
Chile’s state-owned copper producer, Codelco, has announced it will begin supplying copper concentrates to India’s Adani Group for its $1.2 billion Kutch Copper smelter in Gujarat. The smelter, recognized as the world’s largest single-location facility of its type, will receive shipments starting this year. The agreement follows a meeting between Codelco chairman Máximo Pacheco and Adani Group chairman Gautam Adani at the conglomerate’s headquarters in Ahmedabad.
Kutch Copper began operations in 2024 and recently entered a joint venture to produce wires and cables. Executives at the smelter have confirmed plans to source copper concentrates from Chile and other countries. The facility is expected to play a significant role in meeting India’s growing copper demand, which has surged since the 2018 closure of Vedanta’s Sterlite Copper smelter. The shutdown transformed India from a net exporter to a net importer of copper, with imports rising to fill the supply gap.
Currently, only Hindalco Industries and state-run Hindustan Copper produce copper domestically. In addition to its deal with Adani, Codelco has signed a preliminary agreement with Hindustan Copper to collaborate on mineral exploration and processing.
India’s reliance on imports underscores the importance of partnerships like this one. Analysts expect Kutch Copper’s operations to stabilize within the next two quarters, with plans underway to increase production capacity from 500,000 tons to one million tons annually.