Reuters reported that Bosnia's aluminium smelter Aluminij Mostar may have to cut output, due to lower metal prices combined with higher power costs, and appealed for help from the government for the country's top exporter and crucial employer.

The metal sector exports account for about 80% of overall output in Bosnia, where the economy is still weakened since the end of the 1992-95 war. Aluminij alone exports about EUR 150 million (USD 189 million) worth of metal a year.

A cutback at the plant would also harm metal processors, whose main supplier is Aluminij, and cost jobs in a country where unemployment is already around 45%. It might also endanger metal supply deals with its international partners.

Mr Ivo Bradvica GM in a letter to the governments of Bosnia and of the Muslim-Croat federation in which the smelter is located said that said that "A decision whether to cut output will be made at the July 26 session of the company's board of directors.”

Source - Reuters

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