Odisha Government Asks Nalco to Make Aluminium Supply Deal with Midal Cables

NEW DELHI (Scrap Monster): Odisha government has pressed National Aluminium Company (NALCO) to make a pact with Bahrain based Midal Cables for the supply of aluminium metal. The Midal Cables was about to start a wire rod factory in Odisha in the proposed park. But Nalco had already refused to sign the supply contract in 2012 and the industry department of the state had to interfere in the situation. Chairman of Midal Cables had met the secretary of the state industry department in this issue on February 17 this year and they made a sought of support on regard with the supply contract of hot metal from National Aluminium Company.

Vishal K Dev, the secretary of state industries said in a recent letter to the Nalco MD and Chairman that a confirmation from Nalco for carrying out the supply contract of hot metal with Midal Cables had become inevitable at this stage for functioning of the aluminium Park. Mr. Dev also added that in that context he would request their personal involvement for the clearance of the issue as early as possible. The Bahrain based Midal Cables wanted a long term hot metal supply pact with Nalco for a period of 25 years, which Nalco had discarded. But, Nalco had maintained that it would give the aluminium supply for every units of the park regularly.

Midal Cables in 2012 had submitted a proposal for starting an aluminium conductor and rod manufacturing factory in Odisha at an investment of about Rs 250-300 crores. They were about to start it at aluminium downstream and ancillary products park at Angul, a joint venture by Industrial Infrastructure Development Corporation of (Idco) and Nalco. The Bahrain Company sorted out 30-40 acres of land in the park as well. They were now implementing the external connectivity infrastructure so as to function the park as early as possible.