Vedanta Resources group firm Hindustan Zinc is poised to become
Asia's largest and world's sixth biggest silver-producing company
by 2013 with a total
production of 500,000 kg per annum, sources said.
The company, which at present claims to produce 100,000 kg of the precious metal, has undertaken expansion of its Sindesar Khurd mines in Rajasthan to augment its capacity and join the league of leading silver-producing nations like Peru, Mexico, Chile and Australia.
"Hindustan Zinc has been consistently increasing its silver production in the past. By 2013, we would be producing 500,000 kg of silver. This is going to give a boost to the domestic ancillary industry," the company's Chief Operating Officer Akhilesh Joshi said.
At present, Hindustan Zinc's market share in the domestic market is 2.5 per cent. Post-augmentation of the capacity, it is likely to supersede Kazakhmys as Asia's largest primary silver producer. The Kazakhstan firm's annual production is close to 500,000 kg.
As per the World Silver Survey 2008, India's annual demand of silver is pegged at around 3,200,000 kg, 77.1 per cent of which is met through imports while 18.8 per cent is procured from the secondary market.