State-run National Aluminium Company Ltd (Nalco) has reported that its exports to West Asia have been impacted by ongoing geopolitical tensions in the region, as indicated by its Chairman and Managing Director, Brijendra Pratap Singh. The Middle East represents 40-50% of the company’s alumina shipments.
Nalco has noted a shift in export destinations due to supply disruptions in West Asia, which has also led to a decline in global spot alumina prices, currently ranging between USD 305-310 per tonne. Alumina, a key input for aluminium production, is a granular material refined from bauxite ore.
During an earnings conference call, Singh detailed, “Our alumina export to the Middle East … a lot of around 40 per cent, 50 per cent of our export was going to the Middle East, which has been affected. But now, from Indonesia and other places also, orders are there. Of course, that has resulted in a reduction in the spot prices.” Furthermore, Nalco highlighted that smelters in West Asia are operating at reduced capacity, with no immediate plans to reach full production levels.
The company emphasized, “So once these smelters of the Middle East, the production curtailment is there till they reach the fullest capacity, there will be an effect on the alumina pricing in the spot markets.”
The aluminium value chain has felt the effects of the conflict in West Asia, with some regions experiencing a drop in spot alumina prices due to oversupply, while refined aluminium prices have surged owing to production halts and shipping disruptions, according to analysts.
In the fiscal year 2025-26, Nalco produced 2.3 million tonnes of alumina, of which approximately 1.3 million tonnes were exported. The company reported a consolidated net profit of ₹1,722.44 crore for the quarter ending March 31, 2026, marking a 16.6% decrease compared to ₹2,067.23 crore in the same period the previous year. Revenue for the fourth quarter of FY26 decreased to ₹5,012.82 crore, down from ₹5,267.83 crore in the prior year.
Nalco is recognized as one of India’s leading integrated aluminium complexes, with operations spanning bauxite mining, alumina refining, aluminium smelting, power generation, and coal mining.
Published on May 10, 2026.
