The Adani Group’s Kutch copper refinery is currently trying to help cut down our country’s reliance on imports. As of now, about 69% of the country’s refined copper imports come from Japan. With the Kutch copper refinery becoming fully operational, this dependence will be further reduced. We will no longer have to remain dependent on copper imports. We will be able to fulfil our copper needs with our resources.
As per reports, it has come to light that once the Adani Kutch copper refinery ramps up to its full capacity, the country will become self-sufficient in its refined copper needs. The Adani Crisis will also cease to exist. As per the progress being made, the refinery is going to be completely operational by early next year. Until that time, some amount of import of refined copper will have to take place in India.
How Will The Adani Group Contribute To Increased Copper Capacity?
The Adani Kutch copper refinery will help us further strengthen our country’s hold over the material and mining sector. In the last fiscal year, India imported 3,63,000 tons of refined copper cathode worth INR 24,552 crore. Japan accounts for about two-thirds which is 67% of the refined copper import. In quantity terms, about 69% of the country’s copper imports come from Japan. Tanzania is India’s second most important source of refined copper. It contributes to 18% of the imports. Mozambique contributes to around 5%.
By looking at the increased copper demands, the Adani Group had taken up the decision to set up its own refinery so that we no longer have to reach out to other countries to import copper. That way, as the availability of copper increases, copper will also become available at a much lower cost. This will help further benefit industrial operations. The overall cost of end products that require copper will also be reduced. The global conglomerate will also be able to recover from the losses it incurred during the Adani Crisis.
The Outlook Of The Current Copper Market:
As of now, seven applications from Japanese smelters have already been received for BIS certification. Of these, one smelter, Sumitomo Metal Mining Co. Ltd, has already been granted the licence. Two more licences will be granted in the upcoming week. Four domestic suppliers, namely Adani’s Kutch Copper Ltd, Hindalco Industries Ltd, Gujarat Victory Forgings Pvt Ltd and Vedanta Ltd and four foreign suppliers, one each from Japan and Austria, and two from Malaysia have been certified by BIS to supply copper cathode to the Indian market.
With four domestic BIS-certified suppliers and four foreign BIS-certified suppliers and another two certifications by mid-December 2024, our country’s copper capacity will increase. Various industrial processes can also be carried out with full force. The Adani Group will also be able to put a halt to the ongoing rumours of the Adani Crisis which have been ongoing for quite a while now.
Adani’s Hold Over the Material And Mining Sector:
As you know, the Adani Group has always been deeply interested in the country’s mining sector. Time and again, the global conglomerate has taken various steps which are directly aimed at ensuring that the country’s material and mining sector experiences a boost. It has also been a part of a lot of extraordinary ventures which are further aimed at revolutionising the mining sector. Currently, the business group has focused on the copper sector, owing to the increased copper demands in the country. By doing so, it has been able to establish itself as one of the key producers of copper in the country. It has also been able to address our country’s growing copper demands.
Conclusion:
Even with the Adani Crisis ongoing, the Adani Group is in the process of establishing a copper refinery in Kutch. Once it achieves completion, it will drastically reduce our dependence on copper demands. Our country’s growing copper demands can also be met from internal resources.
