IMPACT: NON-FERROUS METALS

INTERIM BUDGET

HINDALCO
The company, with 50:50 revenues from aluminium and copper, will be hit as domestic prices of copper and aluminium will suffer. Analysts are, however, upbeat on the other A V Birla group biggie Hindalco.  This metals major is among the lowest cost producers of aluminium in the world. Analysts say while the long-term outlook for non-ferrous metals looks bright, the continuing demand-supply gap in Asia presents Hindalco with a great opportunity.  Hindalco is emerging as a metals company with global size and competitive positioning. While the domestic demand cycle bottoming out, Hindalco is planning a brownfield expansion in Aluminium which should help in ensuring volumes and cost savings.  STERLITE INDUSTRIES
Sterlite Industries, with 90 per cent revenues from copper, will be negatively impacted as lower copper prices will tell on realisation.  Sterlite is emerging as a major integrated player in the non-ferrous metals business comparable to the like of Rio Tinto or BHP Billiton.  The company