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INTRODUCTION

National Aluminium Company Limited (NALCO) is a Schedule ‘A’ Navratna CPSE


established on 7th January, 1981 having its registered office at Bhubaneswar. It is
one of the largest integrated Bauxite-Alumina-Aluminium- Power Complex in the
Country. At present, Government of India holds 51.28% of paid up equity capital.

As a part of green initiative, NALCO has installed 198 MW Wind Power Plants at
various locations in India and 850 kWp roof top Solar Power Plants. From the days
of first commercial operation since 1987 the Company has continuously earned
profits for last 36 years.

NALCO is one of the leading foreign exchange earning CPSEs of the Country. The
Company continues to retain its position of lowest cost producer in Bauxite and
Alumina production in the World in 2022.

The Company has regional sales offices in Delhi, Kolkata, Mumbai, Chennai and 7
operating stockyards at various locations in the Country to facilitate domestic
consumers. In addition, NALCO has its own bulk shipment facility for export of
products.

With its consistent track record in capacity utilization, technology absorption, quality
assurance, export performance and posting profits, NALCO is a bright example of
India’s industrial capability.

NALCO is the first Public Sector Company in the country to venture into international
market in a big way with London Metal Exchange (LME) registration since May,
1989. The Company is listed at Bombay Stock Exchange (BSE) since 1992 and
National Stock Exchange (NSE) since 1999.

Besides, ISO 9001, ISO 14001, ISO 45001, ISO 50001 & SA 8000 certifications,
NALCO’s Data Centre at Corporate Office and Disaster Recovery Site at Alumina
Refinery certified for Information Security Management System and awarded ISO
27001:2013 Certification and Accreditation from International Accreditation Services,
USA”.

As part of backward integration, the Company has established a caustic soda plant
in JV with Gujarat Alkalies & Chemicals Limited (GACL) in Gujarat. Production
started in May’2022 and Dispatch of caustic soda to NALCO started in Aug’2022.

NALCO is a leading name in the industrial map of Eastern India. True to the spirit,
the Company is taking the lead to bring in a significant change in the Industrial map
of Odisha. The Company has formed JV Company named ‘Angul Aluminium Park
Private Ltd’ (AAPPL) with Odisha Industrial Infrastructure Development Corporation
(IDCO) to give a boost to ancillary, upstream & downstream products related to
aluminium industry.

To acquire strategic mineral assets in overseas location and making supply in India,
NALCO has formed a JV Company named Khanij Bidesh India Limited (KABIL) with
HCL and MECL.

The Company, while climbing the ladder of success has strived hard to play a
significant role in the socio-economic development in its operational areas through
empathetic CSR activities. Rehabilitation of displaced families, employment, income
generation, health care and sanitation of local people, education & skill
development, providing safe drinking water, development of infrastructure, pollution
control, environmental measures, rural development, promotion of arts, crafts &
culture and various humanitarian good will missions have earned NALCO a place of
pride in the corporate world.

Recognizing the healthcare needs as one of the critical need, NALCO is operating 8
MHUs (Mobile Health Units) and one OPD in peripheral villages of its plants by
which more than lakh patients treated every year.

Responding to the call of Govt of India, NALCO actively participated in Swachh


Bharat Abhiyan by constructing toilets in various districts of its operating areas and
has also completed 11 periphery villages Open Defecation Free (ODF) in Damanjodi
and Angul sector.

NALCO has taken the responsibility of Shri Jagannath Temple, Puri & its
surrounding under PM’s Iconic Shrine Development Programme to upgrade the
infrastructure & maintain cleanliness

PROJECTS
While Company is sustaining its operational excellence driven by its corporate plan,
the Company is also having well carved plans for expansion programs. Presently,
the Company is working in major projects like:

 5th stream Alumina Refinery, which will enhance the Refinery capacity from 2.1
million tonne to 3.1 million tonne.
 To support the Alumina Refinery and raw material security, the Company is
developing Pottangi bauxite Mines. Obtaining all clearances under process.

 Utkal D & E Coal Mines: Mining activities already started. It will add to the
bottom line by reduction in coal procurement cost. For Utkal-E, all clearances
are in advance stage.

