According to the Chief Executive Officer  (CEO) of the Minerals Income Investment Fund (MIIF), Edward Nana Yaw Koranteng, Ghana risks importing stones and chippings from neighbouring countries if rapid encroachment of quarry lands is not stopped. This he said last Friday after touring quarry sites and interacting with operators in the Western and the Ashanti Regions.

“We are faced with an existential threat to the quarry industry. The problem of encroachment is incurably bad. If we do not do something about it today, there can be  no doubt that within 15 years, the quarries in operation in Ghana could not support the construction and infrastructure requirements of the country.”

“We may then have to import stones from Togo, Burkina Faso or Côte d’Ivoire in order to support our fast-paced infrastructural development.”

Additionally, many quarries in the Ashanti and Western regions had completely folded up because of land encroachment. Similar encroachments are happening in the Greater Accra Region in areas such as Shai Hills, near Afienya, Amasaman and Pokuase, and in the Central Region, Gomoa Buduburum, Kasoa and Bawjiase have all stopped operations because settlements are located within the 500-metre radius.

As part of the measures to regulate encroachments of lands, Edward Nana Yaw Koranteng indicated that the MIIF outfit is coming up with funding strategies to support the sector in order for it to expand and be more efficient with operations. Additionally, MIIF is also designing a de-risking mechanism with banks and insurance companies to help with provision of credit for the quarry sector.

“We are looking at the possibility of underwriting a percentage of loans to quarry companies which will seek credit from banks or risk participation with banks in the provision of loan facilities for the sector. This will naturally be subject to a set of risk acceptance criteria, including proof of payment of royalties”, he added.

He equally advised captains of the sector to look at the possibilities of joint ventures in bidding for the major jobs, such as railway constructions.

To conclude, MIIF has designed an inter-agency framework and initiated an inter-agency task force that includes the Minerals Commission, the Minerals Development Fund, the Ghana Revenue Authority and the Ghana Standard Authority to facilitate the operational efficiency of quarries and other non-gold minerals.

(Source: Daily Graphic)

Monday 4th April, 2022 Publication.