The Aditya Birla Group announced plans to scale up its investments in Odisha with an additional ₹12,000 crore investment to expand its greenfield alumina refinery at Kansariguda in Rayagada district. According to reports from Business Standard and ET Now, the proposal was discussed during a meeting between Chief Minister Mohan Charan Majhi and Aditya Birla Group Chairman Kumar Mangalam Birla on Saturday. The expansion will increase the refinery's capacity from the originally planned one million tonnes per annum (mtpa) to 3 mtpa, taking the total investment in the project to ₹20,000 crore. The refinery, being developed by Hindalco Industries Ltd, the metals flagship of the Aditya Birla Group, was originally approved as a 1 mtpa greenfield alumina refinery with an estimated investment of around ₹8,000 crore. As reported by ET Now, the fresh investment of $1.26 billion will make the total proposed investment in the Kansariguda project cross $2.1 billion, making it one of the largest greenfield investments in the state's aluminium sector.
The Kansariguda refinery expansion will further strengthen Odisha's position as India's leading metals and metallurgy hub, as emphasized by Chief Minister Majhi. As reported by Business Standard, the company has now proposed an additional ₹12,000 crore investment to add 2 mtpa of refining capacity. The project is expected to generate substantial direct and indirect employment and create further opportunities for local enterprises, service providers and downstream industries. The expansion will reduce dependence on imported alumina for some operations while supporting the company's long-term domestic and export ambitions. According to the state government, the expanded refinery project at Kansariguda in Kashipur tehsil of Rayagada district is expected to generate significant direct and indirect employment while creating business opportunities for local enterprises, service providers and downstream industries. The investment comes at an ideal time when demand for aluminium is increasing across sectors such as electric vehicles, renewable energy and infrastructure.
Welcoming the proposal, Chief Minister Majhi emphasized that Odisha's mineral strength must translate into greater value addition, advanced manufacturing and quality employment within the State. According to Business Standard, he stated that "Aluminium is central to this vision. We intend not only to lead the country in alumina and aluminium production but also to build a globally competitive ecosystem across the entire value chain, from refining and primary metals to downstream and advanced products." The chief minister assured Birla that the state government would provide all necessary support for the timely execution of the project, outlining that the Government would work closely with the company to facilitate land, infrastructure, utilities, statutory approvals and other project requirements through a coordinated approach. As reported by the state government, the expansion of the Kansariguda refinery would further strengthen Odisha's position as a preferred destination for metals, mineral processing and value-added manufacturing.
The meeting reviewed the progress of the Aditya Birla Group's ongoing and proposed investments in Odisha and explored opportunities to deepen the conglomerate's presence across multiple sectors. As reported by Business Standard, discussions included potential investments in copper refining, copper-clad laminates, printed circuit boards, advanced aluminium products, technical textiles, paints, jewellery manufacturing, renewable energy, chemicals, cement and apparel. The company's metals flagship plans to invest an additional ₹38,000 crore in the state beyond the proposed alumina refinery expansion, with the meeting providing a platform to discuss implementation of major projects and identify measures for their timely facilitation. The meeting also reviewed the Group's existing and proposed investments across aluminium, alumina, chemicals, cement, renewable energy, textiles and apparel, with discussions further covering potential investments in copper refining, copper-clad laminates, printed circuit boards, technical textiles, paints, jewellery manufacturing and advanced aluminium products.
According to industry experts, the enhanced refining capacity will reduce dependence on imported alumina for some operations while supporting the company's long-term domestic and export ambitions. Since the formation of the new government, Odisha has been aggressively courting investments in value-added sectors, particularly metals, electronics, renewable energy, petrochemicals and advanced manufacturing. The state houses some of Hindalco's key manufacturing assets, including the Aditya Aluminium integrated complex at Lapanga in Sambalpur, where a ₹21,000 crore expansion is under way to double smelting capacity to 0.72 mtpa. The expanded refinery project at Kansariguda is expected to further reinforce Odisha's position as a preferred destination for metals, mineral processing and value-added manufacturing, with the government aiming to build a globally competitive ecosystem spanning alumina refining, primary aluminium production, downstream manufacturing and advanced aluminium products.
