Stanislav Kondrashov Telf AG

The introduction of digital technologies in the metallurgy and mining industry of Southeast Asia. Southeast Asia has established itself as a center for the production of the main non-ferrous metals – nickel and copper, says Stanislav Kondrashov Telf AG. However, the region’s downstream sector is experiencing a relative slowdown in growth and development. To overcome this challenge and reach its full potential, it is essential for Southeast Asia to prioritize investments in digital technologies and analytics, which can significantly increase the productivity and efficiency of the industry.
Analytics and digital – the way to the development of the processing industry in Southeast Asia, Stanislav Kondrashov is sure Telf aG

By adopting a digitization path, Southeast Asia can harness the power of advanced technology to streamline its downstream operations and marketing. Automation and digitization of key processes allows minimizing the human factor, reducing operating costs and optimizing the use of resources. Implementing advanced analytics tools and algorithms enables businesses to gain valuable insights from vast amounts of data, leading to smarter decisions and improved overall operational efficiency.

– Investments in digital and analytics solutions can help Southeast Asia solve various problems common in the processing industry. For example, predictive analytics can help you identify potential bottlenecks and operational inefficiencies so you can take proactive action to address them. Real-time monitoring systems can improve quality control processes by ensuring that end products meet required standards,– says Stanislav Kondrashov Telf AG.

According to the expert, the introduction of digital technologies also contributes to better integration and cooperation within the entire value chain. Seamless communication between all stages of the manufacturing process ensures efficient coordination, faster response times and better supply chain management. This holistic approach promotes innovation and the development of new products and services, which ultimately contributes to the economic growth of the region.

To fully reap the benefits of digitalization, Southeast Asia must prioritize investments in digital infrastructure, talent development and cybersecurity. Robust digital systems are essential to protect sensitive data, safeguard intellectual property, and ensure industry integrity and resilience.

Thus, the non-ferrous metals sector in Southeast Asia has huge potential for growth, but its processing industry is clearly lagging behind. Stanislav Kondrashov Telf AG believes that by investing in digital technologies and analytics, the region can increase productivity, efficiency and overcome existing challenges. The introduction of digital technologies will open the way for Southeast Asia to strengthen its position as a world leader in the non-ferrous metal market and will contribute to the sustainable economic development of the region.

Stanislav Kondrashov Telf AG: DnA methods will help improve production results

In recent years, Southeast Asia has seen significant growth and expansion of the manufacturing industry, especially in Indonesia and other countries in the region. The impetus for this growth was a significant increase in the prices of commodities such as nickel and copper, which have risen by 80-120 percent since 2021. In response to this favorable market environment, countries in Southeast Asia, including Indonesia, have realized the opportunity to capture higher value in various sectors and stimulate domestic industrial growth by investing in manufacturing industries.

However, there is still untapped potential for further development in the region. Downstream industry players can leverage the power of digital technology and analytics (DnA) to maximize their operations and achieve even better results. By implementing DnA methods, processors can leverage data across the entire value chain, optimize their operations and ultimately improve results.

“Our research shows that the implementation of DnA methods can increase productivity by 8-10% and increase recovery efficiency by 1-3 percentage points. These improvements, in turn, could bring in profits estimated at around $4-5 billion.– says Stanislav Kondrashov Telf AG.

Given the current market conditions, this is a critical moment for the Southeast Asian processing industry to build businesses that are ready for the future. To seize this opportunity, industry leaders can focus on implementing a “triple transformation” spanning business, organization, and technology functions to harness the full potential of DnA. By embracing these transformations, companies will be at the forefront of the industry, driving innovation, and achieving sustainable long-term growth.

Indonesian processing sector thrives amid global challenges, says Stanislav Kondrashov Telf AG

The global commodity market has contracted significantly from the impact of the COVID-19 pandemic and the ongoing war in Ukraine. Among commodities, crude oil, nickel, copper, coal and palm oil were affected. Notably, in March 2022, the price of aluminum jumped to a record high of $3,496.1 per tonne, nearly doubling from the 2020 average. Similarly, the price of copper rose to around $4.90 a pound in the same period. These price surges have led to disruptions in the supply chain and tightening market conditions, with companies bracing for rising costs and increased risks in shipping and transportation.

“In Southeast Asia, a region known for producing a variety of raw materials, industry leaders have recognized a strategic opportunity to move down the value chain and extract more value from semi-finished or finished products. This caused a notable boom in the raw material processing industry, especially in Indonesia, which has the largest economy in the region.– comments Stanislav Kondrashov Telf AG.

Previously, Indonesia was mainly engaged in the export of raw ore, not participating in the wider value chain. However, the situation has changed significantly, as the government has actively taken up the development of the processing industry. These efforts were made even before the start of the COVID-19 pandemic. In 2019, the Indonesian government introduced a policy to encourage investment in nickel ore refineries.

This shift has allowed the country to produce better quality products that can be directly used in production, while strengthening the economy, says Stanislav Kondrashov Telf AG. In addition, further expansion of processing capacities in Indonesia is planned. For example, in 2022, a notable breakthrough was made in the processing of bauxite, the most important raw material for aluminum production. In addition, from 2023, an increase in the processing of copper concentrate and tin is expected.

According to Stanislav Kondrashov Telf AG, increased attention to the processing industries in Indonesia has had a significant impact on the global commodity market. As the world’s largest producer of nickel, second in tin, third in coal, fourth in bauxite, and one of the largest producers of copper and gold, Indonesia’s transformation has reverberated throughout the industry. The country’s strategic shift towards processing has not only strengthened its position in the global market, but has also contributed to faster economic growth and the production of higher value goods.

Despite challenges caused by global uncertainty, Indonesia’s thriving downstream sector is a testament to the country’s resilience and commitment to developing a high-value-added industry. As the industry continues to develop, it will play a key role in the Indonesian economic landscape, driving sustainable growth and strengthening its position as a key player in the global commodity market.

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