In wagon deal with Nalco

In wagon deal with NalcoThe state-owned National Aluminium Company Ltd (Nalco) is collaborating with BEML Ltd to construct a prototype of an aluminium wagon for the Indian Railways, a Nalco official said on Tuesday. “Nalco has recently floated an expression of interest to source aluminium extrusion and plates for the same,” the official said.

The prototype will be sent to Research Design and Service Organisation of Indian Railways for clearance, he added. If cleared, BEML will bid to supply wagons to the railways, he said.

On the timeframe to complete the prototype, the official said, “It will take another three-four months for completion.” Aluminium wagons have many advantages over traditional steel wagons because of higher carrying capacity, less fuel consumption due lighter weight, and lesser life-cycle cost. Indian Railways had recently evinced interest to introduce aluminium wagons for its suburban railway system. “There is huge potential for commercial supply of aluminium and other value-added products through this venture,” said the Nalco official. If RDSO approves the prototype, Nalco may undertake value addition to aluminium products rather than outsourcing it, he added.

Aluminium wagons are widely used in countries like the US and the UK and are increasingly seen as a cost effective measure to replace traditional steel wagons. Nalco, the second largest aluminium maker in the country presently has aluminium smelting capacity of 3,45,000 tonnes, alumina refinery capacity of 1.57 million tonnes and power generation capacity of 960 MW.

Debasis Mohapatra / DNA-Daily News & Analysis Source: 3D Syndication

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