More Stories

Informist, Thursday, Mar. 5, 2026

 

--MCX aluminium March contract hits new record high of INR 336.25 per kg

 

MUMBAI – Futures contracts of aluminium on the Multi Commodity Exchange of India surged to fresh record highs Thursday, tracking sharp gains on the London Metal Exchange, as escalating hostilities in West Asia have raised concerns about disruptions to supply. Market sentiment was further lifted after Aluminium Bahrain declared force majeure on supply contracts, citing the closure of the Strait of Hormuz, a critical route for regional producers to transport metal and raw materials. West Asia accounts for nearly 9% of global aluminium production.

 

At 1250 IST, the most active March aluminium futures on MCX was 0.9% higher at INR 333.05 per kg after rising to a new all-time high of INR 336.25 per kg earlier in the day. The three-month aluminium contract on LME was at $3,381.00 per tonne, up 1.2%.

 

LME aluminium climbed to a four-year high of $3,418 per tonne in the previous session. "Alba (Aluminium Bahrain) is one of the world's largest aluminium producers, with output of 1.623 million tonnes in 2025," analysts at ING Economic said in a report. "Any prolonged disruption would have meaningful implications for global supply balances," they added.

 

This follows the controlled shutdown of output at Qatalum, an aluminium smelter plant jointly owned by Qatar's state-owned aluminium producer and Norsk Hydro. "...Norsk Hydro issued a force majeure notice to customers over shipments from the 636kt/year (636,000 tonnes) Qatalum smelter in Qatar. Operations at the facility were affected by Iranian drone strikes, which led to a suspension of natural gas supplies," ING analysts said.

 

"We remain bullish on aluminium, with geopolitical risks in the Middle East keeping supply side concerns firmly in focus and supporting both prices and regional premiums," they added.

 

Aluminium's broader supply outlook remains tight as China's production is expected to level off after hitting its output cap, while expansion in alternative regions such as Indonesia continues to face regulatory and energy hurdles, Kotak Securities said in a report.  End

 

US$1 = INR 91.62

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Reported by Ashutosh Pati

Edited by Deepshikha Bhardwaj

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.