Ghana Must Process Minerals Locally- Says Ghana Veep
Ghanaian Chronicle (Accra)
June 14, 2006
Joseph Coomson
The Vice President, Alhaji Alui Mahama, has said that Ghana would earn more foreign exchange if minerals mined in the country were processed locally before exported.
He said the added value would also create a linkage with the other sectors of the economy leading to creation of jobs, especially in the private sector.
He noted that government would continue to provide the enabling environment and support for the private sector to become the real engine of growth.
The Vice President of the republic was speaking as the guest of honour at the opening ceremony of the 7th West African Mining and Power Exhibition and Conference in Accra yesterday.
Alhaji Mahama said favourable gold prices and the new minerals law have attracted more mining companies into the country.
He praised the mining industry for overtaking cocoa in foreign exchange earnings but cautioned mining companies to be abiding with best mining practices for a cleaner environment.
Ghana recorded a significant increase in all mineral productions in 2005 with gold taking over from cocoa as the leading foreign exchange earner for the country.
Mineral revenue went up from 798 million dollars in 2004 to 995.2 million dollars in 2005, contributing about 13 per cent of the total collection of the Internal Revenue Service in the year under review. Gold production recorded an increase of 63 per cent from 1,794,497 ounces in 2004 to 2,029,218 ounces in 2005 with its export revenue increasing from 731.2 million dollars to 903.9 million dollars.
These were contained in the 2005 annual report of the Chamber of Mines released at its 78th Annual General Meeting held in Accra under the theme, "The Impact of Mining on Local Economy."
The Report said bauxite revenue increased from 11.9 million dollars in 2004 to 18.1 million dollars in 2005, while diamond rose from 26 million dollars to 34.7 million dollars.
Manganese exports realized 39.1 million dollars in 2005, up from 30.2 million dollars the previous year.
The vice president also called for transparency in the utilization of mineral royalties, especially with communities around mines.
On the energy front, the Vice President said Ghana would have a reliable power supply, especially in the mining industry after the completion the West African gas pipeline, as there would be constant supply of gas for powering thermal generators in the country.
On his part, the chairman of the opening ceremony and former president of the Ghana Chamber of Mines, Mr. Kwabena Anaman, said the mining industry in the country is responsible for the implementation of many livelihood and social responsibility projects.
He said Goldfield Ghana sponsored the Black Stars of Ghana with $3million, whiles AngloGold Ashanti financed the $3million-malaria control programme in Obuasi.
He did not leave out the Ghana Manganese Company's support for the University College of Mines, Tarkwa.
Newmont's livelihood projects in Ahafo and Akyem were also mentioned, as they were described as one of the best in the world of mining.
Copyright © 2006 Ghanaian Chronicle. All rights reserved.
