BY: Hana Saada
ALGIERS- The Algerian steel industry is poised for a substantial transformation, thanks to the full operationalization of the Algerian Qatari Steel (AQS) plant in Bellara, Jijel province. According to its management, the plant is currently running at 80% of its production capacity, marking the ongoing year as the “Year of Exportation.”
Sofiane Chaib Sati, Deputy Director of the complex, disclosed that AQS Bellara has exported 550,000 tons of finished and semi-finished steel products, valued at approximately $400 million. This figure is quite significant, considering that the plant has not yet reached its maximum production potential.
As per forecasts by the same official, the complex is on track to achieve a production output of 2 million tons of steel products by year-end. The facility is set to accomplish its projected goals, with exports edging closer to the million-ton mark, and production anticipated to reach the targeted two million tons before the close of this year.
While the majority of the complex’s exports have primarily targeted the African market, AQS aspires to secure a larger share in the Mediterranean region. According to the same source, with the commencement of production from its other “modules,” the plant could eventually attain a production output of four million tons across various steel products next year.
Furthermore, Algeria has reached a steel production milestone of 11 million tons, evolving from an importer of steel products to an exporter. Recent large-scale infrastructure projects necessitated the importation of construction materials, including reinforcement bars (rebar) and cement due to the limitations of domestic production capacity.
As stated by Aouchiche Hafid, the head of exports at AQS, Algeria has emerged as the foremost exporter of steel products to Africa and holds the second position among Mediterranean countries. The diversification of Algeria’s economy, coupled with an intensified focus on expanding non-hydrocarbon exports, prompted the nation to explore the vast African market with substantial potential for Algerian goods.
In the forefront of these exports are two construction materials: clinker, a crucial component in cement manufacturing, and finished or semi-finished steel products. Behind these, the food products sector has also seen remarkable progress. In the domains of iron and cement, Algeria has transitioned from an importer to an exporter, thanks to investments that elevated the nation to self-sufficiency, with surpluses being shipped to Africa.
AQS’s current ambition is to establish a strong presence in the neighboring markets surrounding the Mediterranean basin. Given the complex’s capabilities, resources, and expertise, this objective appears within reach, aligning well with Algeria’s expanding influence in the global steel industry.
