Rwandatel hits 120,000 subscribers

Rwandatel, the country’s oldest telecom company, announced to have marked 120,000 subscribers in three weeks of its operation since migrating to the use of GSM technology.

The company embraced 2G, 3G, and GSM technology early December, after its acquisition by LAP Green networks, a subsidiary of Libyan African Portfolio.

The company’s Chief Executive Officer (CEO), Patrick Kariningufu, revealed that this figure reflected the level of the ‘active subscribers’ Rwandatel had as of December 21, 2008.

He announced the developments Tuesday, while attributing the unexpected number of subscribers within three weeks of operations to better network and service delivery.

With initial investments worth USD 72m, the new technology can enable subscribers to conduct wireless video calls, and access broadband Internet among other uses.

Kariningufu explained that since rolling out the new technology, Rwandatel has been working hard to bolster its network as it expands to other parts of the country.

Rwandatel as part of its strategic plans set a target of attracting 600,000 mobile subscribers by mid 2009.

MTN Rwandacell which is Rwandatel’s only competitor has slightly more than 1 million subscribers at the moment.

Prior to switching over to 3G technology, Rwandatel was operating under its CDMA technology.

Cassiterite still dominating mineral exports

Rwanda’s mineral revenues remain dominated by cassiterite, a tin oxide mineral (SnO2) which fetched revenues to the tune of USD 37.6m (Rwf20.5b) as of October, 2008.

The earnings from 3.7 million kgs of the extracted ore in the country represents 45.9 percent of the total revenue of USD 81.9m (Rwf44.7b) in the same period.

Vincent Karega, State Minister of Environment and Mining explained that the mineral’s dominance is because of its abundant existence in Rwanda, proven by its discovery way back during the colonial period.

According to information from the Ministry of Natural Resources, cassiterite is exploited in 26 of the 30 districts within Rwanda with 185 exploration permits already operational.

The mineral sector is largely dominated by foreign companies such as Gatumba Mining Concession, from South Africa, Bay View group from US, and Rwanda Minerals mining from Germany.

Cassiterite is the main ore of tin today used to produce tin cans for food containers, solder and polishing compounds. Statistics also show that the mineral beat Rwanda’s other key and highly valued minerals such as Wolfram (FeMnWO3), Coltan and Gold (Au).

Wolfram fetched USD10.9m (Rwf5.9b), Coltan USD 30.6m (Rwf16.7b), and Gold USD1m (Rwf549m). The growth patterns for Wolfram, Cassiterite and Coltan between 2006 and 2007 amounted to 103.7 percent, 101.5 percent and 72.1 percent respectively.

Human resource still  a challenge

Human resource capacity in the public and private sectors continues to be a challenge as Rwanda continues to intensify its efforts to properly position her within the global economy.

A study by the ministry of trade and commerce shows that the labour structure is such that 11 percent of workers have secondary school level of education while a whooping 87 percent are primary school holders or those with no formal qualification and only 2 percent are university graduates.

Monique Nsanzabaganwa, the Minister of Trade and Commerce explained that government is aware and taking concrete measures to address this huge gap within its current labour structure.

For instance the private sector has launched Business Development Services (BDS) centres while the Rwanda Development Board (RDB) has initiated Trade point to boost the competitiveness of local business entities.

Over the last few years, the government has initiated a comprehensive set of reforms to boost the national labour sector so as to enable the country offer better calibre of workforce.

Part of this includes continuously striving to upgrade the educational standards within the formal learning systems while also boosting efforts at offering on the job training for the exiting workforce.

Dairy sector urged to invest in UHT production

The government through the Centre for Support to Small and Medium Enterprises in Rwanda (CAPMER) urged dairy sector stakeholders to consider investing in Ultra High Treatment milk production.

This is because UHT milk has a longer life span, which could guarantee milk supply during dry seasons.

UHT milk does not need refrigeration and can be stored at room temperature for about 6-9 months.

Rutamu explained that UHT milk production aligns well with the current state of Rwanda’s dairy sector characterised by limited infrastructure.

The study findings also indicate that there is surplus milk production in different parts of the country, during the wet season and scarcity in the dry season.

According to CAPMER, UHT milk production units would also reduce importation of milk, which deprives the country of its foreign exchange required for the development of other sectors.

Some of the imported UHT dairy products include Highland and VIVA milk from Uganda, and Skim milk from Kenya.

CAPMER is among the eight institutions, which were recently merged to form the Rwanda Development Board (RDB).

The study indicated that most parts of the country are fit to host the processing units especially within the Southern and Eastern provinces, but might be obstructed by the high investment costs in machinery, technical maintenance and packaging materials.

The call comes at a time when CAPMER is also seeking to improve on the transportation and handling of milk countrywide in order to minimise milk losses and improve the quality of dairy products on the existing local market.

Ends