VALCO Plans Aluminium Rod Production to Deepen Ghana’s Downstream Value Addition
The Volta Aluminium Company Limited (VALCO) is positioning itself to move beyond primary aluminium production with plans to introduce a continuous casting and rolling mill capable of producing aluminium rods for Ghana’s electrical cable industry and potentially the international market.
The proposed development is expected to deepen value addition in Ghana’s aluminium industry by enabling the country to process more of its aluminium into intermediate products for downstream manufacturers.
The initiative could also help reduce the reliance of local cable producers and other downstream businesses on imported aluminium inputs, while creating opportunities for locally manufactured aluminium products to access regional and international markets.
The development was disclosed by VALCO’s Finance Director, Sepenu Agbetsise, at the Ministry of Lands and Natural Resources’ mid-year performance review and training programme held at the Marriott Hotel in Accra.
According to Mr Agbetsise, the planned continuous casting and rolling mill would expand VALCO’s production capabilities beyond primary aluminium and support the development of a stronger domestic aluminium value chain.
The production of aluminium rods is particularly significant for the electrical cable industry, where aluminium is used as a key input in the manufacture of conductors and cables.
By producing the rods locally, VALCO could provide a more reliable domestic source of raw material for cable manufacturers, potentially reducing import-related costs and exposure to international supply chain disruptions.
The initiative also aligns with broader efforts to retain a greater share of the value generated from Ghana’s mineral resources within the domestic economy.
Rather than exporting or processing aluminium only at the primary production stage, the expansion into intermediate products could support the growth of downstream manufacturing, create additional economic activity and strengthen linkages between the aluminium industry and other sectors.
The potential export market for aluminium rods could further enhance the development’s economic significance, giving Ghana an opportunity to supply processed aluminium products beyond the domestic market.
The planned investment comes at a time when the government and industry stakeholders are placing increased emphasis on local value addition, industrialisation and the development of downstream industries around Ghana’s natural resources.
If successfully implemented, VALCO’s casting and rolling mill could therefore represent an important step in expanding Ghana’s aluminium value chain and supporting the growth of local manufacturing.
The development is expected to complement ongoing efforts to strengthen Ghana’s aluminium industry and maximise the economic benefits of the country’s aluminium resources through increased domestic processing and manufacturing.
