Govt Enforces ‘Melt and Pour’ Rule for All Steel in Public Projects Nippon Steel expected to finalize U.S. Steel acquisition at $55 per share NMDC Limited reports a 38% drop in Q4 FY24 consolidated net profit RINL to Raise $23 Million Through Land Sales Amid Crisis
India may become a net exporter of the red metal, most likely from the next fiscal, with the ₹8,373-crore Kutch Copper Ltd (KCL), a subsidiary of Adani Enterprises Ltd, scheduled to go functional by the end of the current fiscal in Gujarat. India became a net importer in 2017-18, with more than 2.75 lakh tonnes of goods coming into the country during that fiscal year.
Coal and Mines Minister Pralhad Joshi told Parliament in December that ₹27,131 crore was spent on the import of the red metal last fiscal compared with ₹21,985 in 2021-22. At the Adani Group’s annual general meeting last year, its Chairman Gautam Adani said the copper smelter is a key project underway and is on schedule.
According to the sources a consortium of banks led by the State Bank of India (SBI) made the financial closure (tying up funds) for the greenfield project with equity invested by Adani Enterprises Ltd. In addition, it has got all the major approvals in place to ensure timely execution. If KCL becomes fully operational next fiscal, India’s copper production will nearly double. According to the Ministry of Mines, copper production in the 2022-23 fiscal was 5.55 lakh tonnes against a capacity of 7.85 lakh tonnes.
Sources said while the country’s copper production capacity will increase by 63%, total production could rise to about 10 lakh tonnes. Until 2017-18, the country’s copper production capacity was 10.28 lakh tonnes with Birla’s Hindalco having a five lakh tonnes capacity and Sterlite 4.6 lakh tonnes with Hindustan Copper making up the rest.
However, with the Tamil Nadu government closing Sterlite Copper in 2018 following unrest and protests, the production capacity of the red metal in the country declined from 8.42 lakh tonnes in 2017-18.
Data from the Ministry of Mine show that copper production during the April-January period of the current fiscal was 4.65 lakh tonnes. According to the ministry, the size of the Indian copper industry (consumption of refined copper per annum) is around 6.6 lakh tonnes, which as percentage of world copper market is 3%.
This would mean the country would have some surplus to export, which will depend on the capacity utilisation of these plants. Sources said KCL has entered into long-term supply agreements for supply copper concentrate, a key raw material. A strategic location and an integrated value chain advantage will make KCL one of the low-cost producers of the metal.
Interestingly, during the hearing on Vedanta’s plea on resuming the Thoothukudi plant, the Tamil Nadu government argued that KCL “is capable of fulfilling the country’s copper demand” and the Sterlite plant should not be considered a national asset. The KCL plant will have zero liquid discharge and explore using green power and deploying byproducts for cement and other businesses.
Besides 5 lakh tonnes of refined copper, KCL will annually produce 2.5 lakh tonnes copper rods, 15 lakh tonnes of sulphuric acid, 25 tonnes of gold, 250 tonnes of silver and 150 tonnes of selenium.
Also Read : Aluminium futures make lower low, go short Most base metals expected to rise weekly due Chinese demand hopes
According to state-owned NALCO, the approvals for the Pottangi bauxite mine and the operationalisati...
Non-Ferrous 10-Jan-2024
From April 2023 to January 2024, the Waltair Railway Division of East Coast Railways recorded an all...
Raw Material 06-Feb-2024
Power Grid Corporation of India (PGCIL), a state-run transmission giant, has placed orders with GE T...
Large Corporate 28-Feb-2024
India’s stainless steel industry is witnessing significant challenges as it enters Q1 of FY26....
Announcement 01-Apr-2025
Trump Approves U.S. Steel Takeover with “Golden Share” to Protect American Interests Fo...
Business 16-Jun-2025
As per some official sources, the Indian Ministry of Steel is considering the possibility of merging...
Announcement 29-Mar-2024