Aluminium products are the largest export commodities in Bosnia and Herzegovina. Affected by the global financial crisis, the production and export of aluminum products in Bosnia and Herzegovina fell by 25% and 50% respectively.
At present, the demand for aluminum products in the world market is stable, which is good news for the producers of aluminum in Bosnia and Herzegovina. However, at the same time, the price of aluminum products and the price of raw materials have risen. As a result, the income and profits of the aluminum production and export companies in Bosnia and Herzegovina have dropped significantly. In addition, the tightening of bank loans and changes in the payment methods of buyers (generally not immediate payments) have made it difficult for Bosnia and Herzegovina companies to operate their funds. The production and exporters of these products said that many of them would not be able to survive without additional government assistance if they did not receive government assistance, and some would be forced to further reduce production and reduce employees. It will be affected by the reduction of taxes and the increase of the unemployed population.
The export of metal products in Bosnia and Herzegovina accounted for about half of its total exports. Enterprises called on the government to establish a development fund or change the bank lending mechanism to provide financial assistance to enterprises.
Foreign funds in the commercial banks of Bosnia and Herzegovina accounted for 80% of the total. Loans have contracted since last year, and business loans have fallen by 3%.
The Mostar Aluminum Plant called on the government to control the electricity prices and provide more favorable electricity to the company. The general manager consultant of the company said that the price of electricity used by aluminum plants increased by 62% from 2005 to 2009, while the electricity price of other electricity consumers only increased by 39%. The plant's aluminum output in 2009 fell from 123,000 tons in 2008 to 96,000 tons, and exports of aluminum products fell by one-third.