Gravita India is to close a lead recycling subsidiary in the north of the country on August 1 as part of a group consolidation plan.

The company announced the closure of its Gravita Metal Kathua unit on July 27, saying the same line of business is already underway at the group’s Jaipur manufacturing facility.

Kathua, in the northernmost part of India, provides integrated recycling facilities with battery dismantling, smelting and refining operations.

The facility has a total installed capacity of 6,000 tonnes and produces high-quality lead ingots and lead alloys by recycling lead ore, lead concentrate, and lead battery scrap to meet specific requirements of original equipment manufacturers.

Kathua has also benefited from financial incentives provided by the regional government of Jammu and Kashmir, which Gravita said enables the production of competitive products that exceed industry standards.

However, Jaipur offers greater operational and cost efficiencies, Gravita said in documents filed with the National Stock Exchange of India.

The decision is not expected to have any material impact on the group’s financial position.

Batteries International reported in May 2026 that Gravita had posted adjusted consolidated EBITDA of Rs 452 crore ($47 million) for the fiscal year ended in March 2026 ― aided by a slight growth in lead sales.

The lead recycler reported a 7% increase in sales in the lead segment of its business, amounting to 49,000 tonnes per annum in fiscal 2026.

That came after Gravita announced the overall lead battery recycling capacity of its Mundra plant had increased to more than 145,000 tonnes per annum following an expansion project.