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17 APRIL 2019 AL CIRCLE

Guyana’s bauxite export estimated to drop by 2.7% Y-o-Y in 2019; Ukraine to be the leading importer

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

According to the report from the Ministry of Finance, the bauxite production in Guyana in the mid-2018 was at 900,000 tonnes, up 21.1 per cent from the same period of 2017 and the highest since 2013. This indicates that momentum in the bauxite industry, which had begun at the end of 2017 continued through 2018. The Ministry said bauxite companies were able to maintain high levels of production in response to favourable market conditions.

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With the increase in bauxite production in Guyana, the country’s bauxite export also continued to see a jump. While in 2016 Guyana’s estimated bauxite export was at 1.33 million tonnes, in 2017 it increased to 1.38 million tonnes, up 3.8 per cent, according to our third-party data. This hike in Guyana’s bauxite export extended further in 2018 by 8 per cent to stand at 1.49 million tonnes. However, the year 2019 is estimated to be an exception as Guyana’s bauxite export is likely to stoop down by 2.7 per cent to 1.45 million tonnes.

In consequence of this, even the export value in 2019 is expected to stand lower at US$144 million, compared with US$ 150 million in 2018. This marks a fall by 4 per cent year on year, according to the available data. But in the last three years, Guyana’s bauxite export value rose in tandem with the increasing export volume.

As the above graph shows that in 2016, Guyana’s export value was at US$110 million, which in 2017 increased 21 per cent to US$133 million. In 2018, the value rose further to US$150 million, up 13 per cent from 2017 and 36 per cent from 2016.

Ukraine is expected to be the top bauxite importing country from Guyana in 2019, volume totalling at 1.1 million tonnes at US$73 million. The United States is estimated to be the second highest importing country, with the volume to be at 118,241 tonnes at US$33 million.

However, in the meanwhile, Rusal suspended operations at its bauxite-mining unit in Guyana over a pay conflict with employees in the South American nation. Rusal suspended mining at the bauxite unit on February15, 2019 and moved equipment to a guarded warehouse.

Tagged with:

Bauxite trade

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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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