Growth in the natural resources and mining sectors was supported in the past year by increased demand related to the commodity cycle and energy transition. India has overtaken Britain to become the fifth largest economy in the world.
India has one of the best performing equity markets in the world and aspires to become the ‘Electronics Hub’ of the world, in which minerals will play a key role, opined Mr. Sunil Duggal, Group CEO, Vedanta Limited. Quote from Mr. Sunil Duggal, Group CEO Vedanta Limited
This year there have been concerns related to geopolitical crises, supply chain disruptions, rising inflation – all these factors as the global economy is still emerging from the post-Covid-19 pandemic. The Russia-Ukraine war looks set to hit the pace of global reforms and is reshaping the global energy landscape.
Supply chain disruptions caused by geopolitical and macro economic uncertainties are likely to persist for a short period of time in the coming year. Natural resources will continue to play a key role in building a self-reliant India.
A major impact on the oil and gas sector was ensured with crude oil prices hitting their peak in the past year and then falling in the third and fourth quarters. If the demand for oil has increased in the post-pandemic phase, the highest demand in 2023 could be seen from large developing economies such as China and India.
All sectors are trying to decarbonise the economy, which will lead to increased demand for raw materials and consequently demand for metals and minerals. Collaborative efforts are needed to ensure that demand is largely met from local markets. The government should take steps to provide additional support for the development of projects in the short to medium term for the mineral sector.
Vedanta posted record performance in the financial year ended March, 2022. For the year 2022 we met our key priorities of delivering committed volume, timely execution of projects for growth, value creation, vertical integration and cost reduction across all our core businesses.
It also created value for shareholders by proactively managing commodity price risk. With strong cash flow we were well positioned to further deleverage and meet our capital expenditure requirements.
We have also launched our new initiatives on ESG commitments, as Vedanta advanced in the S&P Global Sustainability Rankings (formerly DJSI) 2022 to sixth (6) in the world with a 14-point improvement in its Sustainability Score and listing in the prestigious DJSI World Index.
The company also took significant steps to realize our vision of transforming the planet by scaling up RE sourcing to 1 GW, resulting in an accelerated shift towards green energy and a commitment on the 1t.org platform to plant 7 million trees by the year 2030 of the World Economic Forum. is
Earlier this month, we introduced our exclusive EV policy for all our employees, which will accelerate the adoption of EVs among employees and help change mindsets in accelerating India’s green transportation for an environment-friendly future.
We are well positioned for a dynamic macroeconomic environment in the coming year with a highly diversified asset portfolio, strong balance sheet and effective spending.