Last updated on April 21, 2014 at 10:27 EDT

MarketReportsOnline – India Metals Report Q4 2011

November 11, 2011

DALLAS, November 11, 2011 /PRNewswire/ –

MarketReportsOnline adds the research report ‘India Metals Report Q4
2011′ to its store. India’s growth slowdown is now well underway, but BMI’s
latest India Metals Report anticipates limited domestic demand will have
little effect on output growth over the medium-term, which is being spurred
on by capacity expansion. The sectors which are most exposed to the
construction industry are worst affected, while those that are dependent on
consumer goods and the automotive industries are likely to fare better. In
the near term, it is not clear that weakness in investment will spread to

Get complete Table of Contents and more details on Q4 2011 India Metals
Report @


However, over the medium-term, the main downside risks will come from
delays to projects caused by regulatory hurdles, increased costs associated
with inflation and problems with raw material supply. According to the
latest data from the World Steel Association (WSA), Indian finished steel
consumption rose 11.3% to 64.45mn tonnes, nearly 2mn tonnes lower than BMI
had estimated. As such we have revised down 2015 consumption from 113.5mn
tonnes to just over 100mn tonnes. With monthly output levels expected to
average around 6mn tonnes in Q411, BMI forecasts crude steel output of 72mn
tonnes, a downward revision from the 78.5mn tonnes we forecast in the
previous quarter. By 2015 we expect capacity growth – coupled with domestic
demand – to lead to crude steel output of just over 104mn tonnes, an
increase of 44% over the period. This is a downward revision from the
113.5mn tonnes forecast in the previous quarter due to the anticipation of
further delays to steelmaking plants and upstream mining projects as well as
lower levels of demand growth.

Lower levels of domestic consumption than previously forecast should
ensure that India maintains a trade surplus in aluminium over the medium
term and does not descend into deficit, as we had predicted previously.
Producers are predicting that India will become a significant exporter to
the global market, but delays to new projects pose a downside risk to this
scenario. Demand for aluminium in India is projected to grow strongly at an
average rate of 12% between 2010 and 2015.

BMI anticipates a rebound in copper refinery output in 2011, largely
correcting the downturn in 2010, with growth of 15% to 744,600 tonnes. A
positive long-term outlook means that Indian copper prices are likely to
remain well supported and that the decline likely to be witnessed in Q411
and going into 2012 will be temporary. Indeed, the sustained growth of the
Indian market will help support international copper prices. The expansion
of Sterlite’s capacity should push output beyond 1mn tonnes by 2015. This
should make India a significant exporter of refined copper, with exports
rising to over 300,000 tonnes in 2014 and 2015.

Zinc production growth is set to strengthen in 2011 once industry leader
Hindustan Zinc Ltd (HZL) brings its Rajpura Dariba smelter up to full
capacity. India will remain balanced between supply and demand with modest
net exports over the next five years. Beyond 2011, the medium-term outlook
for consumption is broadly positive. Increased use of galvanised steel amid
growth in the construction sector will drive the Indian zinc market. India’s
total production of coated steel, which includes zinc-covered galvanised
steel, is expected to rise to more than 6mn tonnes in 2013 from 4.7mn tonnes
in 2010; the country’s current coated steel (CCS) production capacity stands
at 6.2mn tonnes per annum (tpa). HZL dominates growth in the lead industry
with its 100,000tpa lead refinery at Dariba due to be commissioned in Q411,
although recyclers will retain a significant share of production. By 2012,
Indian lead smelting will have reached the limit of capacity, forcing the
market to depend more on imports which should reach 91,000 tonnes by 2015.

Buy your copy or Inquire before buying the report India Metals Report Q4
2011 @ http://www.marketreportsonline.com/137525-india-metals-repo.html

Other new and latest Market Reports available with us:

        - Brazil Metals Report Q4 2011 @


        - Malaysia Metals Report Q4 2011 @


        - Mexico Metals Report Q4 2011 @


        - United Kingdom Metals Report Q4 2011 @


        - United States Metals Report Q4 2011 @


About Us

Market Reports Online is an online market research library of 130,000+
reports and in-depth studies of over 5000 micro markets. Our database
includes reports by leading publishers from across the globe. We provide
24/7 online and offline support service to our customers. Visit
http://www.marketreportsonline.com for more details.

        Mr. Priyank
        7557 Rambler road,
        Suite 727, Dallas, TX 75231
        Tel: +1-888-391-5441

SOURCE MarketReportsOnline

Source: PR Newswire