today's Pick
China to build US$100m steel plant in Mbarara
Publish Date: Sep 24, 2012
.
  • mail
  • img

 By Vision Reporter

China Machine Building International Corporation (CMIC), a Chinese government company, has pledged to establish a US$100 million iron ore mining and integrated steel plant in Mbarara district.  The plant is expected to be fully operational in 18 months.
     
This was disclosed by the General Manager of the Chinese company, Li Fengshan in a meeting with President Yoweri Museveni at his country home in Rwakitura, Kiruhuura district on Saturday.
 
Welcoming the Chinese delegation, Museveni emphasized the importance of the steel project and said it would go a long way in spurring the much needed development of the infrastructure in Uganda.

“We need a steel industry very badly because the government does a lot of construction works, especially the construction of dams that needs fresh steel,” he noted.
 
The President further told the Chinese guests that once the steel industry is established, transport costs for steel, would be reduced drastically.
 
Major problems facing the Ugandan steel industry are primarily low product quality and quantity and shortage of raw materials. Uganda is home to proven high quality iron ore resources in the Eastern and South Western Regions exceeding 100 million tons.
 
Uganda’s steel and iron industry has also been growing at unprecedented rates averaging over 30% and 40% per annum for imports and exports respectively mainly due to the booming housing and construction sector in the country itself and the region as a whole.

Steel demand in Uganda that is estimated at over 150,000 tons per annum is well above the actual steel production of over 60,000 tons per annum.

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Burkina gov
Burkina Faso's interim leaders were expected to unveil a new government lineup on Sunday, with the country anxious to see the extent of military influence under civilian President Michel Kafando....
Boko Haram gunmen kill 48 fish vendors
Boko Haram gunmen killed 48 fish vendors in Nigeria''s restive Borno State, near the border with Chad....
3000 evacuated after WWII bomb found in France
The 250-kilogramme (550-pound) bomb was found near the city's town hall during the building of a new metro line....
The Indonesian Football Association banned 12 players and officials who competed to score own-goals in a farcical match last month....
The city that has banned noisy suitcases
Famed for the serene silence of its timeless nooks and crannies, Venice is about to get even quieter ... by banning noisy suitcases on wheels....
President Yoweri Museveni has warned that if corruption in Uganda goes unchecked and unpunished, it would pose a serious threat to the country....
Should workers be subjected to a 4% Health Insurance Tax??
Yes
No
Can't Say
follow us
subscribe to our news letter