Uzbek enterprise to manufacture unique new products for export

Business Materials 28 February 2019 10:56 (UTC +04:00)

Baku, Azerbaijan, February 28

By Fakhri Vakilov - Trend:

Uzmetkombinat will launch a unique production of carbon steel wire (wire rod) in mid-April, Trend reports with reference to press service of the company.

The total cost of the project exceeds $19 million, and Chinese company CERI (Capital Engineering & Research Incorporation Limited) acted as the supplier of main technological equipment. The project’s launch will make it possible to create flexible high-performance capacities in the country, and, along with an increase in output, to expand export potential through the production of high value-added products.

Experts state that the country's need for wire rod exceeds 60,000 tons per year, not to mention the requests of their neighboring countries, many of which simply lack such production. The plant’s plan is to produce at least 100,000 tons of products per year, where approximately 30 percent are planned to be exported.

“The world ferrous metallurgy is currently undergoing a restructuring phase, associated not only with innovations in technology, but also with factors caused by the need to fit into economically and socially changing conditions. Ferrous metals, as the main structural material, play the role of one of the necessary elements of the material base of modern society. In this regard, the production of low-carbon wire becomes more and more indispensable,” the head of long-rolling shop №2 of Uzmetkombinat, Valery Salyamov said.

He states that, nowadays, as part of the project for organizing the production of wire rod at mill “300”, the assembly work on the main process of equipment of the line has already been completed in the second rolling mill.

"We plan to complete commissioning by the end of March and start production on April 15. As a result of the project, we will launch wire rod from 5.5 to 16 mm and rebar from 6 to 12 mm in rolls. This will ensure the manufacture of import-substituting products for the amount not less than $43 million a year," he stressed.

A feature of this project is that the technological process of production covers the entire cycle of metallurgical processing. As a result, full control over output will be ensured, which will allow to obtain a high-quality and export-oriented metallurgical product.

Among the main consumers of future products are the largest domestic enterprises - Almalyk Mining and Metallurgical Combine, Uzbekistan Railways JSC, Deutsche Cable AG Tashkent, Navoi Mining and Metallurgical Combine, Uzbekneftegaz JSC, JV Uzkabel JSC, Uzkimyosanoat JSC and many others. As for exports, at the first stage it is planned to work out deliveries to Afghanistan, Tajikistan and Kazakhstan.

Uzmetkombinat JSC is the leading enterprise of ferrous metallurgy in the country. In March 2019, the company will be 75 years old. In July 2017, the foreign company SFI Management Group was involved as a trust manager of state share in the authorized capital of the plant.

The plant plans to implement 7 investment projects with a total value of over $663 million in 2018-2025.


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