Demand for aluminium rises in Ethiopia; local company thrives

A local aluminium manufacturer named Inter Africa Extrusion is applying for a prospecting license to explore the regions in Southern Nations Nationalities and Peoples Regional State (SNNPR) after discovering aluminium through a recent survey.

The company had teamed up with a Chinese firm to carry out surveys in some regions of SNNPR before submitting their request with the Ministry of Mines for an official exploration license. The General Manager of the company Haimanot Abate says, “We are well aware of the availability of aluminum in the area after the survey."

The country is seeing an increased demand for the metal and the company that used to import aluminium from Gulf countries has turned to manufacturing it locally. In fact, Haimanot says they are not able to keep up with the demand forcing them to increase the capital investment from 45 million birr to 55 million to establish the manufacturing plant.

The company however still needs to import raw materials from Dubai and Haimanot says it is for the sake of quality.

In order to satisfy the ever growing demand of aluminum in Ethiopia Tracon Trading, a local company signed a joint venture agreement last year with the Dubai-based Al Ghurair Group. This venture will give rise to an estimated USD 50million worth aluminium refinery on the outskirts of the capital capable of producing 25,000 to 30,000 tons of aluminum annually.