India’s aluminium industry is set for a major boost after the Adani Group and Abu Dhabi-based International Holding Company (IHC) signed a memorandum of understanding to jointly develop a large integrated aluminium complex in Odisha. The project is expected to attract an investment of $11.5 billion and become one of the biggest foreign investments in India’s metals sector.
Under the agreement, both companies will own equal 50% stakes in the joint venture. The planned complex will include an alumina refinery, an aluminium smelter, a captive power plant, and a downstream aluminium manufacturing park. Officials said the project will strengthen India’s aluminium production capacity and support the country’s growing industrial demand.
The investment comes as India works to expand domestic aluminium production to meet rising demand from infrastructure, transportation, power generation, renewable energy, and manufacturing industries. Increasing local production is also expected to reduce the country’s dependence on aluminium imports in the coming years.
Industry data shows that India consumed about 5.5 million tonnes of aluminium during the 2024-25 financial year, while domestic production reached around 4.2 million tonnes. This gap between production and demand has highlighted the need for new manufacturing capacity.
India has also set a long-term goal of increasing aluminium production capacity to 37 million tonnes per year by the 2047 financial year. The country aims to secure a 10% share of the global aluminium market as part of its long-term industrial development strategy.
The new aluminium complex will have the capacity to refine 4 million tonnes of alumina each year. It will also produce 2 million tonnes of primary aluminium annually and manufacture another 1 million tonnes of downstream aluminium products. Once completed, it is expected to become the largest aluminium project in Odisha.
Odisha already plays a leading role in India’s aluminium industry because of its rich bauxite reserves. The state currently accounts for about 54% of the country’s aluminium production. Officials believe the new investment will further strengthen Odisha’s position as India’s leading aluminium manufacturing hub while attracting more industrial development to the region.
The project is also expected to create significant employment opportunities. Officials said around 53,500 jobs could be generated during the life of the project. About 35,000 of these positions are expected during the construction phase, while another 18,500 permanent jobs are expected after the facility begins commercial operations.
For the Adani Group, the investment marks another major step in expanding its presence in the metals industry. The company recently entered the sector with the commissioning of its copper smelter in Gujarat. The new aluminium project is expected to build on that expansion by adding large-scale aluminium production to its industrial portfolio.
The companies also plan to use existing logistics infrastructure to support the project. Adani Ports’ Dhamra Port in Odisha is expected to play an important role in transporting raw materials and finished products, helping improve supply chain efficiency for the new complex.
The agreement also strengthens the growing partnership between the Adani Group and International Holding Company. In 2022, IHC invested $2 billion across several Adani companies, including Adani Enterprises, Adani Green Energy, and Adani Energy Solutions. The latest joint venture represents another major collaboration between the two business groups.
Company officials said the project is expected to support value-added manufacturing, strengthen India’s industrial competitiveness, and encourage long-term economic growth. They also highlighted the importance of working closely with the Odisha government to develop a complete aluminium ecosystem that supports industry, employment, and regional development.
With construction expected to move forward following the agreement, the Adani Odisha Aluminium Project is positioned to become one of India’s largest industrial investments. The project is expected to expand domestic aluminium production, create thousands of jobs, support manufacturing growth, and help India move closer to its long-term goal of becoming a leading player in the global aluminium industry.
