New smelting capacity from Hindalco and Adani Group expected to reduce India’s reliance on imported copper
India could significantly reduce, or even eliminate, its dependence on imported refined copper by the end of 2026 as major domestic players expand production capacity, according to Hindalco Industries Managing Director Satish Pai.
Speaking after the company’s earnings announcement, Pai said the country is moving closer to self-sufficiency in refined copper due to new smelting projects and recycling initiatives coming online. The development is being viewed as a major boost for India’s manufacturing and infrastructure sectors, where copper plays a crucial role.
New Smelters to Strengthen Domestic Supply
A major factor behind the expected shift is the commissioning of Adani Group’s Kutch Copper smelter project in Gujarat. The facility is expected to substantially increase domestic copper production and reduce the supply gap that has forced India to rely heavily on imports in recent years.
Hindalco is also expanding its operations through a copper recycling plant and additional copper processing facilities. Industry experts believe these investments could transform India’s copper ecosystem at a time when demand for the metal is rapidly rising across sectors such as electric vehicles, renewable energy, power transmission, and infrastructure development.
Demand for Copper Continues to Rise
India’s copper demand has surged steadily since the closure of Vedanta’s Sterlite Copper plant in Tamil Nadu in 2018. The shutdown turned India from a net exporter of refined copper into a net importer, creating a persistent supply deficit in the domestic market.
According to industry estimates, India currently consumes around 1.7 million tonnes of refined copper annually, while domestic production capacity remains lower than demand. However, ongoing capacity expansion by major companies is expected to narrow this gap considerably over the coming months.
Industry Still Dependent on Imported Copper Ore
Despite optimism around refined copper production, industry leaders acknowledged that India will continue depending on imported copper concentrate, the raw material used for smelting and refining.
Satish Pai noted that while finished copper imports may decline sharply, domestic mining output remains limited. As a result, copper ore imports will continue to remain essential for sustaining India’s growing industrial demand.
The expected reduction in copper imports is seen as an important step toward strengthening India’s industrial self-reliance and supporting long-term economic growth.
