Iranian aluminum mills have registered a 41% rise in output during the current Iranian year’s first seven months (March 21-Oct. 22) compared with the same period of last fiscal year, official report says.
Subsidiaries of the Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO) produced 347,274 tons of aluminum ingots during the seven-month period, IMIDRO said in a recent report.
IMIDRO is the biggest state-owned mining holding in Iran.
South Aluminum Company accounted for the highest share of total output with 157,311 tons and was followed by Iran Aluminum Company with 103,441 tons, Almahdi Aluminum Company with 86,330 tons and Iran Alumina Company with 31,192 tons.
A total of 138,019 tons of alumina powder were produced by Iran Alumina Company in the seven-month period, the sole producer of alumina powder in Iran. The figure registered a 1% growth year-on-year when the output was 118,845 tons.
According to Shahriar Taherpour, a former managing director of IMIDRO, Iran’s per capita aluminum consumption has been around 4.5 kilograms over the past 10 years against the global average of 9 kilograms.
The Iranian aluminum industry’s biggest challenge currently revolves around supplying raw materials, including alumina and petroleum coke. Not having access to raw materials due to sanctions and also having to purchase them at prices much higher than global rates are posing problems for producers.
According to the latest report by market research group IMARC, the global aluminum market exhibited moderate growth during 2015-20 and is expected to grow at a CAGR of around 5% during 2021-26.
The increasing usage of aluminum in different end-use industries, such as construction, packaging and automotive, across the globe, is primarily driving the aluminum market.
As aluminum is extensively utilized in the manufacture of disposable cans, the escalating demand for ready-to-eat food items and beverages is further enhancing market growth. Additionally, aluminum finds wide applications in pharmaceutical packaging, as it creates a barrier against contamination from moisture, light, air, etc., ensuring a long shelf life for the product. This, in turn, is expected to fuel the aluminum market in the coming years.