Industry Analysis & Industry Trends
Australia is the world’s largest producer of bauxite, and is expected to account for over one-third of global output in 2015-16. Bauxite production in Australia is estimated to reach 83.5 million tonnes in 2015-16, up from 67.3 million tonnes in 2010-11. Over this period, expansion projects at several bauxite mines have increased mine output to meet higher demand. While most bauxite mined in Australia is locally processed into alumina, over 42% of industry revenue is projected to be derived from exports in 2015-16. In contrast, competing bauxite imports are negligible.
There are just a handful of companies operating in the industry, operating or developing 11 bauxite mines. Of these, three are major multinational companies and the rest are small enterprises... purchase to read more
Industry Report - Industry Investment Chapter
The Bauxite Mining industry has a high capital intensity level. To calculate the capital intensity ratio, IBISWorld uses data from the industry cost structure. Depreciation is used as a proxy for capital, while wages are used as a proxy for labour. In 2015-16, depreciation is estimated to account for 13.0% of industry revenue, with wages as 14.0%. This shows that for each dollar required for labour inputs, approximately $0.93 will be invested in capital plant, equipment and vehicles during the year.
A high proportion of industry capital is tied up in heavy earth-moving equipment, such as excavators, trucks and conveyors that are used to transport the ore to alumina refineries... purchase to read more