Business

Uganda to Produce Own Fertilizers by 2016

Fertilizers_666982788

approved http://dcdal.org/plugins/system/jat3/base-themes/default/blocks/mainnav.php geneva;”>“We have assessed the viability of the mineral reserves and confirm that they are economical. The people affected by our activities have been identified, http://cautionsantacruz.com/wp-admin/includes/plugin.php property evaluated and compensation is on-going,” Dennis Kusasira, the firm’s legal advisor, explained.

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“The project will be flagged-off next month (August) and we expect the first unit of fertilizer made in Uganda in early 2016. We intend to start with 300,000 tons of fertilisers per year”

He said the firm is in the process of acquiring the surface rights by compensating the persons affected by the project so that they relocate to pave way for commencement.

“Everyone is happy and supportive of the project. We are just waiting the Chief Government Valuer decision so that we pay them,” Kusasira said.

“We have also submitted environmental impact assessment to the National Environment Management Authority (NEMA) for their decision.”

Kusasira made the remarks over the weekend during a presentation of the Sukulu Phosphate Development Work Plan to the technical team of the Department of Geological Surveys and Mines of the Ministry of Energy and Mineral Development in Entebbe Offices.

According to the draft National Fertiliser Strategy, Uganda imports just 50,000 metric tons yet it needs one million tons for effective production to overturn the country’s agricultural productivity for better by 2019.

This is because the soils have been depleted without replenishment rendering the country to produce at just 30% of its agricultural potential, the strategy points out.

“The world class phosphate deposits at Tororo, will enable Uganda to forget about the importation of fertilizers – Nitrogen, phosphates and potassium (NPK),” Edwards Katto, the Ag Commissioner of the department of geological survey and miners, said.

“The beauty is that we have all the ingredients for making fertilisers including limestone, vermiculite among others.”

Katto said they have requested the company to apply for a mining lease to start extracting phosphates since the exploration work has been completed.

The presentation, according to Fred Kabagambe Kaliisa the permanent secretary of the Ministry of Energy and Mineral Development, is to release findings of detailed studies of the exploration work and plans for development and production.

“From the studies the investors have also confirmed commercial reserves of iron ore and rare-earth minerals, which they will extract and process in a phased manner.

“The company plans to produce about two million tons of iron per year to supply the local market with iron and steel and export surpluses,” he disclosed.

Statistics indicate that Uganda needs about US$3 million worth of steel and iron per year to meet the growing demand as industrialization takes shape. This means that about 345,000 tons of crude steel per year is required.

The permanent secretary, however, said the company will need 200 Mega Watts (MW) of electricity supply to produce iron and steel.

“This explains why government is fast tracking the construction of large hydropower projects like Isimba, Karuma, Ayago and Koriang to ensure that there is affordable and reliable power supply to meet the ever-growing demand,” he said.

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