As decades have passed and more and more industries have flourished in India there demand for Aluminium is grown. Demand for Aluminium as per recent statistics by India has ascended by 38%. From 2009-to-2014, the statistics of such consumption growth speaks volume in the five years.
India at present is the world’s fifth-largest consumer of the metal- Aluminium. Ahead of India lies the big powers like China, the USA along with Japan and Germany.
It is expected that by end of 2016 with the strong demand fundamentals there are chances that India as a country will rise to the No. 3 position as largest consumer.
Now compared to rest of the world consumption pattern of aluminium in India is very different from rest of the world.
Talking on all fronts of manufacturing sectors- Electrical, transport, consumer durable, building and construction as well as industrial and packaging are the sectors that widely use aluminium. However, in India, the electrical sector has shown massive demand. As electrical sector is the largest end user consumer of aluminium in India.
On numerical accounts electrical sectors shares almost 48% of the total aluminium demand. Among all the reasons the demand to skew towards the electrical sector was because the Aluminium Control Act (1970) stipulating that 50% of the aluminium production by any manufacture must be Electrical Grade (EC). It also fixed the retention prices for this grade of aluminium.
As already spoken largest industry consuming Aluminium is electrical industry accounting for about 48% of total aluminium consumed in India as of 2014. After that follows transport sector with 15%, and then construction with 13%. Also machinery & equipment has share of 7% equally with consumer durable with 7% of whole consumption.