Chile copper output remained essentially flat in February

By Carolina Curiel (ScrapMonster Author)

March 31, 2016 05:40:04 AM

SANTIAGO (Scrap Monster): The latest monthly statistics published by Chile’s statistics institute, INE, suggests that the country’s copper production remained essentially flat during the month of February this year.

As per INE data, Chile’s copper production totaled 449,539 mt during February this year, marginally higher by 0.2% when compared with the previous year. The country’s copper production during February last year had totaled 448,642 mt.

The marginal rise in output is due to calendar factors, the government authorities noted. There was an additional working day in February this year when matched with the last year. However, the benefit of additional working day was offset by lower production at the country’s major mine on account of drop in ore grades.

Incidentally, Chile is the world’s largest producer of copper, producing almost a third of the world’s copper. The drastic drop in demand from top copper purchasing country China has led to huge decline in copper prices. Consequently, many leading copper miners, including in Chile, have either suspended or reduced production.

The cumulative copper output by Chile during the initial two months of the year totaled 909,681 mt. The output during this period dropped significantly by 6.7% when compared with the previous year.

The data published by Chile's INE statistics agency shows that the country’s manufacturing production rose 1.3% in February from the year before. The manufacturing output expanded 0.4% in February in comparison with the previous month. Retail sales too grew by 7.4% from the previous year.

According to analysts, the improvement in retail sales data suggests that economy has started to pick up momentum. For sure, leap year effect has played an important role in boosting annual growth rates, they noted.