (MoU) with the Madhya Pradesh government to invest ₹15,000 crore over the next two years, further expanding its aluminium smelting capacity in the state. The announcement was made at the Madhya Pradesh Global Investors Summit (GIS) 2025 in Bhopal recently.

Hindalco’s Managing Director, Satish Pai, confirmed the investment, stating, “In the next two years, we will be investing about ₹15,000 crore from Hindalco and the group side, including the opening of a large mine called Banda.”

With an existing investment of ₹25,000 crore in Madhya Pradesh—primarily in its world-class aluminium smelter in Mahan, Singrauli—Hindalco aims to strengthen its presence and contribute to the local economy with this new expansion.

Pai also addressed global trade policies and their impact on Hindalco’s business, particularly in the United States. He noted that Hindalco’s American subsidiary, Novelis, stands to benefit from recent tariff changes, while Hindalco’s India operations remain unaffected due to minimal aluminium exports to the U.S.

Other Aditya Birla Group companies, including UltraTech Cement and Grasim’s Viscose Staple Fibre division, are also advancing independent projects in Madhya Pradesh, reinforcing the group's commitment to industrial development in the state.

The Madhya Pradesh government has welcomed Hindalco’s investment, viewing it as a significant boost to the state’s aluminium production sector and industrial landscape. The expansion is expected to generate employment and drive economic growth in the region.

The GIS-2025 summit aims to position Madhya Pradesh as a key investment hub by attracting major industrial players and fostering global partnerships, further strengthening the state’s economic prospects.

HBL