Shyam Metalics commences Rs 800‑crore aluminium foil plant in Sambalpur
Shyam Metalics has commenced commercial operations at its Rs 800‑crore premium‑grade aluminium foil plant in Sambalpur, Odisha, marking a major boost to local manufacturing.
Shyam Metalics and Energy commenced commercial operations at its new premium-grade aluminium foil plant in Sambalpur, Odisha, via its step‑down subsidiary SMEL Steel Structural. The 18,000‑tonne‑per‑annum facility, part of the group’s Rs 800‑crore Odisha investment, lifted the company’s share price 3% to Rs 1,052 and pushed its market capitalisation to about Rs 30,000 crore. A second 60,000‑tonne‑per‑annum flat‑rolled products unit is slated to start production by September.
The operational launch pushed the company’s shares up by 3 per cent to Rs 1,052 a share on Thursday. This movement drove the total market capitalisation to a record high of approximately Rs 30,000 crore. The share price and market‑capitalisation figures were reported on the same day.
What are the details of the new aluminium foil plant?
The plant was launched through the group’s step‑down subsidiary SMEL Steel Structural. It has an installed capacity of 18,000 tonnes per annum, as reported by The Hindu. The facility represents part of a cumulative investment of about Rs 800 crore that Shyam Metalics and Energy has directed into Odisha. It is intended to produce premium‑grade aluminium foil, thereby reducing the country’s dependence on foreign imports.
What are the plans for the flat‑rolled products facility?
The company is simultaneously setting up a secondary Aluminium Flat Rolled Products (FRP) unit at the same Sambalpur site. This upcoming FRP facility will have an installed capacity of 60,000 tonnes per annum. It will specialise in the fabrication of premium sheets and coils with thicknesses ranging from 0.3 mm to 4.0 mm. The unit is in its final readiness stages and is scheduled to begin commercial production by September.
What are the company’s longer‑term financial goals?
Shyam Metalics and Energy aims to become the nation’s second‑biggest stainless steel manufacturer and one of the top exporters of aluminium foil from India. The dual Sambalpur units are projected to deliver a margin expansion of 40 to 50 percent. Wider domestic distribution and growing international exports are expected to increase the firm’s total revenue by 2 to 2.5 times in the near future. By FY31 the company targets a 22 percent return on capital employed, a 20 percent return on equity, a doubling of overall revenue and a 2.7‑fold rise in EBITDA.
Brij Bhushan Agarwal, Chairman and Managing Director of Shyam Metalics and Energy, said that by supplying specialised materials the company is positioned to open fresh revenue streams while driving meaningful employment growth within the state of Odisha.
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What is the capacity of Shyam Metalics' new aluminium foil plant in Sambalpur?
The plant has an installed capacity of 18,000 tonnes per annum.
When did Shyam Metalics commence operations at its Sambalpur aluminium foil plant?
Operations commenced on Thursday (the day before the article dated 18 July 2026).
What is the investment amount for Shyam Metalics' Odisha aluminium foil project?
The project is part of a cumulative investment of about Rs 800 crore directed into Odisha by the group.
What are the plans for the second facility at the Sambalpur site?
A second 60,000‑tonne‑per‑annum Aluminium Flat Rolled Products unit is slated to start commercial production by September at the same Sambalpur location.
How did the share price of Shyam Metalics react to the plant launch?
The share price rose 3% to Rs 1,052, pushing the total market capitalisation to about Rs 30,000 crore.
What are the long‑term financial targets set by Shyam Metalics for FY31?
The company aims to double overall revenue, increase EBITDA 2.7‑times, achieve 22% RoCE and 20% RoE, become the nation’s second‑biggest stainless steel maker and a top aluminium foil exporter.
Who is the Chairman and Managing Director of Shyam Metalics and Energy?
Brij Bhushan Agarwal holds the position of Chairman and Managing Director.
What sectors will the new aluminium foil plant serve?
It will produce premium‑grade foil for high‑quality packaging, pharmaceutical foils and specialised industrial components.
What is the expected margin expansion from the dual Sambalpur units?
The dual units are projected to deliver a margin expansion of 40 to 50 percent.
What is the target year for Shyam Metalics' Vision 2031?
The Vision 2031 targets are set for the FY31 (2030‑31) financial year.
Debraj Meher
District Correspondent, Sambalpur
Debraj Meher reports on Sambalpur district's civic affairs, the Hirakud dam command area, and the region's handloom economy. He has been the Mirror's Sambalpur correspondent since 2021.
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