Maravi

Zambia’s H1 earnings from copper rises to US$2.5 bn – BoZ

COMMENT - The title of this article is misleading. Zambia doesn't have 'H1 earnings from copper', since privatisation it are foreign companies who have raised earnings, and they are not paying taxes or sharing profits. This money is therefore lost to the Zambian economy.

Zambia’s H1 earnings from copper rises to US$2.5 bn – BoZ
By Chiwoyu Sinyangwe
Wed 04 Aug. 2010, 15:50 CAT

ZAMBIA’s revenue earnings from copper sales for the first half of this year rose to US $2.5 billion, preliminary estimates from Bank of Zambia (BoZ) have shown.

The country’s increased receipts from copper exports have been attributed to the rise in output in most mining units in the aftermath of the global economic crisis, rallying on the resurging international copper prices.

The country in the first half of this year produced 393,089 tonnes compared with 339,472 metric tonnes during the same period in 2009.
Copper output is estimated to have risen by 16 per cent in the first half of the year after mines increased output.

The first-half copper output of 393,089 tonnes put the country on course to hit its annual target of 750,000 tonnes.

Correspondingly, Zambia’s copper exports during the first six months rose 405,784 tonnes from the 310,956 tonnes exported in the first half of last year.

BoZ data also shows that cobalt production during the period under review more than doubled to 4,057 tonnes from 1,967 tonnes last year, while exports of the metal increased to 3,889 tonnes from 1,950 tonnes last year.

Commenting on the development, BoZ assistant director for Macro Analysis Division in the Economics Department Dr Francis Chipimo said the country was this year expected to produce more base minerals compared to last year.

Dr Chipimo said increased output resulted from the resumption of operations by most mines while new mines were to ramp up production in view of increasing international copper prices.

He said resumption of operations at Chambishi Copper Smelter, the country’s biggest cobalt plant, and increasing output at Lumwana Mine were expected to prop up metal productions this year.

“There is increased output at new mines while existing mines are increasing capacity utilisation,” Dr Chipimo said. “New mines are picking up relatively fast, and so, the half year results are quite strong.”

Dr Chipimo was optimistic preliminary data projected higher copper output for the country this year.

“The mines are much stronger this year,” said Dr Chipimo. “We are hopeful that output will grow over last year if the H1 first half results are anything to go by.”

Labels: FRANCIS CHIPIMO, GDP, MINING, NEOCOLONIALISM

posted by MrK @ 4:01 AM