Mineral beneficiation a priority for SA, Ramaphosa tells G20 meeting

President Cyril Ramaphosa used his opening address at the G20 meeting of foreign ministers to push for local beneficiation of critical minerals.

The SA government has long pushed for local processing of raw minerals, calling for fair trade with countries such as China.

At the Brics summit in 2023, Ramaphosa agitated for a percentage of the mined “rocks and sand” to be processed locally and sold to foreign countries as finished products.

Addressing the 15 foreign ministers, some from world superpowers including China, the UK, France and Japan, Ramaphosa said this was one of the four focus areas for SA’s G20 presidency.

SA has abundant mineral deposits including coal, gold, platinum, manganese and iron ore. Mining resources are estimated to be worth around $2.5-trillion in 16 commodities. The country is ranked fifth in world when it comes to the sector’s contribution to GDP.

“We will seek to harness critical minerals for inclusive growth and sustainable development. We will champion an inclusive G20 framework on green industrialisation and investment to promote value addition and beneficiation of critical minerals,” said Ramaphosa.

“SA will seek to take forward the recommendations of the 2024 report of the UN secretary-general’s panel on critical energy transition minerals.”

SA is this week hosting the first meeting of foreign ministers since taking over the G20 presidency from Brazil in December. The country will hold the presidency for the next 12 months, handing over to the US at the end of the year.

The country will focus on several issues, including calling for Africa to be prioritised, he said.

Ramaphosa said he wanted global communities to prioritise making financing available and affordable for construction after disasters in African countries.

SA will also press for affordable interest on debt.

“Debt payments are crowding out vital domestic expenditure and diverting critical resources away from development.

“More than 3.3-billion people live in countries where interest payments on debt exceed education or health spending,” said Ramaphosa. “The G20 needs to renew its efforts to advance debt sustainability, with a particular emphasis on African countries.”

Another focus is to mobilise financing for a just energy transition.

“Though climate change affects developed and developing economies alike, the impact is uneven. Every nation has a responsibility to contribute to the global climate effort in line with the principle of common but differentiated responsibilities and respective capabilities,” said Ramaphosa.

“Those most responsible for climate change have a duty and responsibility to support those least responsible. G20 leaders should secure agreement on increasing the quality and quantity of climate finance flows to developing economy countries.

“This includes strengthening multilateral development banks, enhancing and streamlining support for country platforms such as the just energy transition partnership, and leveraging private capital more effectively.”

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