Copper has experienced a strong price rally alongside precious metals like gold and silver, outperforming other base metals such as zinc and aluminium. Copper is valued not only for its health benefits but also for its industrial importance as a raw material and in finished products. Whether it’s your copper water bottle, purifier, or air conditioner, all contain copper.
India remains a net importer of copper due to limited exploration and outdated technologies. At the current production rate, known reserves are estimated to last approximately 45 years, underscoring the need for alternative supply sources and efficient recycling.
This visual guide explores the recent copper price rally, key drivers, and explains why investors should keep an eye on base metals.
What’s Next?
India is expected to become the second-largest copper-consuming country by 2050, yet it continues to be a net importer and lacks self-sufficiency in its copper supply chain. Domestic demand is projected to reach 3.24 million tonnes by FY30 across sectors such as construction, industry, and electricity.
The energy transition sector, though smaller today, is set to grow rapidly, with demand estimated at 274 thousand tonnes by FY30.
India’s climate goals, achieving net-zero emissions by 2070 and generating 50% of installed power capacity from clean energy by 2030, will further boost copper demand.
According to Motilal Oswal, copper prices are expected to remain strongly bullish, with the potential to reach $11,700 per tonne on the LME and Rs 1,080 per kg on MCX in the medium to long term.
*The companies mentioned in the article are for information purposes only. This is not investment advice.
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