Cost Cutting after Rapid Expansion

Over the past decade there has been significant investment in capital expenditure within the Australian mining sector. After record levels of investment in equipment, plant & machinery, cost cutting is now the order of the day for mining companies.
Impacts on Mining Sector Suppliers

This cost cutting agenda has effected many companies who supply the mining sector. They have had to face difficult choices such as significantly dropping their prices or loosing valuable customers, and in some cases even laying off staff.
Efficieny: Reason for Cost Cutting

What we have discovered is that mining executives are cutting costs as a measure of improving efficiency, or getting maximum production for minimum cost. While this can be seen as a threat, it can also be a promising opportunity for mining suppliers who are attuned to their customer needs.