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In its
determination to diversify the nation’s economy from a mono
product to a poly product economy, the Federal Government
has reaffirmed its desire to make minerals and metal sector
the bedrock of the nation’s economy in the next few years.
The Honourable Minister of
Mines and Steel Development, Arc. Musa Mohammed Sada dropped
the hint during his meeting with the delegation of officials
of African Iron and Steel Association in his office.
The Minister said the
present administration was ready to support the development
of the minerals and metal sector being one of the
transformational agenda of the Federal Government.
Arc. Sada expressed the
ministry’s readiness to work with other relevant bodies to
develop well articulated plans to move the sector forward,
stressing that the minerals and steel sector is a major and
critical resource for the industrialization of the country.
The Minister who decried
various challenges such as infrastructure, raw materials,
legal problem among others militating against the survival
of the nation’s steel industry expressed the government‘s
preparedness to
tackle such problems so as to move the sector forward.
Arc. Sada disclosed that
for the National Iron Ore Mining Company, Itakpe to be
functional, the Federal Government has directed the
resuscitation of one line of the company to produce Iron
Ore, the basic raw material for the production of steel.
He also added that to
solve the technical problems associated with the nation’s
steel sector; the Ministry is already collaborating with
relevant bodies such as the Ministries of Justice, Works,
Transportation and Finance.
He said if well articulated
plans are put in place, the Jonathan led- administration
will not relent in her effort to revive the sector.
The Minister disclosed that
he had directed the Mining Cadastre Office not to renew the
nineteen (19) mining titles issued to the Delta Steel
Company, adding that he had ordered that those mining titles
should be converted to the National Iron Ore Mining Company
(NIOMCO) as its captive mines.
He said “For sustainability,
I want to assure you that we have not lost sight of the
Nineteen (19) mining titles to (DSC), they came back to
renew it but I stopped them. I ordered Mining Cadastre
Office to convert those titles to NIOMCO as a company.
The Minister pointed out
that legal problem is the major factor facing the steel
industry; expressing hope that the legal tussle would be
solved.
He explained that the
minerals and metal sector cannot be funded adequately with
budgetary provisions, adding that with the collaboration of
the Ministry of Finance, other areas of statutory funding
will be explored for the sector.
Arc. Sada promised the
unflinching support of the Federal Government towards the
association in her bid to move the minerals and metal sector
forward.
Earlier in his address, the
leader of the delegation and the
Executive Secretary of the African
Iron and Steel Association, Alhaji Sanusi Mohammed said the
essence of their visit was to brief the Minister about the
association and their views on how to grow the nation’s
steel sector.
Alhaji Sanusi commended the
initiatives of the Minister at resuscitating the nation’s
steel sector which had about eighteen (18) steel rolling
mills as well as his
determination to revisit the issues of privatized steel
industries that are not functioning accordingly.
The leader of the delegation
who decried the improper approach of privatization of the
nation’s steel rolling mills said each of the moribund steel
rolling mills was built at $120 million dollar with the
production capacity of 210,000 tons of billet per annum
while none of the steel rolling mills was sold for more than
$10 million dollar.
Alhaji Sanusi who appraised
numerous challenges facing the nation’s steel sector,
advised the Minister to use his good office to correct those
anomalies so as to move the sector forward.
He also expressed the
association’s commitment to work with the government in
achieving her task of developing the steel sector which is
the bedrock of the nation’s industrialization.
Alhaji Sanusi also solicited
for the support of the federal Government in the area of
budgetary provisions for the association.
The African Iron and Steel
Association (AISA) is an organization that was given birth
to by the combined effort of the African Union (then OAU)
and the United Nation’s Industrial Development Organization
(UNIDO) to attack the dearth in steel development in Africa. |
