Copper rally hits scrap companies to electric gear manufacturers

Apart from hedging and price hikes, companies have also had to resort to stocking up on inventory

The global rally in copper prices has made Indian companies across the copper-to-electrical end-use value chain incur losses even as they try to deal with the situation by holding inventory, hedging, and hiking prices.
 

Copper LME (London Metal Exchange) rallied to touch a two-year high of $11,000 per tonne in May and domestic prices have moved in tandem. Simultaneously, with India pushing for green energy and overall electrification, the demand for copper, which is a critical input for electrical products, is on the rise in the country.
 

Companies such as Kalpataru Projects International, which builds transmission lines, said that hedging