Characteristics Of Nickel

• Nickel finds its usage in various industries such as engineering, electrical and electronics, infrastructure, automobile and automobile components, packaging, Batteries etc. 
• Among base metals Nickel is the most volatile owing to its strong demand and tight supply.
• Nickel demand is derived demand based on the growth of different industrial sector thus exhibits high volatility.
• About 65 per cent of nickel is used in manufacture of stainless steels, and 20 per cent in other steel and non-ferrous including "super" alloys, often for highly specialized industrial, aerospace and military applications.

Characteristics of World Nickel Market

• Nickel world market is characterized by rising demand and constrained supply. 
• More than 54% if world total supply comes from only five companies.
• Global nickel consumption is growing by an average 3.1 per cent a year.

Supply and Demand

• Major producers of Nickel are Russia, followed by Australia, Canada, New Caledonia and Indonesia, which represents over 65% of total world production. 
• World primary nickel consumption is about 1 million tons. Consumption centers are Japan 2 lakh tons and European Union 3.74 lakh tons.
• Rapid expansion of global stainless steel production is fuelling demand for primary nickel.

Important World Nickel Markets

• London Metal Exchange. 

Indian Nickel Market

• Nickel market in India is of total import dependent. 
• India imports around 30,000 tons of Nickel. 
• Import duty on Nickel is 15%. 
• With growth in the stainless steel sector Nickel import demand is expected to increase in the coming years.

India in World Nickel Industry

• India meets its Nickel Requirement through import.

• Above ground supply from scrap . 
• New mines discovery . 
• Nickel demand is derived demand thus the situation in the various industries.
• Growth in consumption of Stainless steel.