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

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: October 21, 2014
UAE. CIOs are faced with balancing the needs of workers to be more mobile and have more choice with the needs of the enterprise to protect its data regardless of the delivery channel.
date:Posted: October 21, 2014
UAE. End-unit prices have surpassed their peak of 2008, however land prices are still at 50% of their peak levels.
date:Posted: October 20, 2014
UAE. "The proposed Amanat IPO is strong evidence of continuing interest in regional and international interest in IPOs in the UAE and the GCC more widely, despite the recent softening in equity markets globally."
dhgate