‘US$12bn mining target on course’
Zimbabwe is on course to attain the US$12 billion mining industry target next year, according to Mines and Mining Development Minister Winston Chitando, with small miners pledging to pursue a coordinated approach in implementing initiatives that dovetail into the aspirations of the national development agenda.
Minister Chitando said this while officially launching the Zimbabwe Miners Federation vehicle scheme in Harare on Thursday last week.
Under the national development agenda, the Second Republic led by President Mnangagwa targets to transform the country into an upper middle-income economy by 2030 with a Gross Domestic Product per capita of US$3 500.
In 2018, Zimbabwe’s gross domestic product per capita was US$1 720, a low-income economy category.
The mining sector is one of the vital centrepieces to drive the country towards an upper middle-income economy.
“The US$12 billion mining economy at some stage looked not possible to achieve, but is in the process of being achieved.
“The achievement of the US$12 billion milestone, and the achievement of the targets which will come beyond the US$12 billion milestone and will be based on efficient utilisation of resources and organisation of the CoMZ (Chamber of Mines of Zimbabwe) and ZMF.
“Remember at one stage ZMF didn’t even have offices.
“It is very important to have order and focus, and l am very pleased today to state that the way the ZMF has transformed over the last few months is most appreciated,” he said.
ZMF is an organisation representing the interests of artisanal and small-scale miners while the CoMZ represents large-scale miners.
The two mining constituencies, the minister said, were complimentary to each other in their roles towards contributing to the country’s economic development.
In recent years, the small-scale mining industry has consistently accounted for about 60 percent of Zimbabwe’s total gold deliveries to the country’s sole authorised gold buyer, Fidelity Printers and Refiners.
He noted that like any other organisation and to achieve any economic goal, it was imperative for the federation to efficiently coordinate the artisanal and small-scale miners.
“There is need for ZMF itself to have an efficient organisational structure.
“And I am very proud as a patron to say to ZMF you have made us proud, you have made me proud, you have made His Excellency, the President proud.
“It’s very important because without an efficient ZMF, then there won’t be efficient coordination of a sector which is not only contributing to the US$12 billion mining vision, but beyond the US$12 billion mining economy,” he said.
Beyond the envisaged milestone, Minister Chitando said Zimbabwe will come up with another milestone.
When the Government launched the US$12 billion mining strategic roadmap the previous year, the value of Zimbabwe’s minerals’ contribution to the economy was US$2,7 billion but the figure sharply rose to US$5,3 billion last year.
“With that US$2,7 billion, last year we did US$5,3 billion, almost a 100 percent increase.
“This year we will achieve US$8 billion and next year, we’ll achieve the US$12 billion milestone.
“Why am I saying that? We have two major constituencies of the mining sector, ZMF and CoMZ, all working complementary to each other and that structure makes so much sense on the basis and the fact that we do have ore bodies, which are amenable to extraction by the small-scale mining sector; we do have ore bodies which require large capital and which require economies of scale which have to be extracted through medium to large scale miners,” he said.
“Therefore, the achievement of the US$12 billion milestone, the achievement of the targets which will come beyond the US$12 billion milestone will be based on efficient utilisation of resources and organisation of those two sub-sectors.”
On the ZMF vehicle scheme, Minister Chitando expressed pleasure that he had been made to believe that the importation was being done above board.
“I listened very carefully when madam president (ZMF president Henrietta Rushwaya) spoke, she said a few things that this is a sample of cars to come.
“She also mentioned that there are cars at the border which need to be cleared, is there a structure of whether they can be moved in a bond near Harare so that they can be cleared.
“If you look at the take from this, it means that the whole importation process is being done according to the book and congratulations for that,” he said.
Minister Chitando said his Ministry will take it up to facilitate the bonding of the vehicles
Earlier in her address, ZMF president Henrietta Rushwaya said her organisation had realised the importance of finding solutions to some of the challenges being faced by their members.
“In order to compliment Government efforts of ensuring that our people are empowered as ZMF we decide to be innovative and source cars for our members. The first batch of 40 cars has since arrived in the country and it’s here in Harare.
“Another batch of 120 cars is at the Beitbridge border post and as ZMF we believe that opportunities don’t just happen, they are created.
“We have found it prudent to extend this opportunity to our miners who have had transport challenges and have had to spend precious time waiting for essential services to come their way.”
“Honourable Minister kindly extend our message to the Head of State that being the only sector which benefits and enjoys being paid for our gold remittances to Fidelity in United States dollars, we have seen it fit that we also plough back and make the Government realise that we are reciprocating the good gesture extended to us by Government.
“And we will ensure that we will continue to work tirelessly to make Zimbabwe great again,” she said.-The Herald
