‘Aluminium, copper demand may triple in 25 years’

Print this page Posted on : 11-30-2007 by recycleinme.com

Rio Tinto Group, fending off a proposed bid from BHP Billiton Ltd, said demand for iron ore, copper and aluminium may as much as triple over the next 25 years, driven by expanding economies in China and India.

Expansion in those economies is “resource intensive”, with global growth not seen since reconstruction after World War II, London –based Rio’s Chief Economist, Mr. Vivek Tulpule, said.

“The implications for commodity markets are nothing short of profound,” Mr. Tulpule said in the statement. “It is too early to suggest that the current price cycle has peaked across the range of commodities.”

Commodity prices are heading for a sixth consecutive annual gain, based on the UBS Bloomberg CMCI Index of 18 metals, energy and agricultural contracts. Mining companies have struggled to keep pace with demand as the economy in China expands at 11.5 per cent.

Source : Business Line