"Demand is still down. People are not interested in buying big quantities," Sharad Parikh, president of the Bombay Metal Exchange, said on Thursday.

Copper was in the spotlight in the week to Wednesday amid sharp price cuts by local producers, traders said.

Private copper makers Sterlite Industries (India) Ltd and Birla Copper Ltd slashed their selling prices for copper rods for the second fortnight of August by over five per cent to Rs 110,500 per tonne.

Leading state-run player, Hindustan Copper Ltd also decreased prices by Rs 8,000 per tonne to Rs 110,000.

The price cuts followed a downtrend in copper prices at the London Metal Exchange in August and sluggish demand.

"Competition is forcing companies to decrease prices and also offer discounts," one trader said.

"Imports have slowed down as industry orders are still sluggish," he said.

India imports all its non-ferrous metals except aluminium.

Copper prices lost Rs 200 to Rs 12,150 ($280) per quintal (100 kgs) in the week to Wednesday.

Among other base metals, zinc was down Rs 50 at Rs 7,850 per quintal, lead was unchanged at Rs 4,500 and tin at Rs 38,200.

"Government tenders are not coming. Purchase orders from the defence, telecom and electrical sectors is quite slow," Parikh said.

In aluminium, traders said supplies from state-run National Aluminium Co Ltd which was suffering from production problems had improved recently.

Aluminium was unchanged at Rs 8,550 per quintal.

Traders said renewed weakness in the Indian rupee against the US dollar is likely to restrict imports in the non-ferrous metals market.

The rupee hit a new record closing low at Rs 43.63 per dollar on Wednesday. The turmoil in the Asian region and domestic political uncertainties had hit the currency, dealers said.

In early Thursday trade, the rupee was quoted at Rs 43.35 per dollar compared to its previous close of Rs 43.47.