Sector Programme
Extractives and Development
A woman worker breaks down stones at Gudah mine in Bikaner, Rajasthan

Local Value Addition Construction Raw Materials

The Sector Programme is developing guidelines for dealing with locally produced construction raw materials, such as clay, lime, gypsum, sand, natural stone and dimension stone, in metropolitan regions. The aim is to link urbanisation and the associated construction boom in metropolitan areas with local value chains in the surrounding areas. This includes market studies and potential analyses in India and Indonesia.

The Sector Programme “Extractives and Development” works on the topic of construction raw materials and identifies their potential for the local economy in developing and emerging countries. Construction raw materials are typically low in price and their suitability for export is therefore limited. Yet, they can boost local value addition and thus contribute to strengthening the local economy and reducing poverty. For example, this will be achieved by strengthening local employment, local businesses and infrastructure.

The goal of the Sector Programme is to support partner countries in sustainably making use of the potentials of construction raw materials. For this purpose, a market study and a potential analysis of the sector of construction raw materials in urban regions will be conducted. Due to population growth and urbanisation, the urban centres of New Delhi (India) and Surabaya (Indonesia) were selected as suitable study locations. Value chains of selected construction raw materials such as clay, lime, gypsum, sand, natural stone and dimension stone will be identified and analysed for socio-economic as well as environmental barriers and potentials for local value addition. In a subsequent step, the obtained results will be used to define guidelines for political and industrial decision-makers.

A preliminary desktop study has been published in October 2020. The final study has been published in May 2021.

Construction Raw Materials in India and Indonesia. Market Study and Potential Analysis.

Construction Raw Materials in India and Indonesia - Market Study and Potential Analysis. Preliminary Report.

File type PDF | Date of status 10/2020 | File size 8 MB, Pages 64 Pages | Accessibility Accessible

Construction Raw Materials in India and Indonesia - Market Study and Potential Analysis: Final Report

File type PDF | Date of status 05/2021 | File size 7 MB, Pages 128 Pages | Accessibility Accessible
Local Value Addition

LION - Local Investment Opportunities in Natural Resource Projects Internal link

LION models procurement expenditures of mining companies to provide local decision makers and suppliers with information on the huge procurement demand in the mining sector.

Local Value Addition
Abbau mit schweren Maschinen

Local Procurement Reporting Mechanism (LPRM) Internal link

Sustainable economic growth requires the diversification of the local economy, the establishment of supply chains and the targeted promotion of small and medium-sized enterprises. To strengthen local procurement in the long term, the Mining Local Procurement Reporting Mechanism (LPRM) was developed.

Responsible Supply Chains
ASM-Arbeiter in Sierra Leone

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