Members of the Angolan Industrial Association (AIA) have emphasized the importance of conducting a feasibility study for the construction of connection branches between key large-scale production centers and the Lobito Corridor.
This initiative is seen as a priority to maximize the economic benefits of this significant infrastructure, which serves both the Angolan economy and the southern region of Africa.
The message was conveyed by the president of the association, José Severino, who outlined the vast opportunities available to Angola in leveraging its comparative advantages in mineral resources.
This comes at a time when Europe seeks new markets for energy resources due to diplomatic and commercial tensions with Russia and China.
Severino stated that the Lobito Corridor should not be viewed solely as a service to the areas along its railway line (Benguela, Huambo, Bié, and Moxico).
Its economic potential extends to the neighboring provinces of Huíla, Cuanza-Sul, and Malanje, which could export their production through future connection branches, facilitating access to markets in the Democratic Republic of Congo (DRC), Zambia, and beyond, via the Port of Lobito.
“We have many resources, including reforestation and the Lomaum Dam, which can provide electricity to Benguela, particularly to Cubal and Ganda, two cities in need of power.
Ganda has always had agro-industry, with two large farms that exported products to Spain. We have timber, cellulose, and other major resources.
When people think of Cubal and Ganda, they may view them as mere villages, but they are actually cities,” Severino noted.
While Severino recognizes that the primary focus of major powers is on minerals, he also stresses that other products will play a key role in trade, citing the need to export salt from Baía Farta. “Baía Farta produces large salt piles, but they need to be transported, not just left exposed,” he explained.
He proposed studying the construction of a branch line between Baía Farta and the CFB (Central Railway of Angola) to facilitate the transport of salt, cement, and other valuable commercial products.
AIA also advocates for the gradual removal of fuel subsidies through small, regular price increases, which would allow the market to adjust without causing major disruptions to businesses and citizens.
Severino highlighted that a recent study indicates the most pressing concern is the price of diesel, which is essential for the transport and industry sectors. Diesel is a key fuel in smuggling activities, especially in transport.
“There are ongoing studies to continue subsidizing agriculture and fisheries, as the trucking industry doesn’t focus much on diesel.
What the trucking sector demands is better road infrastructure. We have proposed that Sonangol provide more wagons to reduce road transport, which is longer, more expensive, and accelerates road deterioration,” he said.
Furthermore, Severino emphasized the importance of an extensive program for limestone production, aimed at treating potable water and extracting dolomitic limestone for soil correction to increase agricultural productivity.
He explained that this would reduce the need for Angola to spend significant amounts importing limestone from South Africa annually.
It would also enable agricultural fields in the central and southern regions of the country to produce higher yields per hectare, aligning with the government’s goal of achieving food self-sufficiency.
He pointed out that the government’s fertilizer subsidies have not resulted in exponential productivity increases due to the lack of limestone for soil correction, particularly in central and southern Angola, where soils tend to be highly acidic.
According to Severino, applying fertilizer without soil correction is “almost useless,” leading many farmers to reject fertilizers because they do not see positive results, not realizing that the problem lies in the uncorrected soil.
“We proposed in the General State Budget (OGE) that limestone be subsidized and that furnaces be built for its production. As a result, we now have the Soyo fertilizer project, which has already begun operations,” he concluded.
