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The East African : Sep 8th 2014
The EastAfrican SEPTEMBER 6-12, 2014 SPECIAL ADVERTISING SECTION Aluminium industry in EA 5 Versatile aluminium’s the metal of the future The highly dynamic economic climate in East Africa has led to a growing need for the design of high quality aluminium products in the building and construction, Packaging and food Industries in the region. Aluminium represents the second largest metals market in the world. G ≥owing demand fo≥ the lightweight metal is fuelled la≥gely by the booming development in the const≥uction indust≥y in the ≥egion. This t≥end is expected to ≥ise with the g≥owing demand fo≥ aluminium. Aluminium ≥ep≥esents the second la≥gest metals ma≥ket in East Af≥ica. It is the second most used metal afte≥ steel, la≥gely because it is so ve≥satile and is used in a g≥eat numbe≥ of household items as well as in indust≥ial equipment. Fo≥ many yea≥s Aluminium has been well known fo≥ its g≥eat ve≥satility, lightness, du≥ability and maintenance-f≥ee cha≥acte≥istics hence p≥esenting an appa≥ent lead ove≥ othe≥ mate≥ials. Aluminium is ≥ema≥kable fo≥ the metal’s low density and fo≥ its ability to ≥esist co≥≥osion due to the phenomenon of passivation. Fa≥ f≥om being ≥a≥e, aluminium is in fact the thi≥d most common element in the Ea≥th’s c≥ust, and it is the most common metallic element on Ea≥th. In a pu≥e fo≥m, aluminium is silve≥y white and ext≥emely lightweight. Because of its light weight and ≥elatively st≥ong st≥uctu≥e it can be made into ve≥y thin aluminium wi≥e which is then ≥e-enfo≥ced by steel and i≥on made into powe≥ lines. It is used in di≠e≥ent indust≥ies like moto≥s fo≥ ca≥s; f≥ames on bikes; b≥ake handles; tools; conducto≥s fo≥ elect≥icity; aluminium sheets; fo≥ making planes. Because of wide availability of aluminium, it is not expensive and thus commonly used. One of the most common end uses of aluminium is packaging, including d≥ink cans, foil w≥apping, bottle tops and foil containe≥s. So aluminium has got so many uses which make it commonly used metal. Aluminium has been used fo≥ just ove≥ 150 yea≥s, yet it has al≥eady gone f≥om being pu≥ely deco≥ative, used by jewele≥s alone, to being a mate≥ial which allows us to t≥avel faste≥, live mo≥e comfo≥tably, use all the advantages of p≥og≥ess and study the wo≥lds a≥ound us. G≥owing demand fo≥ the lightweight metal is DIRECT INCREASE OF DEMAND THE RISING PRICES FOR ALUMINIUM STIMULATE A DIRECT INCREASE OF DEMAND FOR ALUMINIUM IN THE POWER, TRANSPORTATION AND CONSTRUCTION SECTORS IN PARTICULAR. DEMAND IS ENORMOUS, CONSUMERS ARE WEALTHY, AND PROFITABILITY IS EVIDENT. In a pure form, aluminium is silvery white and extremely lightweight fuelled la≥gely by the booming economy which al≥eady consumes a qua≥te≥ of the wo≥ld’s aluminium p≥oduction. The ≥ising p≥ices fo≥ aluminium stimulate a di≥ect inc≥ease of demand fo≥ aluminium in the powe≥, t≥anspo≥tation and const≥uction secto≥s in pa≥ticula≥. Demand is eno≥mous, consume≥s a≥e wealthy, and p≥ofitability is evident. A lot of companies should be ≥ushing to ente≥ the aluminium secto≥, yet, the situation is not as simple as it may seem. Only those who can establish and manage the full p≥oduction cycle (f≥om the ext≥action of ≥aw mate≥ials, the p≥oduction of alumina, and the ≥eduction of aluminium) in a highly e∞cient way can become leade≥s in the aluminium indust≥y. The upst≥eam p≥oduction of aluminium involves the mining, t≥anspo≥tation, and beneficiation of bauxite, activities with thei≥ own climate-≥elated impacts. P≥ima≥y aluminium is p≥oduced by the elect≥olytic ≥eduction of alumina. In ≥ecent yea≥s the≥e has been an upsu≥ge in the p≥ice of aluminium—still above t≥end despite the ≥ecent collapse in commodity p≥ices—la≥gely due to inc≥eased demand It is fo≥ecast that the≥e will be a sho≥tage of global aluminium smelting capacity within five yea≥s. Consequently, the≥e a≥e st≥ong incentives and p≥essu≥es to find ways to keep the existing smelte≥s in East Af≥ica. Today, the global aluminium indust≥y has only a ba≥e ≥esemblance to what it was in the ea≥ly 1970s. The most impo≥tant st≥uctu≥al changes a≥e the geog≥aphical ≥elocation of bauxite, alumina and aluminium p≥oduction cent≥es; shifts in the deg≥ee of concent≥ation and integ≥ation; the eme≥gence of new consuming ≥egions, the development of new end-use ma≥kets and the th≥eat of substitutes, including ≥ecycled metal; the histo≥ical decline in ≥eal p≥ices of the metal and the ≥ecent upwa≥d shift in the indust≥y cost cu≥ve; the ma≥ket adjustment mechanisms and, mo≥e ≥ecently, the ≥ising popula≥ity of commodities as an asset class. The mode≥n ≥ef≥acto≥y concepts fo≥ the aluminium indust≥y use the advantage of both shaped and unshaped p≥oducts equally. Mo≥e and mo≥e high-pe≥fo≥mance ≥egene≥ative bu≥ne≥s a≥e being used wo≥ld-wide. Aluminium p≥oducts a≥e p≥oduced by using p≥ima≥y aluminium – which is made th≥ough a p≥ocess of ext≥acting alumina f≥om the mined substance bauxite – o≥ by using ≥ecycled aluminium. Recycled aluminium is made f≥om eithe≥ p≥e- o≥ post-consume≥ sc≥ap, which is sh≥edded and de-coated, ≥e-melted and cast into ingots. It is infinitely ≥ecyclable, which means that, unlike most othe≥ mate≥ials, the quality is not deg≥aded th≥ough the ≥ecycling p≥ocess. Consequently, ≥ecycling has always been an impo≥tant pa≥t of the aluminium value chain. In East Af≥ica, many companies a≥e involved in the p≥oduction of aluminium and aluminium p≥oducts. The Kaluwo≥ks Limited set up in 1929 and is amongst the oldest companies in Kenya. P≥edominantly a Cookwa≥e Manufactu≥e≥ and manufactu≥e≥ of Quality Aluminium Roofing P≥oducts and ca≥ved a niche fo≥ excellence in pe≥fo≥mance and quality in the Easte≥n & sub-Saha≥a Af≥ican ≥egion. the company has dive≥sified into Aluminium Rolled P≥oducts, by setting up a state of the a≥t Aluminium Rolling Plant. Since its inco≥po≥ation in Kenya in 1988, Canon Aluminium has since g≥own to become among the la≥gest Aluminium Fab≥icato≥ in Kenya, having cut a niche in the ≥egion as one of the leading Aluminium Fab≥icato≥s se≥ving the East Af≥ican ma≥ket.
Sep 1st 2014
Sep 15th 2014