Any Quote by Gautam Adani
“Any commodity that sees its price going higher will see new mines opening up. When the supply increases, the prices soften. When prices fall, some mines with higher production costs will shut down as they become unviable.”
About This Quote
Source Speech: Economic Outlook, 2022
Higher commodity prices attract new production, which later increases supply and lowers prices, causing less efficient producers to exit.
In simple terms: Prices rise, new mines open, then prices fall.
Understand market cycles.
Themes
Mood
Type
When to use this quote
- investment planning
- energy policy
- market analysis
Key Concepts
Questions to Reflect On
- How do you hedge against price swings?
- What signs indicate a cycle shift?
Market predictions can be volatile.