African Nations Called to Invest in Beneficiation of Critical Minerals for Industrial Growth
Africa has the potential to be a key player in the global energy transition due to its rich reserves of critical minerals like lithium and cobalt.
However, maximizing this potential requires a robust strategy for building manufacturing capacity, scaling up production, and increasing exports.
This perspective was shared during a panel discussion at the recent Manufacturing Indaba, highlighting how resource extraction and industrialisation offer African nations opportunities to advance along the value chain, create high-skilled jobs, and drive technological innovation.
“We need to explore ways to deepen those value chains, leverage critical minerals for beneficiation, manufacturing, and broader value addition,” said Trade and Industrial Policy Strategies senior economist, Gaylor Montmasson-Clair. He emphasized the need for a diversified approach to seize these opportunities.
Thami Moatshe, executive head of the Localisation Support Fund, pointed out that Africa’s mineral wealth presents a chance for industrialisation and economic diversification, which would also require workforce upskilling, leading to job creation.
Moatshe also underscored the role of the African Continental Free Trade Area in fostering regional collaboration, positioning South Africa as a strategic regional hub.
“With the emergence of new industries, Africa must seize the opportunity not only to export minerals but also to process them and manufacture components,” she added.
Moatshe highlighted the challenges posed by competition from low-cost imports and the need for government support to enhance competitiveness.
Hilton Lazarus, head of the Industrial Development Corporation of South Africa’s basic and specialty chemicals unit, echoed this, noting that expanding Africa’s battery minerals value chain to include battery assembly would require significant investment, regulatory support, and incentives.
Lazarus stressed that stable and affordable electricity supply remains critical for supporting industrialisation efforts across the continent.
SOURCE:batterymetalsafrica.com
