- Heavy price fluctuations make buyers cautious
- Tight imported cathode supply limits further drop
Copper cathode prices in western India softened w-o-w on 21 May 2026 as the sharp rally in global copper prices slowed, leading to lower domestic offers.
As per BigMint’s assessment, Ex-Mumbai copper cathode prices fell to around INR 1,345,000/t today from nearly INR 1,390,000/t last week. Similarly, Ahmedabad prices declined from around INR 1,393,000/t to INR 1,348,000/t.
The decline followed weakness in both the London Metal Exchange (LME) and Multi Commodity Exchange (MCX) copper prices. LME copper corrected from around $14,000/t last week to nearly $13,600/t today, while MCX copper prices dropped from around INR 1,395/kg to nearly INR 1,342/kg. Domestic cathode prices moved lower in line with these benchmark corrections.
Buyers cautious amid sharp market volatility
Heavy price fluctuations made buyers cautious. Most consumers avoided aggressive bulk purchases due to uncertainty over whether prices would sustain at current levels. Buyers largely preferred hand-to-mouth purchasing and booked material mainly against confirmed downstream orders.
Market participants said several downstream consumers were waiting for better price stability before making large-volume bookings. As a result, spot trading activity remained moderate despite steady underlying demand.
However, despite this, underlying demand remained stable. According to market participants, enquiries from wire rod manufacturers, conductor makers, and brass processors continued at healthy levels, supported by steady consumption from the electrical and infrastructure sectors.
Tight imported cathode availability supports market sentiment
Market participants also noted that imported copper cathode availability remained tight in the spot market. Traders said overseas suppliers were still offering limited discounts despite the recent correction in LME prices, mainly because of continued global copper concentrate shortages.
Imported cathode premiums into India also stayed relatively firm, especially for prompt delivery cargoes. Some traders highlighted that the cost of booking fresh imported cargoes remained high, limiting the fall in domestic cathode prices even after the correction in global futures.
In addition, sellers remained cautious about offering large spot volumes as global smelter margins continued to face pressure from low concentrate treatment and refining charges (TC/RCs). Sources said this has kept refined copper availability relatively controlled in some regions.
Outlook
Overall, the market remains fundamentally strong, but buyers are expected to stay cautious until copper prices show better stability globally.
Meanwhile, market participants expect copper cathode demand in northern India to improve further in the coming months with the upcoming project by Herad. The new plant, with an estimated annual capacity of around 20,000-22,000 t, is expected to support additional cathode consumption from the wire rod and conductor manufacturing sector.
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