As global demand for copper continues to grow, Indian companies Adani and Hindalco have initiated talks to secure a presence in Peru’s mining sector. Both companies are seeking opportunities through acquisitions or alliances in already operating mines, as part of a strategy to guarantee future supply of the mineral.
Peru’s ambassador to India, Javier Paulinich, confirmed that representatives of both companies have visited the South American country this year to evaluate possible investments. This initiative is in line with the Indian government’s plan to reduce dependence on refined copper imports. imports of refined copperThe demand for refined copper could triple by 2047.
A commitment to secure copper supply in the long term
Currently, India imports more than 90% of the copper concentrate it consumes. It is estimated that this figure will remain the same or even increase in the coming decades if foreign projects are not carried out. Adani, for its part, plans to use part of this resource in its copper refinery. copper refinery in Gujarat in Gujarat, considered one of the largest in the world at a single location.
Hindalco, a subsidiary of the Aditya Birla group, is also seeking to diversify its raw materials portfolio outside India. Both companies are evaluating direct participation schemes or partnerships with players already present in the Peruvian mining industry. Peruvian mining.
Foreign investment in copper in Peru
Peru produced close to 2.7 million tons of copper in 2024, making it the third largest copper producer in the world. This volume, together with an attractive legal framework for foreign investment, makes the Andean country a strategic destination for capital interested in natural resources. natural resources.
In parallel, negotiations on a free trade agreement between India and Peru are moving forward with the intention of including specific commitments on the supply of copper concentrate. According to diplomatic sources, this agreement could be finalized in the coming months.
Indian mining companies align with global energy transition
Copper is essential in sectors such as renewable energy, electric vehicles and technology. India’s strategy of securing raw materials abroad seeks to strengthen its position in these industries. By investing in regions such as Latin America, Adani and Hindalco are not only diversifying their sources of supply, but also reinforcing their role in the global copper supply chain.
If these investments materialize, India could reduce vulnerabilities in its value chain and strengthen its industrial growth.
Source: Reuters
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