Vedanta plans to expand nickel sulphate production, to tap overseas demand

The company did not give details about production figures and investment numbers.

Unlike Japan and South Korea, India’s electric vehicle market is still in its nascent stage.

Citing weaker demand in India, Vedanta has urged India’s government to press Japan and South Korea to change their trade pacts with New Delhi to eliminate their import duties on nickel sulphate used in EV batteries, Reuters reported on Wednesday.

Vedanta – part of London-headquartered Vedanta Resources and led by billionaire Anil Agarwal – plans to cash in on rising demand for EV materials like nickel and nickel sulphate from the countries in northeast Asia.

“We also see a great opportunity for nickel sulphate (a high value integral product used in battery production) in North East Asian region which can play an important role in driving the growth of India’s exports,” the statement said.

Vedanta’s exports would help meet India’s overall export targets, the company said in the statement.

India plans to boost its overall goods exports to $1 trillion by 2030, up from $437 billion in the 2023/24 fiscal year.

India, the world’s third-biggest carbon emitter, has identified nickel as “critical” to meet the country’s ambition for cleaner technologies in sectors such as transport.

Prime Minister Narendra Modi’s government is offering billions of dollars to companies willing to build EVs and batteries locally and this week launched a $1.3 billion program to boost EV sales in India.

Currently, EV sales in India are low making up around 7% of a total of 23.8 million cars, scooters and trucks sold in the country last year.

Read More: Vedanta Resources raises $900 million via dollar bonds

(Reporting by Neha Arora; Additional reporting by Aditi Shah and Shivangi Acharya; Editing by Mayank Bhardwaj and Christopher Cushing)