Despite Ghana’s rich endowment of minerals such as gold, bauxite, and manganese, the country’s local industries have yet to fully benefit, with much of the raw resources still exported, according to Mr. Jewel Andoh, a Forestry and Economics Research Scientist at the Council for Scientific and Industrial Research (CSIR).
Speaking in an interview, Mr. Andoh said the failure to transform mineral wealth into industrial growth is largely due to limited local processing and value addition.
“Ghana’s minerals are largely exported in raw or semi-processed form. This means the added value that could create industries, jobs, and innovation remains untapped,” he explained.
He highlighted several factors behind this trend, including underdeveloped infrastructure and technology, policy inconsistencies, regulatory bottlenecks, and limited financing for local enterprises.
“Processing plants for bauxite or manganese, for example, are few and often operate below capacity. Local companies cannot compete with multinational corporations that have easier access to capital,” he noted.
Governance challenges in the mining sector, such as delays in issuing licenses and misalignment between mineral extraction and industrial policies, have also hindered the development of downstream industries, he added.
Mr. Andoh emphasized the importance of linking mineral extraction to manufacturing and other sectors. “Using local bauxite to produce aluminum for domestic manufacturing, or integrating gold into electronics and industrial goods locally, could create a multiplier effect,” he said, stressing that this requires investment in technology, skills development, and supportive industrial policies.
He also noted that research and innovation are critical to turning mineral wealth into industrial growth.
“CSIR and other institutions can provide technical expertise, but there has to be collaboration with the private sector and government to scale innovations into operational industries,” he said.
However, Mr. Andoh stressed that Ghana has the potential to transform its mineral resources into industrial development, but this will require deliberate policy shifts, improved infrastructure, and empowerment of local industries.
He warned that without these measures, Ghana’s mineral wealth will remain a source of export revenue rather than a driver of industrial transformation.
