- Domestic prices decline, tracking LME, MCX price corrections
- Demand slows as extreme heat affects operations, labour supply
Copper cathode prices in western India declined w-o-w on 11 June 2026 following subdued demand and a correction in global copper prices, leading to lower domestic offers.
As per BigMint’s assessment, ex-Mumbai copper cathode prices fell to around INR 1,319,000/t on 11 June from nearly INR 1,377,000/t last week. Similarly, Ahmedabad prices declined to around INR 1,322,000/t from nearly INR 1,380,000/t.
The decline followed a correction in both the London Metal Exchange (LME) and Multi Commodity Exchange (MCX) copper prices. LME copper prices eased from around $14,000/t last week to nearly $13,483/t this week, while MCX copper prices slipped from around INR 1,336/kg to nearly INR 1,325/kg. Domestic cathode prices moved lower in line with these benchmark corrections.
Market scenario
The copper cathode market remained subdued as buying activity continued to be slow across key consuming sectors. BigMint learnt that downstream fabricators and traders largely adopted a cautious approach, purchasing only against immediate requirements rather than building inventories. Extreme temperatures during the summer season across several regions affected operational efficiency and manpower availability, resulting in higher labour and handling costs for processors and distributors.
Copper cathode prices moved lower w-o-w, primarily due to softer international copper trends and limited support from domestic demand. Buyers remained resistant to higher offers, citing weak order inflows from end-user industries and comfortable stock positions. In response, sellers adjusted prices downward to encourage transactions and maintain market liquidity.
Adding to the cautious sentiment, developments in the US copper market continued to attract attention. Comex copper inventories surged to a record high of nearly 588,000 t as of 9 June, rising in 38 of the past 40 trading sessions and standing about 241% higher y-o-y. The sharp inventory build-up has been driven by a widening premium of Comex copper over LME prices, encouraging cathode shipments into the US from major suppliers such as Canada, Mexico, Chile and Peru.
The arbitrage opportunity expanded amid uncertainty surrounding potential US copper import tariffs, speculative positioning and a fragmented global inventory structure. As a result, imports into the US accelerated through May and continued rising in June. Market participants noted that while the Comex premium remains attractive for exporters, shipments remain viable only when the premium sufficiently offsets freight, financing and logistics costs.
Meanwhile, the restart of Hindustan Copper Ltd.’s Kendadih mine and the expansion of the Indian Copper Complex concentrator are expected to strengthen India’s domestic copper supply chain. The additional ore availability and higher processing capacity could support increased refined copper and cathode production in the coming years, reducing reliance on imported raw materials and improving supply security for downstream consumers.
Outlook
The near-term outlook for copper cathode prices remains mixed. While subdued domestic demand and cautious buying sentiment continue to weigh on the physical market, the recent rebound in MCX copper prices suggests improving sentiment in the futures market.
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