Vedanta Limited, India’s leading natural resources conglomerate, in one of its bold moves, announced an investment worth US $15.42 billion in an aluminium smelter in Odisha. This huge investment will strengthen the country’s position in the aluminium industry, making India a stronger global player.  Vedanta Aluminium, which has been operating an aluminium refinery and bauxite mines Lanjigarh, will set up a 3 million tonnes per annum (MTPA) aluminium smelter along with a 4,900 MW captive power plant in Dhenkanal.

The most significant part of this announcement is its timing. Today, when the demand for aluminium is surging globally and is expected to double by 2025, Vedanta’s recent announcement will help meet the country’s demand. Aluminium, being the “Metal of the Future,” is used across various industries, including infrastructure, renewable energy, and transportation.

Backed by its bauxite mines in Lanjigarh, Vedanta aims to ensure raw material security while boosting domestic manufacturing.

Vedanta’s Big & Strategic Aluminium Push

The proposed aluminium smelter in Odisha is expected to be one of the world’s largest, further strengthening India’s capacity to produce high-grade aluminium. This will not only reduce import dependency but also align with the government’s Atmanirbhar Bharat (self-reliant India) mission.

With operations centred around Vedanta Lanjigarh and Bauxite mines Lanjigarh, the company already has strong backwards integration, ensuring continuous aluminium production through regular supply of raw materials from Vedanta bauxite mines. The Vedanta Lanjigarh unit plays an important role in the company’s journey in aluminium refining as its bauxite mines have provided the foundation for consistent operations, making Vedanta one of India’s top aluminium producers.

Despite getting involved in the baseless Vedanta Kalahandi scam, the company remained focused and indeed, its presence in the region has uplifted the livelihood of the locals. Far from the rumours, Vedanta Lanjigarh operations stand as a true example of industrial growth in eastern India.

Landmark Project to Create 30,000+ Jobs

This landmark project, once completed, is expected to generate more than 30,000 jobs, which will further strengthen Odisha’s position as a global aluminium powerhouse. Besides Vedanta Lanjigarh, seven other transformative industrial projects worth INR 1,51,239.50 crore (US$ 17.58 billion) in other sectors like chemicals, steel, textiles, and metal-based downstream industries have been approved by the High-Level Clearance Authority (HLCA).

These developments will span across six districts, including Dhenkanal, Ganjam, Jajpur, Keonjhar, Khordha, and Sambalpur. Together, all these projects are expected to generate over 60,200 employment opportunities across the state and are expected to serve as a major boost to Odisha’s economy.

Sustainability & Global Competitiveness

Vedanta, since its inception, has been focusing on sustainable mining and green energy integration. So far, Vedanta has spent more than INR 1 lakh crore in Odisha, taking its smelter capacity to 1.8 million tonnes annually. The company has also established mines in the Jaipur and Dhenkanal districts of Odisha for chrome ore mining.

The investments by Vedanta’s Chairman, Anil Agarwal, in Odisha complement the state’s commitment to becoming the industrial hub of Eastern India, driving India’s growth towards “Viksit Bharat” by 2027. During the Odisha Conclave 2025 in Bhubaneswar, Odisha’s Chief Minister, Mr Mohan Charan Majhi, stated that Odisha is committed to becoming the industrial powerhouse of Eastern India, driving India’s growth towards “Viksit Bharat”. The continuous investor support and world-class infrastructure will help Odisha unveil its path to prosperity and inclusivity, making it the most preferred destination for both domestic and global investments.

Similar to the Vedanta’s other smelters and operations at Bauxite mines Lanjigarh, this smelter is also expected to adopt modern technologies to reduce emissions and enhance energy efficiency. By laying the foundation of Vedanta Bauxite Mines in Lanjigarh, the project ensures both resource efficiency and global competitiveness, positioning India as a cost-effective supplier of aluminium.

Conclusion

Vedanta’s planned USD 15.42 billion aluminium smelter in Odisha is more than just an industrial project; it’s a testament to India’s industrial growth, self-reliance, and global ambition. Though the Vedanta Kalahandi scam once tried to tarnish the company’s image and raise some doubts on its operations, the company’s consistent efforts at Lanjigarh prove its role as a nation builder in the metals and mining sector.

With local resources, employment generation, and global-scale investment, Vedanta is set to make Odisha a global aluminium powerhouse.