Kampala: Uganda should move faster to process its iron ore locally and develop a fully integrated steel industry capable of supplying the country’s infrastructure needs and competing in regional markets, Steel & Tube Industries has said.

Mr Oscar Kamukama, the company’s marketing manager, said Uganda’s mineral wealth would have greater economic value if the country invested in processing and manufacturing instead of relying largely on the extraction and sale of raw minerals.

“Let us build a unified Ugandan industrialisation story, one that begins with Ugandan iron ore, moves into Ugandan processing, produces Ugandan iron and Ugandan steel, transforms into value-added Ugandan fabricated products, and directly powers national infrastructure projects,” Mr Kamukama said.

He was speaking at the 15th Annual Mineral Wealth Conference and Expo held at Speke Resort Munyonyo in Kampala from September 29 to 30 under the theme, “Beneath the Surface: Unlocking Africa’s Next Mining Powerhouse.”

Mr Kamukama said mineral beneficiation should be at the centre of Uganda’s efforts to unlock the potential of its iron ore deposits.

Beneficiation involves processing mined ore to remove impurities and improve its quality and iron content before it is used in subsequent stages of production.

Uganda has substantial iron ore resources. Government sources estimate the country has more than 350 million tonnes of confirmed reserves, while other government investment materials put the deposits at about 300 million tonnes, particularly in southwestern Uganda.

Mr Kamukama said these resources could provide the raw material for a domestic steel industry, reducing dependence on imported inputs while supporting construction and infrastructure development.

He said concentrated iron ore could be processed into steel billets, which would then be used to manufacture products including thermo-mechanically treated reinforcement bars, hollow sections, angle bars and round bars.

“If we can process our own iron ore, produce our own billets and manufacture finished steel products here, we can create a much stronger industrial value chain,” Mr Kamukama said.

He said the approach would also allow Uganda to retain more value from its mineral resources, create industrial jobs and provide a reliable domestic source of materials for major infrastructure projects.

Steel & Tube already operates manufacturing facilities in Uganda, including its main plant at Namanve Industrial Park and its Structural Steel Division in Kyambogo.

The company traces its origins to 1985, when Hardware Deals (U) Ltd was established as a steel and hardware trading business before later merging with Steel & Tube Industries Ltd.

Mr Kamukama said Uganda’s ambitions should not stop at meeting domestic demand, arguing that a stronger local steel industry could position the country to serve markets across East Africa and the wider continent.

He identified the East African Community as an immediate market for Ugandan steel products, while the African Continental Free Trade Area offers manufacturers access to a much larger continental market.

The AfCFTA brings together 55 African Union member states and creates a market of about 1.4 billion people, providing Ugandan manufacturers with an opportunity to expand beyond the domestic market and participate in regional and continental supply chains.

But Mr Kamukama said achieving that ambition would require closer collaboration between government, manufacturers, financiers, investors and other players in the minerals sector.

He said the participation of manufacturers at the Mineral Wealth Conference was important because discussions about Uganda’s mineral resources needed to translate into actual investment and production.

“The time for summits, forums and workshops must now translate into action to get these minerals out of the ground,” he said.

The call comes as Uganda seeks to promote mineral value addition and use its natural resources to support industrialisation.

The two-day conference brought together government officials, investors, financiers, mining companies, technology providers and other stakeholders to discuss investment opportunities and the development of Uganda’s minerals sector.

For Uganda, Mr Kamukama’s proposal would link the country’s mineral resources to manufacturing, construction and infrastructure, creating a value chain that starts with locally mined iron ore and ends with finished steel products for both domestic and export markets.