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Yemen: Closure of Al-Mukalla Iron and Steel Factory in Hadramout

The Al-Mukalla Iron and Steel Factory “misc”, located in Al-Rayyan area in Mukalla, the capital of Hadramout Governorate, east of Yemen, has been closed.

A commercial source attributed the reason for the closure of the factory to the failure of the local authority in Hadramout to provide a private power station with the fuel that powers it, which is the station owned by the Bajarsh Commercial Group, which also owns the Mukalla plant.

The source close to the management of the Mukalla plant told Al-Mashahid, “The financial costs of supplying the iron and steel plant in Mukalla with fuel to operate the plant were exorbitant, in addition to the local authority obliging the Bajarsh Electricity Company to supply other areas with electricity at the expense of the electrical energy allocated to the operation of the plant. This prompted the factory management to bear the employees ’salaries for two months, as well as the costs of operating expenses of the factory, thus exposing the factory to a cumulative loss.

The processing of the Mukalla Iron and Steel Factory began in 2011, but the plant launched a trial operation to produce the first batch of rebar in December of last year.

The factory provided job opportunities for more than 400 jobs for young people, and was operating at a production capacity of 500,000 tons annually, with a daily capacity of 1500 tons.

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لوريم ايبسوم هو نموذج افتراضي يوضع في التصاميم لتعرض على العميل ليتصور طريقه وضع النصوص بالتصاميم سواء كانت تصاميم مطبوعه لوريم ايبسوم ليتصور طريقه لوريم ايبسوم.

About AISU

Arab Iron and Steel Union was established in Algeria in 1972 as the first Arab Union of the Arab countries to be founded under the Council of Economic Unity umbrella in the League of Arab States.

It is the first Arab organization to specialize in the iron and steel field, and its tasks fall within making plans aimed mainly at developing and growing the iron and steel industry in the Arab world.

Arab Iron and Steel Union comprises a wide range of multi-activity companies related to the iron and steel industry from the Arab countries.

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