Copper was the first metal to be mined and its significance has increased with time due to its usage in various sectors. Being an excellent conductor of electricity, it forms an essential component of energy-efficient generators, transformers, motors and renewable energy production systems.

The most favorable contributing factors for the growth of Indian Copper industry include changes in global usage, industrial development in India, and domestic increases in the construction, power and telecommunications, and automobile sectors. The size of Indian Copper Industry is around 4 lakh tons, which as percentage of world copper market is 3%.India is among top 20 major producers copper globally. But falling prices of copper in international markets would also benefit India, as it is one of the world’s biggest importers of the metal, alongside China, Japan, South Korea and Germany. India is emerging as net exporter of copper from the status of net importer on account of rise in production by three companies.

Copper goes into various uses such as building, cabling for power and telecommunications, automobiles etc. The two major states owned telecommunications service providers namely the BSNL and MTNL have consumed 10% of the country's copper production. In 2012, India's production of refined copper is 689,312 MT, which is around 4% of the total world production.

From the status of a net importer, India is emerging as a net exporter of copper on account of a rise in the production of copper. Growing trend in the building construction and automobile sector is expected to keep demand of copper high.

Leading Copper Industries

•     Sterlite Industries Ltd.

•     Hindalco Industries

•     Hindustan Copper

Demand :        Past & Future

Year                     th MT

2000-01           288

2001-02           315

2002-03           397

2003-04           415

2004-05           438

2005-06           486

2006-07           545

2007-08           616

2008-09           702

2009-10           807

2010-11           896

2011-12           967

2012-13         1044

2013-14         1127

2014-15         1217

2019-20         1787

Market Structure:

Market Segmentation

Segment                                       Share (%)

Electrical Industry                              32

Electronics & Communications      20

Handicrafts                                      12

Process & General                              10

Transport                                            10

Construction                                              7

Consumer durables                               7

Market Growth Rates

1990-91-1996-97                              8.0%

1996-97-2001-02                              8.0%

2001-02-2006-07                            11.5%

2006-07-2011-12                            12.2%

2011-12-2019-20                              8.0%

Sensitivity Coefficient                7.5%