Vision
 To be a Premier and Integrated company in the Aluminium value chain with
strategic presence in Mining both domestic & global, Metals and Energy
sectors.
Mission
 To sustainably grow multi-fold in Mining, Alumina and Aluminium business
along with select diversification in Minerals, Metals and Energy sectors, while
continuously improving on efficiency and business practices thus enhancing
value for all stakeholders.
Core Values : BEST
 Benefitting Stakeholders
We provide our customers, suppliers and other stakeholders with utmost level
of value, service and satisfaction.
 Excellence and quality
We ensure that our products, manufacturing & business processes adhere to
the highest quality levels and standards.
 Sustainability
We relentlessly pursue sustainable practices and create a positive impact on
the communities we engage with.
 Trust & Integrity
We conduct ourselves with dignity, integrity, equity, transparency and
accountability to build trust.
SWOT analysis
Nalco, or the National Aluminium Company Limited, is an Indian government-owned
company that operates in the aluminum industry. Conducting a SWOT analysis
involves evaluating the company's strengths, weaknesses, opportunities, and threats.
Keep in mind that specific details may change over time, so it's essential to verify the
latest information. As of my last knowledge update in January 2022, here's a general
overview:

Strengths:

1. Integrated Operations: Nalco is involved in the entire aluminum production process,


from mining bauxite to refining alumina and producing aluminum. This integration
can provide cost advantages and operational control.
2. Low-Cost Production: Nalco benefits from access to low-cost raw materials due to its
captive bauxite mines. This can contribute to competitive pricing in the market.
3. Government Support: Being a government-owned company, Nalco may receive
support in terms of policies, subsidies, and infrastructure development, which can
positively impact its operations.
4. Global Presence: Nalco has a presence in international markets, which allows it to
tap into global demand for aluminum and diversify its revenue streams.

Weaknesses:

1. Dependence on Aluminum Prices: Nalco's financial performance is highly dependent


on global aluminum prices. Fluctuations in prices can impact the company's revenue
and profitability.
2. Aging Infrastructure: Some of Nalco's facilities may have aging infrastructure, which
could lead to increased maintenance costs and potential operational challenges.
3. Environmental Concerns: The aluminum industry faces scrutiny for its environmental
impact. Nalco may encounter challenges related to compliance with environmental
regulations and sustainable practices.

Opportunities:

1. Growth in Aluminum Demand: The increasing demand for aluminum in various


industries, such as automotive, aerospace, and construction, presents an opportunity
for Nalco to expand its market share.
2. Technological Advancements: Investing in and adopting new technologies for
aluminum production can enhance efficiency, reduce costs, and improve overall
competitiveness.
3. Diversification: Nalco could explore diversification into related industries or products
to reduce dependency on aluminum prices and mitigate risks associated with market
fluctuations.

Threats:

1. Market Competition: Intense competition in the aluminum industry, both


domestically and internationally, poses a threat to Nalco's market share and pricing
power.
2. Raw Material Price Volatility: Fluctuations in the prices of raw materials, such as
bauxite and alumina, can impact production costs and profitability.
3. Global Economic Factors: Economic downturns or uncertainties in key markets can
affect demand for aluminum products and pose challenges to Nalco's financial
performance.
4. Regulatory Changes: Changes in government regulations, especially those related to
environmental standards and mining policies, can impact Nalco's operations and
compliance costs.

This SWOT analysis provides a broad overview, and the specifics may vary based on
the latest developments and market conditions. It's advisable to conduct a more
detailed and updated analysis for the most accurate insights.
Competitors of NALCO
NALCO’s top five major competitors are:
 Globus Corporation Ltd.
 Hindalco Industries Ltd.
 Maan Aluminium Ltd.
 Mankasia Aluminium Company Ltd.
 MMP Industries Ltd.
Products of NALCO
Some products offered by National Aluminium Company are:
 Bauxite
 Aluminium
 Alumina Hydrate
 Rolled Product Unit
 Power Plant
 Solar Power
 Wind Power

Quick Stats on NALCO


Founder Sridhar Patra

Year Founded 1981

Origin Bhubaneswar, Odisha, India

No. of Employees 6,500+

Company Type Public

Market Cap Rs 21,194.73 Crore (2022)

Annual Revenue Rs 2378 Crore (2021)

Net Income/ Profit Rs 240 Crore (2021)

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