The Indian aluminium industry is heading towards a bright future. AlCircle research has estimated that aluminium usage in India is likely to reach 4.84 million tonnes by 2026-27. The construction, transportation, and electrical sectors will dominate the growth, while other end-user industries like packaging and consumer durables will also act as significant contributors. Several factors will facilitate this growth- growing awareness about environmental sustainability, change in consumer preferences, and the need for fuel and energy conservation being just a few of these. But the most important one is going to be policy-driven infrastructural development.

From October 2021, the Gati Shakti Master plan announced by the Indian government is bringing a new ray of hope for the Indian aluminium industry. This plan will soon change India’s infrastructural fate, and the aluminium market is one of the key beneficiaries.

What is the agenda of the PM Gati Shakti – National Master Plan?

One of India’s most ambitious infrastructural development plans, the PM Gati Shakti – National Master Plan, was launched by Prime Minister Narendra Modi in October 2021. The project is valued at INR 100 lakh crore and has the potential to change the country’s connectivity and infrastructure forever.
At the Plan’s core lies ‘Gati Shakti,’ a digital platform connecting 16 ministries and departments, including Railways, Roadways and Highways, Power, Aviation, Telecom, Shipping, and more. They are also integrating existing schemes such as the Sagarmala, Bharatmala, Udaan, Bharat Net, inland waterways, and extension of the highway roads within this platform.
The main motto of the National Master Plan is to create an integrated platform and reduce the coordination gap between different departments responsible for the country’s infra development. Previously, the lack of communication resulted in faulty construction and budget wastage. The Indian Prime Minister highlighted the gap between macro planning and micro implementation while launching the Gati Shakti Master plan.

How will the Indian aluminium industry benefit from this National Master Plan?

The PM Gati Shakti – National Master Plan is a harbinger of good news for the Indian aluminium industry, simply because the projects it focuses on are all aluminium-intensive projects. The truth is that aluminium is claiming its place as a versatile metal because of its characteristics and positive environmental contribution.

Amongst the sixteen departments that are a part of this master plan, most of them, such as the railway department, roadways department, or the aviation department, need large quantities of aluminium. Therefore, it can be expected that as the plan progresses, so will the demand for aluminium in India. Industry experts agree that this is not just a mere prediction.

The Head of Minerals & Metals Strategic Business Group at Larsen & Toubro opines that this project will bring in new opportunities for aluminium. The rising demand for this non-ferrous metal can be fulfilled in India, which means new aluminium plants will open up. Furthermore, it will likely create more job opportunities in the aluminium industry. It might lead one to wonder how the PM Gati Shakti Master – National Plan is also promoting the Make in India agenda for the aluminium industry.

Final words:

By 2024-25 the Indian government aims to have eleven industrial corridors and two new defence corridors in states including Tamil Nadu and Uttar Pradesh. Additionally, they plan to introduce 4G connectivity in all villages. The government plans to build and develop 220 new airports, heliports, and water aerodromes to improve connectivity. They also plan on expanding the national highway network to two lakh kilometres.
Each of these agendas indicates that India’s infrastructure sector is about to experience high growth. But what is more significant is how each of these plans will directly contribute to the rise of the Indian aluminium industry. How the national aluminium market’s future unfolds and who gains the most from it will be an exciting affair. Furthermore, experts will become inquisitive onlookers and wait to see this plan’s impact on the international aluminium market.