According to a Care Ratings report, copper has turned into a noteworthy industrial metal, positioning itself third after iron and aluminium in terms of quantities consumed. Compared with the global markets, India has restricted copper ore stores constituting around 2 per cent of the world copper reserves. India remains at number seven as importer of copper, adding up to $3.3 billion in the world list as per the imports for the year 2016. The global mined copper production increased at a
CAGR of 4.9% between CY12 to CY16. Copper production grew 5.6 per cent YOY in CY 16 compared with 3.8 per cent in CY15 and 1.4 per cent in CY14. World mine production of copper is estimated to have declined by around 3.5 per cent in the first quarter of 2017, due to a decline in production in Chile. Demand from China, the world’s top consumer, is one of the major factors that drive the copper market. Copper costs saw a decline from FY2014-15 onwards due to decline and logjam in the Chinese economy. In FY2017-18, prices of copper have risen above the FY2016-17 level as both Chinese and US economies showed signs of positive outlook. Moreover, prices held firm after an earthquake in the main copper producing region of Chile supported the upside in the copper prices. Chile’s President Michelle Bachelet said her administration is set to achieve what no other government has managed to do for half a century to reduce the nation’s dependence on copper and diversify the economy.