At least five companies have already ceased their activities at the Beluluane Industrial Park in Maputo Province, and up to 25 others could suspend operations following the shutdown of the Mozal aluminum smelter, scheduled for Sunday, according to data released by Mozparks, the entity managing the industrial complex.
According to Lusa, Mozparks’ CEO, Onório Manuel, explained that the park hosts around 25 companies that supply goods and services directly to Mozal, and most of these companies could be forced to halt their activities due to the stoppage of the country’s largest industrial unit.
“We estimate a total of 25 companies providing goods and services to Mozal. We have already been informed that most of these companies, due to the suspension of activities at Mozal, are also considering taking similar measures,” he said.
According to Manuel, the smelter is entering a maintenance and conservation phase, a process that requires the gradual interruption of associated industrial activities. Some companies have continued operating until now because they are directly involved in the operations necessary to ensure the safe shutdown of the unit.
“At this moment, we already have an average of five companies that have ceased activities, mainly those most connected to production. There are others linked to electrical or industrial maintenance that were still operating during the shutdown process,” Onório Manuel explained, adding that the companies that have already stopped operations currently have no prospects of resuming.
The impact could extend to employment, as about 4,000 jobs in companies within Mozal’s value chain are potentially at risk. “We are talking about numerous jobs in companies connected to Mozal’s value chain, not necessarily at Mozal itself,” emphasized Mozparks’ CEO.
For the industrial park manager, the smelter’s closure could also slow the industrial expansion recorded in recent years in Beluluane, which had been attracting new productive investments. “This impact is not limited to the park. It also affects the local economy of the province and the country as a whole. Mozal is not an industry whose effect is confined to a single industrial unit; it is an entity with a significant impact,” he said.
Onório Manuel further added that the decision could influence international investors’ perception of the business environment in Mozambique, especially regarding large-scale industrial projects. “This news reaches international markets and may bring additional risks, deterring large-scale investments that have a significant impact on GDP,” he stated.
According to the official, Mozal’s contribution to the national economy has been particularly relevant in the manufacturing sector. Mozambique’s GDP currently stands at around 16 billion dollars, with the manufacturing industry representing approximately 10% of that total, equivalent to 1.6 billion dollars. Of this amount, nearly half corresponds to Mozal’s activity.
The smelter’s suspension comes after the Australian company South32, Mozal’s majority shareholder, deemed the proposed electricity tariff for the industrial unit “completely unsustainable.” The company justified its decision to suspend operations starting March 15, although it admitted the possibility of reactivating the smelter if energy conditions become more competitive.
