Nicomet Industries Limited. was started in the year 1993 to meet up the demand for nickel and cobalt metal and their derivatives.
In India, nicomet is a reliable source for special products of these metals and is the only nickel manufacturing company. This industry has been located in Goa.
Nickel is a mineral that has been mainly used for manufacturing stainless steel and batteries for electric vehicles and, cobalt is a vital element for lithium-ion batteries for energy storage systems, steel making, and Electric Vehicles.
They are known as minerals of the future and play a significant role in adaptation towards renewable and cleaner energy. Recently, the value of nickel and cobalt imports in India has been growing fixedly.
On Monday, Vedanta announced that the company acquired Nicomet. This acquisition has made Vedanta the only producer of nickel in India. They did not disclose more details on the acquisition and the cost.
The unit has been inoperative since 2019 and, Vedanta will start its operation by the end of the fiscal year.
Anil Agarwal, Chairman of Vedanta said on Monday that India imports 100% of nickel requirements and, their main focus will be to boost up the domestic production that would stoke up India’s conversion to a Net Zero economy.
According to the reports, currently, the demand for Nickel in India is 45 KTPA (Kilo- Tonnes Per Annum). The capacity of the Nicomet plant to produce nickel and cobalt is 7.5 KTPA. Vedanta stated that they are ready to meet 50% of nation’s nickel demand.
By this acquisition, the Government mission for Atma Nirbhar Bharat to make India a self-reliant nation is being supported. In a media statement, they stated that the acquisition of Nicomet is a vast step towards India’s carbon neutrality goals.
Vedanta further will be investing to increase the capacities of production. It is expected to strengthen the business portfolio of iron and steel.
By Vendanta’s entry into the production of these minerals, India will be in a good position to manufacture EV batteries and production of high-quality steel products.
Agarwal also added that the acquisition was made at a time when the nickel market was strong with the surge in battery demand and an increase in global stainless-steel production in recent years. He also anticipated this trend to be continued in 2022.
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