GCC Aluminium production set for rapid growth, says Frost & Sullivan
Source: Frost & Sullivan , Author: S Venkatesan
Posted: Wed July 4, 2012 10:53 am
china wholesale market

INTERNATIONAL. According to Frost & Sullivan, the Aluminum production in the Gulf Cooperation Council (GCC) is expected to grow significantly in the short to medium term. The region is expected to contribute around 15% of the total global production of aluminium by 2015.

GCC has no clear advantage in terms of feed stock, as alumina is imported by all companies except Saudi Arabian Mining Company that has captive bauxite mines to supply feed stock Alumina. However, the cost of power and the availability of the same provide an edge to the region. 

Energy costs account for one-third of aluminum production costs, and therefore, aluminum producers gravitate towards areas with cheap supply of natural gas.

Although Middle East leads in natural gas availability, gas allocation for aluminium projects has  been difficult in the region. New GCC Aluminium smelters are now focusing on promoting value added down stream industries using liquid metal.

This is expected to provide price advantage to down stream products as traditionally other down stream use solid Aluminium ingot for production. Frost & Sullivan believes this is expected to further position GCC as the destination of choice for Aluminium Producers.

Note: Perspective by S Venkatesan, Director, Metals and Minerals Practice, Middle East, North Africa and South Asia, Frost & Sullivan.

Frost & Sullivan, a Growth Partnership Company, enables clients to accelerate growth and achieve bestin- class positions in growth, innovation, and leadership.

For more information, please visit www.frost.com.


 

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: March 5, 2015
UAE. Regional chemicals companies should capitalize on the opportunity to acquire international chemicals assets as a result of divestitures, says A. T. Kearney.
date:Posted: March 5, 2015
INTERNATIONAL. US companies remain optimistic, but worry about China's economic slowdown, pace of reform and perceptions of regulatory bias against international companies.
date:Posted: March 5, 2015
UAE. Qatar, Saudi Arabia and Kuwait all ranked in the top 10, with the three nations performing especially well on the basis of their propensity to spend on imported luxury goods and healthy appetite for premium travel.
UAE. Qatar, Saudi Arabia and Kuwait all ranked in the top 10, with the three nations performing especially well on the basis of their propensity to spend on imported luxury goods and healthy appetite for premium travel.
dhgate