Industry Analysis & Industry Trends
Australia is a substantial alumina producer, accounting for about one-quarter of total world production each year. Alumina production is expected to total 20.9 million tonnes in 2013-14, compared with 19.6 million tonnes in 2008-09. Alumina output is expected to decline in 2013-14 as Rio Tinto's Gove refinery reduces output and domestic demand from aluminium smelters falls. Alumina output surged in 2012-13 as the full-year effect of large expansions at the Worsley, WA and Yarwun, QLD refineries drove volume growth.
Although some alumina is smelted into aluminium locally, the great bulk of output is exported. These exports, amounting to an expected 15.4 million tonnes in 2013-14, are expected to generate revenue of $5.2 billion for the year... purchase to read more
Industry Report - Industry Analysis Chapter
Industry performance is heavily dependent on export markets and global economic conditions. Almost three-quarters of all alumina produced in Australia is smelted into aluminium overseas, with some local smelting activity making up the balance. Domestic aluminium smelting companies use local alumina to produce aluminium ingots to be used in further manufacturing processes.
Revenue and performance
Industry revenue is expected to decline at an annualised 4.9% in the five years through 2013-14, with industry profit declining at a higher rate. Profit is expected to decline from 34.5% of industry revenue in 2008-09 to 14.9% in 2013-14. The weaker profit performance reflects rising labour and materials costs in the past five years, and some pricing declines... purchase to read more