Business News of Thursday, 29 January 2004

Source: GNA

Huge investment in salt begins in Ada SOON

Accra, Jan 29, GNA- A massive development of the salt industry within the catchment area of the Songhor Lagoon, in the Ada Traditional Area is to take off soon.

Nene Sorgbordjor Obuade, Development Chief of Ada and member on the Board on the President's Special Initiative on Salt, announced this on Thursday in a chat with journalists after a forum for stakeholders in the salt industry held in Accra.

The forum discussed findings and suggestion of a two-man delegation from the Great Salt Lake City of Utah, USA, who were in the country at the invitation of the Ministry of Mines, and the Minerals Commission to study and provide expert advice on large-scale investment in the salt industry in Ghana.

Nene Obuade said it was unfortunate that a wrong impression had been created that chiefs were fighting one another over ownership of the land adding, "All is calm, and there is no conflict between chiefs, the government and the people of Ada".

He said government wanted to initiate measures to facilitate private sector participation in the salt industry.

Nene Obuade said government would ensure the lifting of brine from the lagoon to the production sites for fees, and proceeds from the salt business would be used for the development the Ada community.

He said Government was willing to give off the 51 per cent share it owned in a Greek salt company in the area, and concentrate on assisting private investors to operate in the industry.

Mrs Cecilia Bannerman, Minister for Mines, appealed to investors in the salt industry to consider the environmental impact on the health and safety of the people.

She said although Ghana had been recognised as a mining enclave globally, its salt industry was yet to reach any appreciable height, which called for technical advice and appropriate structures to help improve the industry.

Mr James Adjei, Principal Engineer at the Salt Desk of the Minerals Commission, said there was vast market for salt in the West African sub region.

He said Ghana's total annual production stood at only 250,000 tonnes and cited that Nigeria imported million tonnes of the commodity from Brazil.

Mr Adjei announced that a Technical Committee would be establishment by the Mines Minister, to prepare a Land Use Plan for the Ada Songhor Lagoon basin.

He said the Committee would also assess technical and socio-cultural issues and present a plan that would help establish a sustainable salt industry at Ada.

Mr Adjei said last year the Ministry through the HIPC Fund made available 3.2 billion cedis to members of the Elmina Salt Producers Association.

He also said an application for 6.2 billion cedis assistance from the Nyanyano Salt Producers had been recommended to Ministry of Finance for approval.

Mr David Butts one of the delegate from the Great Salt Lake City, appealed to government to develop the transport and other infrastructure to ensure large-scale production of salt. Mr Max Reynolds the other delegate announced that a training programme in salt manufacturing in Utah, United States, was organised for some Ghanaians.