Spin-offs from US$1bn venture change face of Mvuma-Chivhu

The Manhize community in Mvuma-Chivhu is warming up to the establishment of a US$1 billion iron and steel producing venture by Chinese mining giant, Tsingshan Group Holdings, which will create employment for at least 6 000 locals upon completion in the next two years.

Construction of houses for those to be relocated is almost completed with occupants looking forward to taking up accommodation.

The investor fulfilled a pledge to develop the Manhize resettlement area and construct houses for those to be relocated.

Each house has three bedrooms, a dining room and a round kitchen and ablution facilities. Locals set for relocation have since been employed by the company.

“Our houses were not all that good but our lives have now been transformed with the construction of the new houses. We pay tribute to the President,” said one community member, Ms Georgina Muganhiri.

The Government says it has identified more land for people to be relocated under Phase Two of the programme under which there will be additional power supply.

The company initially faced resistance in the wake of misinformation from antiGovernment elements.

A model house under construction at the company’s premises “We are very happy with this development. Our children will be employed near our homes and this will bring about clear benefits,” said another resident, Mr Peter Museka.

Tsingshan Group Holdings is set to build a world-class iron and steel works that will also come with ferrochrome furnaces.

Already siting for a dam along Munyati River, urban planning, logistical and other infrastructural development projects are underway in what is the fruition of President Mnangagwa’s flagship investment programmes. The US$1 billion investment project will have an annual turnover of US$1,5 billion from the processing plant and iron ore mine.

The project will be carried out by Tsingshan subsidiary, Dinson and Iron Steel Company which will be largest steel plant in Southern Africa.

Zanu-PF national spokesperson, Ambassador Christopher Mutsvangwa, said Zimbabwe could become one the world’s biggest players in the steel industry once the giant steel plant under construction in Mvuma’s Manhize area was completed.

Speaking after a tour of the plant to assess progress, Amb Mutsvangwa said the Second Republic was forging ahead with development and industrialisation with the country poised for a huge stake in the world’s steel industry.

He said the same company behind the Mvuma iron and steel plant was the one leading in the steel industry in Indonesia.

“After assessing the progress of the work done so far (in Mvuma), I think we can all agree that these guys (Tsingshan Holdings) mean business.

“They have made Indonesia the second largest steel producing country in the world. We are also looking at that scale. This was not achieved overnight. This is clear testimony that our President is a visionary President.

“He has managed to attract investors with global footprints to be part of Zimbabwe’s development trajectory,” he said.

Amb Mutsvangwa said the country was moving towards making the Vision 2030 a reality with the new steel plant set to produce around eight million tonnes of steel annually.

“We are witnessing the revival of the fortunes of the Midlands with a steel producing giant across the continent in the making. We are looking at pushing in excess of eight million tonnes of steel so we are talking of the revival of other downstream industries like therailways,” he said

Amb Mutsvangwa said the new plant would also cut the country’s import bill with a long term vision of establishing a port in Mozambique.

“We are aiming to be bigger than Indonesia. We are also going to have a new port in Mozambique to cut costs as we are now using the Durban port,” he said.

Tsingshan Holdings chief executive, Mr Benson Xu, said the project was progressing well with projections set at two years to complete.

He said the roadworks and some structures were already complete with the company now setting up a cement mixing plant.

“It is a vision that is set to become a reality in two years time. Most of the ground works have been completed with electricity now connected to the site.

“We are now constructing furnaces which are, however, still at infancy stage,” he said.

Added Mr Benson: “This is a commitment being fulfilled by the country and the company. We also have downstream industries which will be set up here and we are happy with the support we are getting from Government.”

Midlands Provincial Affairs Minister, Senator Larry Mavima, said the project was progressing very well with the entire province excited about the new plant.

He said the company was also progressing well with construction of houses for some families who were relocated to pave way for the project.

“We are very excited as a province. We are witnessing the implementation of huge projects that have been promised by the President,” he said.

When complete, a new town will be established in Manhize.-The Herald