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20 JULY 2018 AL CIRCLE

Ireland’s alumina export revenue surges in Q2 2018 on US sanctions despite declining volume

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

Ireland is one of the leading export economies in the world houses Rusal-operated Aughinish alumina refinery. Located in a rural part of Ireland, Aughinish refinery is the sole producer of alumina in the country and one of the most efficient alumina facilities globally, with an annual production capacity of 1,915,000 tonnes.

If we look at Ireland’s export trend, we can see that it was steady in the calendar year 2017 with a continued growth. According to the global export-import data, Ireland exported total 2203762 tonnes in 2017. France was the highest importer obtaining 678194 tonnes, followed by the Netherlands, Germany, and the Russian Federation that imported 394618 tonnes, 256821 tonnes, and 238655 tonnes, respectively.

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The total export revenue for Ireland had recorded at US$646 million in the said year. The export to France had yielded revenue of around US$ 176 million, while that to the Netherlands, Germany, and the Russian Federation stood at US$ 96 million, US$ 86 million, and US$ 89 million, respectively.

Now looking at the global annual estimated data of 2018, Ireland is expected to export a total volume of 2154958 tonnes, down 2.2 per cent compared to the previous year. In the first two quarters of 2017, the estimated volume was 389719 tonnes and 537898 tonnes, in contrast to 477505 tonnes in Q1 2017 and 709943 tonnes in Q2 2017.

The estimated revenue in 2018 also stands lower compared to the revenue in 2017, at US$ 174 million. But backed on US sanctions against the refinery in April, followed by force majeure on the company by world’s largest metals and mining corporations like Glencore and Rio Tinto to fully comply with the US sanctions that caused a hit to the global alumina price, the revenue recorded a drastic growth in the second quarted of 2018, compared to the previous year.

On April 19, the global alumina price grew as high as US$ 710 per tonne and continued until April 25. This had been the highest number recorded since the index launched in August 2010.

 


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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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