India's copper wire exports soar to record high in Mar-Apr'23
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India recorded the highest-ever copper wire exports in March-April 2023 at 14,892 tonnes (t), a humongous rise of 1,420% compared to 980 t in the corresponding period last year (CPLY), provisional data maintained by SteelMint reveals.
Total copper product exports from the country witnessed a substantial 61% increase at 34,090 t in the period under review compared to 21,178 t in CPLY.
Major factors resulting in higher exports-
Growth in India's PMI: In March-April, India's Manufacturing Purchasing Managers' Index (PMI) stood at an average of 56.8, up as compared to 55.9 in CPLY. Notably, in April, PMI was at 57.2, exceeding the market expectations of 55.8. The increase was driven by a significant growth in output as well as new orders in the domestic and overseas markets along with improved supply chain, resulting in increased exports.
Decline in Saudi Arabia's IPI: Saudi Arabia's Industrial Production Index (IPI) declined in April 2023 compared to its peak in CPLY. This decline had a direct impact on the country's industrial production, electrical, and mining sectors, leading to an increased reliance on imported copper. The reduced industrial output prompted a greater need for copper imports to fulfil domestic demand.
Semi-finished products
Exports of semi-finished products dropped by 26% in March-April 2023 to 11,421 t from 15,423 t during March-April 2022.
In March-April 2023, India's export of refined cathode amounted to 11,257 tonnes, reflecting a 27% decrease compared to the CPLY when it reached 15,342 t. On the other hand, exports of anodes, billets, and ingots, when combined, were at a negligible volume of 164 t in March-April 2023.
The export of refined cathode emerged as the dominant sub-commodity, accounting for approximately 95% of the total export volume.
Commodity-wise exports
Semi-finished products
Semi-finished copper exports dropped by 26% in March-April 2023 to 11,421 t from 15,423 t in March-April 2022. Exports of refined cathode, which accounted for approximately 95% of the total export volume, amounted to 11,257 t, a 27% decrease against 15,342 t in CPLY.
On the other hand, exports of anodes, billets, and ingots, when combined, were at a negligible volume of 164 t in the period under review.
Finished products
Finished copper products exports witnessed a remarkable increase of 455% to 20,247 t in March-April compared to 3,651 t in the same period the previous year.
Finished long copper exports rose significantly by 1,000% y-o-y to 15,707 t, driven by a significant rise in wire exports. Additionally, bars, rods, and profiles exports were at 815 t, an 81% increase compared to CPLY.
Meanwhile, finished flat copper exports were at 4,540 t, higher by 104% y-o-y. Of this, pipes and tubes accounted for 1,426 t and foils for 1,474 t. However, plates, sheets, and strips exports declined by 60% to 1,639 t.
Scrap
In March-April, exports of copper scrap were recorded at 2,586 t, an 18% rise compared to 2,186 t in the same period last year. Of this, the highest share was of cobra scrap at 511 t followed by berry scrap at 339 t, and clove scrap at 139 t. Additionally, smaller volumes of birch, ebony brass, and motor scrap were traded, although these quantities were negligible.
Country-wise exports
India's copper export destinations in March-April 2023 were Saudi Arabia, China, the UAE, and the US. Saudi Arabia and the UAE imported finished products, China imported refined cathodes and a limited amount of scrap from India, and the US imported finished flats.
