According to figures released yesterday by the company, production of rebar grew by 26 per cent during the first half of the year, compared to the first six months of 2009; while the output of wire rod went up by a significant 283%. In May, Emirates Steel achieved one million man hours without a lost time injury.
Exports of these products more than doubled. The company sells around 80 per cent of its products to the local markets, while the rest is exported to Jordan, Saudi Arabia, Kuwait, Oman, India, China, the Far East and Pakistan.
"This is a significant increase considering the downturn in local and regional markets," said Mr. Carl Andersson, SVP of Operations. "The construction sector is the primary consumer of our rebar and wire rod products," he added. "Our objective is to be one of the leading regional companies in steel making. To reach this goal, we are working hard to eliminate bottlenecks in production. Like most steel makers, we have to operate our facilities at full capacity to make a profit," he pointed out.
According to Mr. Venkat A.N., VP of Sales, Emirates Steel has been able to increase market share substantially and has achieved a c. 30 per cent increase in domestic sales volumes during the first half of the year, compared to the same period in 2009. "This has been achieved through targeted efforts to support our key customers and by pursuing sales policies that ensure market stability," he said. He pointed out that, apart from focusing on domestic markets, Emirates Steel has exerted sustained efforts to increase exports to regional markets, which further increased its total sales volumes.
Mr. Juma Al Mansouri, AVP of Sales, expects Emirates Steel to export more than 50 per cent of its wire rod and coil products in 2011, whilst only 15 per cent of rebar output will be exported. "On the commissioning of the steel sections mill, during the first quarter of 2012, further export opportunities will be targeted," he concluded.
