www.mining-journal.com/Breaking_News.aspx?breaking_news -
[Cached Version]
Published on: 10/4/2007
Last Visited: 10/4/2007
Prices may rise as high as $65/t, including insurance and freight, Chetan Shah, managing director of Ashapura Minechem Ltd., India`s largest exporter of bauxite, said in a telephone interview yesterday in Mumbai.
Prices rose 28% in 2006 and 12% so far this year, he said.China, which imports 70% of its bauxite requirements from Indonesia, faces a supply crunch after the Southeast Asian nation closed several mines to stamp out illegal mining.Reduced supply may curb Chinese alumina output and lift global aluminum prices.Bauxite is the raw material for alumina, a white powder used to make aluminum.
"Since China`s demand for aluminum is not showing signs of slowing, we expect bauxite prices to remain bullish," said Shah.Ashapura exports its entire 8 million tons a year output, mainly to China, Shah said.