THE UKRAINIAN ASSOCIATION OF PRODUCERS OF FERROALLOYS AND OTHER ELECTRO-METALLURGICAL PRODUCTS
Owing to availability of local raw material deposits and facilities for extraction, concentration, and metallurgy, Ukraine is the world’s biggest producer and exporter of manganese and silicon ferroalloys. In 1990 total production of ferroalloys amounted to 2,378,000 tonnes. In 1999 it fell to 1,061,600 tonnes. The notable drop of ferroalloy production throughout this period was related to decrease in demand for these products both on domestic and foreign markets. As such, ferroalloy manufacturers faced various problems concerning co-ordination of their activity on the metal markets; analysis and forecasting of production activities; prevention of anti-dumping procedures against ferroalloy supplies to Western Europe, the USA, and Japan; representation and protection of the founders’ interests in governmental agencies and international organizations; elaboration of research and development programs, holding of international conferences, etc.
To meet these objectives, the Ukrainian Association of Producers of Ferroalloys and Other Electrometallurgical Products (UkrFA) was established in April 1997. Initially, it was registered in Kiev and united three ferroalloy producers, namely Nikopol, Zaporozhye, and Stakhanov Ferroalloy Works, and two metallurgical mills, namely Kramatorsk and Costantinovka Metallurgical Works.
Nikopol Ferroalloy Works specializes in production of silicomanganese, 73-76%, and high-carbon ferromanganese, 50-53%; Zaporozhye Ferroalloy Works produces both manganese ferroalloys, such as silicon manganese, 24-27%, high-carbon ferromanganese, 9-12%, medium- and low-carbon ferromanganese, 95-96%, manganese metal, 95-96%, and silicon ferroalloys, such as ferrosilicon, 46-50%, while Stakhanov Ferroalloy Works makes silicon ferroalloys only, notably ferrosilicon, 50-57%. Kramatorsk and Constantinovka Metallurgical Works produce high-carbon ferromanganese.
In 1999 the Board of the Association decided to relocate UkrFA to Dnepropetrovsk in order to be closer to producers. Simultaneously, the Association accepted membership of Giprostal State Scientific Research Institute for Metallurgical Industry. In the year 2000 the Association’s structure changed somewhat after withdrawal of Kramatorsk and Constantinovka Metallurgical Works and accession of Ordzhonikidze and Marganets Ore Mining and Concentrating Works, which hold a monopoly in extraction, processing, and supplies of manganese ore to both domestic and foreign ferroalloy and metallurgical works.
To establish close contacts with the EU, a cooperation agreement was signed in 1997 between UkrFA and Euroalliage (the European Association of Ferroalloy Producers). Since that time representatives of UkrFA and Euroalliage have held seven meetings, where they discussed issues of lifting antidumping duties imposed by the European Commission against Ukrainian producers of silicomanganese and ferrosilicon, trends on the world markets for metals and ferroalloys, as well as exchanged statistical information on production and supply of ferroalloys to domestic and international markets by Ukrainian and EU companies.
Under the auspices of UkrFA, two international conferences on ferroalloy production were held in 1997 and 1999 to consider the reports on the state and prospects of ferroalloy production and electro-metallurgical technologies for manganese, silicon, chromium, nickel, and other alloys. As a rule, the conferences are preceded with publications summarizing the results of theoretical and experimental research, technological developments, introduction of resource-saving and environmental technologies in electrometallurgy of Ukraine and the CIS.
In the first four months of 2000 UkrFA members produced 420,000 tonnes of manganese and silicon ferroalloys, 30% greater than in the respective period of 1999. Some 39.7% of ferroalloys were shipped to the Ukrainian consumers (9.2% more than in the previous year), 25.9% to CIS countries (15.8% more than in the previous year), and 28.5% to other countries (3.9% more compared to the respective period of the previous year).
Total ferroalloy production in the year 2000 is expected at the level of 1.2 to 1.4 million tonnes.