Ghana to sign agreement with Guinea for development of estimated $350b bauxite sector

It is estimated that Ghana’s bauxite deposits in refined form could earn the country an export value of over $350 billion, as the country and Guinea are set to begin discussions for bilateral cooperation in bauxite industry development, similar to the trade cooperation between Ghana and Ivory Coast in the cocoa sector.

This was made known by Vice President Dr Mahamudu Bawumia after a bilateral meeting between him and the Prime Minister of Guinea, Mr Ibrahima Kassory Fofana, on the sidelines of the 14th CII-Exim Bank Conclave on India-Africa Partnership Project in New Delhi, India.

In a brief interview with the media after the meeting, Vice President Bawumia said the cooperation would enable the two countries to share knowledge, draw synergies and enhance mutual benefits.

He said the nation intended to add value to bauxite by setting up refineries therefore the cooperation would enable Guinea and countries patronise the refinery.

That, he said, would boost the Ghanaian economy and earn additional foreign exchange.

Guinea has the largest bauxite deposits in the world and Ghana has close to a billion metric tonnes of bauxite, therefore the two countries would control between 70-80 percent of the world’s bauxite resources.

Therefore, the two nations working together would help strengthen their position and voice in the global market on bauxite, which would be beneficial for the two countries.

In June 2017, Government announced that Ghana is gearing up to establish an integrated aluminum industry by mining and refining its bauxite deposits, particularly in the Nyinahini enclave.

The Government has started the process through the passage of the Ghana Integrated Aluminum Development Corporation, a Public holding company entrusted with the country’s bauxite resources, its management and development.

Request for proposals to select a mining company and an off-taker for the refined bauxite would soon be announced for the selection process to begin.

It is estimated that Ghana’s bauxite deposits in refined form could earn the country an export value of over $350 billion.

This has the huge potential of changing the economic dynamics of the nation dramatically.

Earlier, Vice President Bawumia, together with the Prime Minister of Guinea, Mr Ibrahima Kassory Fofana and the Deputy Prime Minister of the Kingdom of Lesotho, Mr. Monyane Moleleki paid a courtesy call on the Vice President of India, Mr Venkaiah Naidu.

The leaders engaged in Frank discussions on how Africa and India could partner for enhanced economic cooperation in the areas of trade and investments to boost their respective economies.

Source: GNA

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