Maravi

PF inherited poorly supervised mining sector, says Musukwa

COMMENT - The PF on mining.

PF inherited poorly supervised mining sector, says Musukwa
By Misheck Wangwe in Ndola
Tue 03 July 2012, 13:23 CAT

THE PF government inherited a mining sector that was poorly supervised under the MMD rule, says mines deputy minister Richard Musukwa.

In an interview at the Zambia International Trade Fair in Ndola, Musukwa said the government's regulations on taxation of mining companies to boost compliance and revenue collections were meant to ensure that Zambians begin to reap benefits from their natural resources.

He said the ministry would immediately implement President Michael Sata's directives to stop trading of gemstones mined from Zambia in foreign countries.

Musukwa said the government was alive to the international best practices in the mining houses that indicate that the citizens must see the benefits of their mines.

"The Ministry of Mines will not tolerate the holding of shows in other countries on emeralds mined from Zambia. It is strange that emeralds mined from this country are auctioned in foreign countries and the country does not see any tangible benefits," Musukwa said.

He said mining policies after privatisation had failed to meet the aspirations of the people and the vision of the government was to collect significant revenue in terms of tax by tightening the supervision of the sector.

Musukwa said the government would invest in professional human resources to monitor copper production and ensure that investors declare accurate production figures.

"For far too long the Zambian government has been cheated by these mining houses. For us as government we demand that what is due to government and the people of Zambia must be paid," Musukwa said.

He said the issue regarding the exporting of raw copper concentrates and blisters would be reversed overtime because the vision of the government was to add value to products locally so that the people could have the much-needed jobs.

Musukwa said the government's demands were genuine and bordered on morality and the mining houses must not blackmail the government.

"No credible investor will be scared by asking him to pay what is due to Zambians. No credible mining house will pull out if we are asking them to increase value on the copper we are exporting. Anyone who means well for Zambia will not be scared and as government we'll not be blackmailed by stories of scaring investors as a result of putting in in-house measures to benefit the people," he said.

Labels: MINING, PF

posted by MrK @ 1:34 PM