The president underlined that miners who want to export raw minerals should not be granted permits by the Ministry of Energy and Mineral Development. Rather, permits ought to be given only to regional producers who enhance these resources.
Given that the Abyssinia Group intends to use local iron ore from the Kigezi subregion, he promised to assist the company in obtaining iron ore mining licenses.
“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,” said Museveni.President Museveni promised to provide advantageous power pricing in order to further encourage investors.
Ruth Nankabirwa, Minister of Energy and Mineral Development, emphasized continuous attempts to lower the price of electricity.
She pointed out that since the government took control of UMEME, Ugandans’ electricity prices had already decreased by shs150 billion as a result of the removal of middlemen.
“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,” said Nankabirwa.
According to Abyssinia Group CEO Jateen Patel, the new plant would have an annual production capacity of 75,000 tons of steel.
It is anticipated that the factory will directly employ 280 people and indirectly help more than 1,000 more.
Industry Minister David Bahati and Investment Minister Evelyn Anite were upbeat about the iron ore local market.
Bahati called attention to the fact that Uganda has about 312 million tons of untapped high-grade iron ore in Kabale.
“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 said.
President Museveni’s overarching plan to encourage value addition in Uganda’s mining industry is in line with the opening of the Abyssinia Steel Factory.
The nation hopes to increase income, generate jobs, and promote economic progress by processing minerals domestically.
This program guarantees that Uganda’s natural riches directly supports its development and demonstrates the country’s continued commitment to industrialization and economic independence.
