February 1, 2024: The CEO of India-based lead recycling major Gravita warned on January 29 that attacks on vessels in the Red Sea risk disrupting business.
The warning by Yogesh Malhotra came a week after the Hammond Group highlighted increasing pressure on battery supply chains as a result of major disruptions involving two global trade arteries.
Malhotra told analysts in an earnings call that some exports from the group’s Mundra recycling plant in Gujarat have already been disrupted to avoid attacks in the Red Sea.
He said Gravita is looking at alternative ways of selling products from Mundra and also importing some materials.
This will hit revenue for some time ahead but has not had a major impact on the bottom line to date, Malhotra said.
Meanwhile, Malhotra revealed Gravita has technical teams in China discussing partnership options to build a lithium ion battery recycling plant in India.
He said the company may be able to demonstrate “some action” on such a project by the first quarter of next year.
However, he said it could be another five or six years before Gravita starts commercial lithium ion recycling operations.
Batteries International reported last year that Gravita was in talks with potential lithium ion recycling tech partners in Europe, Japan and Israel to build the pilot facility at its Mundra plant.