A new report says India’s aluminium ore prices jumped by 566% in the past month, reaching an all-time high on Monday.
The report from the New York-based Metal Intelligence Group says that, on an average day, the metal is selling for Rs. 4.65 per metric tonne in the domestic market.
The metal is being traded at an average price of Rs. 6.05 per metric tons, the report said.
In 2016, Indian aluminium ore ore was traded at a market price of around Rs. 5 per metrictonne.
The company says the rise in the price of the metal comes as a result of several factors, including a strengthening dollar against the rupee and increased demand from China, as well as a fall in the rupees value against the dollar due to government actions in the country.
“India is in the process of being transformed into a world leader in the aluminium industry,” the report’s author, Vikas Prasad, told Quartz.
“We expect the Indian aluminum market to be in the $50-$60 range.”