Mr. Abdul Razak Adam, Chief Executive Officer of Electrochem Ghana, has said that the company’s Outgrower Scheme, a small-scale initiative in Ada, could generate $100 million biannually if managed correctly.
The Outgrower Scheme is a small-scale salt mining project initiated on August 26 this year.
Speaking to the Ghana News Agency in an interview, Mr. Adam said Electrochem Ghana launched the scheme to resolve a long-standing dispute with local miners by offering concessions and guaranteed purchases of salt mined by the community.
The initiative was recommended by a joint parliamentary committee.
Mr. Adam said the initiative should be seen as a major economic activity that would benefit the Ada community.
He said the 200,000 acres of land allocated for the project could produce 500,000 metric tonnes of salt, which is expected to generate $100 million every six months.
“When it is done efficiently, they would be able to produce 500,000 metric tonnes of salt every half a year.
“One metric tonne amount to $200, so if they produce 500, 000 metric tonnes, then it means they will make $100 million every six months,” he said.
Mr. Adam stated that, in addition to financial benefits, the Ada community could meet Ghana’s annual salt usage of 600,000 metric tonnes.
He said the project would also promote responsible mining and environmental sustainability.
Mr. Adam said that before Electrochem took over, illegal mining activities had led to the loss of portions of the Ada lagoon and Ramsar sites.
He said the company was focused on introducing sustainable salt mining methods to the indigenous community.
“So, this project would also help promote responsible mining and environmental sustainability.
The lagoon and Ramsar sites would not be destroyed,” he said.
Nene Dameh Sewu III, Chief of Togbloku Okor and Executive Secretary of Ada Community Chiefs Association, who spoke to the GNA, stated that the 50 chiefs in the association are fully in support of the project.
He said the project would project would be a game changer for the indigenous people of Ada, adding that the chiefs would enforce project regulations to ensure their subjects benefit maximally from it.
Mr. Lord Freeman Aleley, Secretary of Terkperbiawe Youth Association, said the project would bring significant financial benefits to the community and encouraged the youth to take advantage of it.
He said the involvement of Electrochem in the salt production business had increased the value of salt, making it a lucrative venture.
“I have realized that with the coming of Electrochem, the pricing on salt is high.
If you go into it, you will make a lot of money unlike in the past when it was an open land, and anybody could go and mine; there was no value in it.
“It is a very good thing that is going to help everybody in the area, so I entreat everybody especially the youth to go into it,” he said.
