Africa-Press – Uganda. President Yoweri Museveni has reaffirmed government’s commitment to prohibiting the export of unprocessed minerals.
This declaration was made during the commissioning of the Abyssinia Group of Industries’ new steel factory in Jinja.
The president emphasized that the Ministry of Energy and Mineral Development should refrain from issuing licenses to miners intending to export raw minerals. Instead, licenses should be granted exclusively to local manufacturers who add value to these resources.
He assured the Abyssinia Group of support in securing iron ore mining licenses, particularly as the company plans to utilize local iron ore from the Kigezi subregion.
“We shall not allow opportunists to mine minerals and come to sell to you, since you have promised to use our local iron ore from Kigezi subregion you have to mine it yourself,” Museveni stated.To further give incentives to investors, President Museveni pledged to offer favorable power tariffs.
Energy and Mineral Development Minister Ruth Nankabirwa highlighted ongoing efforts to reduce electricity costs.
She noted that following the government’s takeover of UMEME, the elimination of intermediaries has already resulted in a shs150 billion reduction in electricity bills for Ugandans.
“We are in the process of finalizing the UMEME takeover, and I can assure you that after doing away with middlemen, the power tariffs shall go down,” Nankabirwa affirmed.
Jateen Patel, Chief Executive Officer of Abyssinia Group, announced that the new facility aims to produce 75,000 tons of steel annually.
The factory is expected to directly employ 280 individuals and indirectly benefit over 1,000 people.
Investment Minister Evelyn Anite and Industry Minister David Bahati expressed optimism about the domestic market for iron ore.
Bahati highlighted that Uganda possesses approximately 312 million tons of high-quality iron ore in Kabale, which remains unexploited.
“We still have tons and tons of iron ore unexploited, so when we get manufacturers in the steel industry, it is a great opportunity for us as a country,” Bahati remarked.
The inauguration of the Abyssinia Steel Factory aligns with President Museveni’s broader strategy to promote value addition within Uganda’s mining sector.
By processing minerals domestically, the country aims to enhance revenue, create employment opportunities, and stimulate economic growth.
This initiative reflects Uganda’s ongoing commitment to industrialization and economic self-reliance, ensuring that the nation’s mineral wealth contributes directly to its development.
For More News And Analysis About Uganda Follow Africa-Press
