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InFocus Manufacturing

Hindalco Commissions FRP and Battery Foil Plant In Odisha

Hindalco has announced aluminium expansion in Odisha with a smelter upgrade and new FRP and battery foil plant to support lithium-ion batteries and local manufacturing.

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SMEStreet Edit Desk
28 Jan 2026 13:29 IST

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Hindalco Commissions FRP and Battery Foil Plant In Odisha
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Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, today announced a major expansion of its aluminium operations in Odisha. The company flagged a ₹21,000-crore, 3.6 lakh-tonne-per-annum smelter expansion at its Aditya Aluminium complex in Sambalpur and commissioned a 1.7 lakh-tonne-per-annum Flat Rolled Products (FRP) and battery-grade aluminium foil manufacturing facility with an investment of ₹4,500 crore. The projects were inaugurated by the Hon’ble Chief Minister of Odisha, Shri Mohan Charan Majhi.

These projects are a major step in indigenising critical raw materials for lithium-ion batteries in India, supporting the electric mobility and energy storage ecosystem, while enhancing domestic capabilities in high-grade aluminium products. The battery-grade aluminium foil facility—India’s first of its kind—draws input directly from the FRP complex and is designed to support up to 100 GWh of lithium-ion cell manufacturing capacity.

These projects form part of Hindalco’s broader growth capital expenditure programme, with around ₹37,000 crore planned for Odisha across upstream and downstream aluminium operations. The Odisha investments are a significant component of the company’s overall growth capex of ₹55,000 crore across India.

Hindalco is India’s largest flat rolled products player, accounting for over 50% of the domestic market. With nearly 40% of flat-rolled aluminium currently imported into India, the expanded FRP capacity is expected to reduce import dependence by nearly half, supporting domestic manufacturing and improving India’s competitiveness in high-grade aluminium products. The smelter expansion at Aditya Aluminium will also mark a step forward in energy transition, with a portion of its power requirement planned to be met through round-the-clock renewable energy (RE-RTC), integrating sustainability considerations into large-scale industrial growth.

Commenting on the development, Mr. Kumar Mangalam Birla, Chairman, Aditya Birla Group, said, “India’s manufacturing growth depends on integration, value addition and sustainability. Through Hindalco, we are building a fully integrated aluminium ecosystem that spans from upstream resources to high-value downstream products. Our long-standing partnership with Odisha continues to play an important role in this journey. This strategy strengthens India’s self-reliance, supports critical sectors, and accelerates the nation’s transition towards advanced, sustainable manufacturing.”

Mr. Satish Pai, Managing Director, Hindalco Industries Ltd, said, “The FRP expansion and smelter growth at Sambalpur exemplify our integrated upstream–downstream growth strategy. This enables Hindalco to deliver high-quality aluminium solutions across packaging, defence, electric mobility, renewable energy and advanced manufacturing, positioning us strongly to support India’s industrial ambitions while creating long-term value.”

Hindalco’s presence in Odisha spans over 15 years of strong partnership with the State, during which it has already invested more than ₹25,000 crore across bauxite mining, alumina refining, primary aluminium smelting, and downstream manufacturing. The company’s operations link upstream resources bauxite, alumina, and primary aluminium with high-value downstream products like FRP and battery foil, creating a fully integrated aluminium ecosystem.

Hindalco’s integrated operations currently provide employment to nearly 23,000 people, with the next phase expected to generate over 15,000 additional direct and indirect jobs. The broader investment pipeline includes the FRP and battery foil manufacturing facilities, the primary aluminium smelter expansion, Kansariguda alumina refinery, Meenakshi coal mine, specialised materials such as white fused alumina, and ancillary manufacturing units further consolidating Odisha’s status as a national hub for aluminium excellence.

Sustainability underpins Hindalco’s growth strategy, with downstream manufacturing delivering lower carbon intensity per tonne, supported by renewable energy integration, advanced technologies and responsible resource management. Through CSR initiatives in education, healthcare, skill development and women’s empowerment, the company ensures its industrial growth translates into shared, inclusive and sustainable development across India.

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