Gravita India announced that its step-down subsidiary in Mozambique, East Africa, has begun commercial production of aluminium from its new recycling plant with an annual capacity of around 4,000 MTPA, in addition to its existing Lead recycling facility with a capacity of 4,500 MTPA. The company is also in the process of establishing a new plastic recycling unit in Mozambique.

This Aluminium Recycling Plant is expected to generate an additional income of around Rs. 50 crore per year, with gross margins of 18%.

The Group has committed around Rs 2 crore in the procurement and commissioning of this New Recycling Plant, which was funded by internal corporate accruals. Gravita's smart use of capital and lean capex philosophy has resulted in the establishment of the aforementioned factory on leased premises.

The Company will procure local aluminium scrap for the purpose of production from this facility, and it will serve to the demands of aluminium die casting component manufacturing businesses in the Auto and FMCG sectors in South and East Asian markets.