Venezuelan state-run aluminum makers face crisis early in 2013
Venalum and Alcasa's aluminum output tumbled 43.2% and 20%, respectively
A new year has begun for Venezuela's aluminum makers, yet the future is bleak, particularly after having faced fierce labor protests and an output decline due to shortages in raw materials and spare parts throughout 2012.
Trade union leaders keep on begging for further investments and subsidies for the industries, which lack financial capacity to meet fixed costs. Based on administrative reports issued by some state-owned companies, better conditions are expected in 2013 regardless of far-reaching production goals.
Production of aluminum maker Venalum in 2012 reported the most serious setback, with output at 147,832 tons of primary aluminum, 43.2% below the figure recorded in 2011 (260,720 tons).
Labor conflicts in May and shortages in spare parts resulted in the shutdown of nearly 300 cells out of 412 last year. Only 267 cells out of 905 are currently operational.
In 2013, the company expects to incorporate 200 cells by the fist half and seven state-of-the art projects will be implemented.
For its part, Alcasa's aluminum output in 2012 plummeted 20.3% to 55,195 tons, compared to 69,300 tons in 2011.
Translated by Jhean Cabrera
At least 30 years had passed since his last visit to Caracas. He had little time to become an expert on moving about in such a complicated metropolis. Whether it was hopping on the subway, finding directions, playing waiting games at public agencies, eating whatever he could and sleeping wherever he could, Guerrero senior had been wandering the streets for 60 days, and thanks to "the boys" he found some sort of relief by way of helping hands.