ACP Nations Urged to Embrace Value Addition for Raw Materials

Deputy Speaker of Parliament and President of the Organisation of African, Caribbean and Pacific States (OACPS) Parliamentary Assembly, Thomas Tayebwa, has strongly advocated for member nations to shift their focus towards industrialization and value addition. Addressing the 121st OACPS Council of Ministers in Brussels, Tayebwa emphasized that the organization’s future relevance hinges on its ability to champion policies that directly benefit citizens by creating jobs and enhancing the economic returns from natural resources.

A significant concern highlighted by Tayebwa is the continued export of unprocessed minerals by many African nations, a sentiment echoed by Uganda’s President Yoweri Museveni. This practice results in substantial economic losses, as the continent possesses vast mineral wealth – estimated at US$29.5 trillion – yet captures only a fraction of the value chain. Instead of retaining wealth through local processing and manufacturing, raw materials are exported, allowing other economies to profit significantly from adding value.

Tayebwa pointed to the coffee market as a stark example, where producing countries, primarily in Africa, receive a mere 3% of the global market’s US$465 billion value. He urged the OACPS Council of Ministers to confront these “hard questions” and reorient their priorities towards tangible economic improvements for their populations. The Deputy Speaker stressed that failing to move beyond raw material exports and embrace domestic processing and manufacturing risks diminishing the bloc’s influence and its ability to foster meaningful development.

He cited the Democratic Republic of Congo’s experience with increased cobalt processing as a positive instance where value addition significantly boosted national revenues. Tayebwa concluded by warning that the OACPS must redefine its development agenda to center on issues that truly matter to ordinary citizens, lest it lose its significance.

Source: Parliament of Uganda