- Increase in MCX copper drives cathode prices higher
- India’s refined copper output rises 8% y-o-y in 4MCY’26
Copper cathode prices in western India increased w-o-w on 09 July 2026, supported by a 1.4% w-o-w rise in MCX copper prices, despite a correction in LME copper prices. Buying activity, however, remained largely requirement based as consumers continued to exercise caution amid global market uncertainty.
As per BigMint’s assessment, ex-Mumbai copper cathode prices rose to around INR 1,285,000/t on 9 July from nearly INR 1,274,000/t last week. Similarly, Ahmedabad prices increased to around INR 1,287,000/t from approximately INR 1,277,000/t over the same period.
The increase in domestic prices came despite weaker global benchmarks. LME copper prices remained range-bound above the $13,100/t level during the week amid continued uncertainty surrounding potential US copper import tariffs. However, gains were capped by a stronger US dollar, easing Middle East tensions, and subdued demand from China, which continued to dampen market sentiment.
India copper cathode market sentiment
The key factor influencing market sentiment this week was the improvement in domestic copper cathode availability following the rapid ramp-up in India’s refined copper production.
India’s refined copper market remained well supplied during the week, supported by a sharp increase in domestic production. Refined copper output rose 8% y-o-y to around 0.22 mnt during 4MCY’26, largely driven by the continued ramp-up of Kutch Copper Ltd. (KCL). The company’s refined copper production surged to 31,000 t during the period from just 2,300 t a year earlier, significantly improving cathode availability and liquidity in the domestic market.
Most consumers reported comfortable availability of copper cathodes across major consuming regions, with shorter delivery timelines and sufficient spot supplies from leading producers. The increase in domestic production has also intensified competition among suppliers, giving buyers greater sourcing flexibility and more competitive commercial terms.
Despite the comfortable supply situation, buying activity remained largely need-based. Wire and cable manufacturers, brass producers and other downstream consumers continued procuring material primarily against confirmed orders rather than building inventories, as elevated copper prices and ongoing market volatility encouraged a cautious purchasing strategy.
Domestic cathode prices continued to closely mirror movements in the LME and the USD/INR exchange rate, with international benchmarks remaining the primary pricing driver despite improving local supply fundamentals. Spot market premiums also remained largely stable, supported by balanced supply-demand conditions and steady downstream consumption.
Inventory levels across the value chain remained comfortable, limiting aggressive restocking by consumers and keeping procurement closely aligned with production schedules. Market participants indicated that there are currently no immediate concerns regarding cathode availability.
Another significant development during the week was the LME approval of Adani’s Kandla Copper warehouse, making it India’s first London Metal Exchange-approved copper warehouse. The approval is expected to strengthen India’s integration with the global copper trade by facilitating LME warranting and enhancing the country’s role as a regional hub for copper logistics and distribution.
Outlook
Going forward, domestic supply conditions are expected to remain comfortable, and buyers are likely to continue following a requirement-based procurement strategy until greater clarity emerges on global price direction. Underlying demand from the power, cable, renewable energy, electric vehicle, and infrastructure sectors is expected to continue supporting physical copper consumption over the medium term.
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