Recently, the Chairman and Managing Director (CMD) of Hindustan Copper Limited (HCL), a PSU that was the sole producer of refined copper till 1995 and a major player in the country’s copper sector, Mr. Ghanshyam Sharma stated in a recent message on the company’s website that the overall demand for copper, which is a key component in electric vehicles, shall shoot up substantially as the world shifts to cleaner energy sources to mitigate climate change.
It is pertinent to mention that the demand for domestic refined copper is expected to grow by a healthy 11% in FY’25, outpacing the rate of global growth in copper demand, owing to the Centre’s plan on enhancing infrastructural development and a gradual transition to renewable energy. This is crucial as India aims to achieve net zero carbon emissions by 2070.
Domestically, around 40% of the copper is consumed by the infrastructure and construction sector and 11-13% each is consumed by the automobile and consumer durables sectors. With the Centre’s emphasis on affordable housing schemes, smart city projects, the defence sector as well as the expected higher penetration of EVs, the domestic copper demand and the industry sustained by it shall only grow in the foreseeable future.
