Tosyali Algeria, leader in the steel industry, continues its investment policy in Algeria, launching almost every year, new investments “extensions” and sometimes “mega-projects” in Algeria. And this, to meet the needs of the local market and to develop the export.
After the local production of rebar and wire rods, the Turkish company under Algerian law (Tosyali) decided to launch local production of flat steel, intended for the automotive industry, household appliances, pipes, metal packaging, the construction industry and the shipbuilding industry. The project begins to take shape as soon as the engineering and earthworks have been completed.
The work for the realization of this unit will be launched, indeed, towards the end of this year (2019) and the entry into production is envisaged after 30 months of its time of realization. This project, once completed, will have to ensure a production capacity of 2 million tons per year, in flat steel.
The aim being, according to Alp Topcuoglu, a member of the Tosyali group’s board of directors who met with a group of journalists at the company’s office in Algiers, is to meet the needs of the automotive industry. and other industries. In other words, meet the needs already formulated, particularly in terms of increasing industrial integration rates.
Another project is already on track, for the local production of ‘spiral tube’ (hydraulic) in Algeria. The start of production of this unit, located in the large complex located in the industrial zone of Betioua (Oran Prefecture), is scheduled for the end of this year. And this, with a capacity of 250,000 tons per year. Knowing that Tosyali is among the top 3 spiral tube companies in Europe.
The group Tosyali does not intend to stop there, but displays its ambitions to “cooperate” among others with the National Company of iron and steel (Feraal) for investments and exploitation of the iron deposit of Ghar-Djebilet (Tindouf). Alp Topcuoglu said that his group is in the process of negotiating with the Ministry of Industry and Feraal, which is the operating company of Ghar-Djebilet, for effective cooperation.
And this “either by entering the capital of Feraal, as a minority, knowing that we are ready to collaborate in every way, either by putting our know-how of deposit, at the service of this public company, or by the creation of enrichment unit and dephosphorization of the deposit “.
Our interlocutor indicated, in this sense, that “we did tests in the laboratory of our group, in Turkey, and the iron ore was cleared of phosphorus residues” which is positive.
Exports of 70,000 tons of concrete slab to the United States
The board member of Tosyali Algeria said there have been improvements in logistics in the two ports of Oran and Mostaganem, but the capacity is still limited for large tonnages. “But,” he says, “with the reception, by the end of the year, of the ore wharf and the conveyor for the transport of iron ore at the port of Arzew, we will be able to further develop our exports” . And to specify that this ore port will be destined for the export of the deposit Ghar-Djebillet.
The company Tosyali Algeria, was created in 2007, following a partnership between the Port Authority of Arzew (EPA) and the Turkish steel company Tosyali. The amount of investment reached $ 1.9 billion from 2007 until the first half of 2019. The capital released by Tosyali in Algeria is 50 billion DA.
In terms of production, the company produced 2.6 million tonnes in 2018 and will exceed 3 million tonnes in 2019. The Turkish company under Algerian law has also started exporting iron produced in Algeria to United States.
“We have already exported 70,000 tons of concrete reinforcing bars, particularly in the United States, and soon we will export other products to West Africa.” And to add that “Tosyali Algeria will, also, export spiral tubes” to Romania, because we just took the pipeline market of this country, “he said. “With the commissioning of our ore berth, we will eliminate the logistics problem and next year we plan to export at least 500,000 tons of concrete slab,” he warns. And to indicate that his group plans to realize “the first spiral tube export action in the history of Algeria” stating “we have won the largest market in Romania, that is to say , the entire hydraulic pipe distribution will be carried out by Tosyali, as well as exports to Belgium (metal piles for ports). Added to this are export operations which are planned for Egypt, within the framework of the Arab Free Trade Zone which exempt customs duties.
Tosyali promises to improve the working conditions of its staff
The company employs 4,000 workers. It has also contributed to the creation of 12,000 indirect jobs. The Turkish company under Algerian law has also recruited 150 Algerian engineers “and we have plenty of staff who have been promoted to higher positions,” Alp Topcuoglu told us. As for expatriates, they have certain levels of qualification, numbering 700 Turks while Algerian workers number 3,300. Regarding recruitment, our interlocutor said that his company has complied with Algerian regulations in this area through the ANEM and by calling on approved recruitment companies.
Regarding the social movements that have already paralyzed the complex, many times, including the last strike, the head of the company said that some claims of workers are legitimate, except that relating to the pace of work.
He nevertheless admitted that his group was not able to communicate with his workers. “We are responsible in some way for this upsurge of strikes because there was little communication with the workers’ representatives of the complex”. And to clarify that “everything is back in order since we responded favorably to the majority of the demands of the staff”. “We have given firm instructions to our administration for the continuous improvement of working conditions in our complex”. He pointed out that the company has responded to some of these workers’ demands. The head of Tosyali has announced the scheduling of meetings with the staff representatives that will be held every month to further improve the working conditions, within the complex, because he says “the human element is the bedrock of success in any company.
Le Quotidien d'”Oran