Mineral exports bring in US$800m
by Business Reporter
19/11/2010 00:00:00
ZIMBABWE earned US$807 million from mineral exports in the first nine months of the year, a state-run minerals marketing agency said on Friday. The Minerals Marketing Corporation of Zimbabwe (MMCZ) said the earnings represented an increase of 25 percent over the same period last year.
The agency said platinum, of which Zimbabwe has the second largest reserves in the world after South Africa, accounted for the bulk of the earnings at US$540 million. This was followed up by diamonds at over US$100 million, and smaller earnings from nickel, coal and granite.
Gold production has surged strongly this year, and export earnings were projected around US$500 million for the full year.
Zimbabwe’s mining sector has been on the rebound, buoyed by strong commodity prices and an improving local operating environment.
Operators have been particularly complementary about the government’s decision to ditch the Zimbabwe dollar and remove other operational restrictions which had chocked the industry over the last decade.
However the industry still expresses concern over power supply interruptions and the government’s empowerment regulations which require all foreign-owned firms to localise at least 51 percent of their issued share capital.
Labels: MINERALS MARKETING CORPORATION OF ZIMBABWE, MINING
Read more...
Greater priority for local diamond companies
By: TSM
Posted: Saturday, October 2, 2010 11:31 pm
LOCAL diamond manufacturers will now get greater priority in the marketing of the gems after Government resolved to reserve 10 percent of locally-produced precious stones for purchase by Zimbabwean companies. Firms involved in diamond cutting and processing cried foul after failing to make purchases at the recent auctions of Chiadzwa gems.
However, new regulations published in last Friday’s Government Gazette mean they will no longer have to rely on importing diamonds as they will be able to buy them locally.
In terms of the regulations, which took effect on Friday, the Minerals Marketing Corporation of Zimbabwe (MMCZ) will retain 10 percent of the total volume of diamonds that will have been availed for marketing by local producers every month.
Local diamond manufacturers will get the 10 percent retention for each of the three diamond categories, which are gem quality diamonds, near-gem diamonds and industrial diamonds.
Beneficiaries of the “local Government pool” are required to submit quarterly applications to the MMCZ and to undergo inspection to ensure conformity to Kimberley Process Certification Scheme (KPSC) standards.“
A local diamond manufacturer who wishes to purchase gem quality or industrial diamonds from the local diamond pool for the purpose of cutting, polishing, crushing or otherwise processing them shall, not later than seven working days after the beginning of each quarter, make an application in the prescribed form to the general manager (of the MMCZ),” reads part of the enabling Statutory Instrument.
“The Inspectors of the Corporation ... shall have the power to enter and inspect the premises of any applicant local diamond manufacturer or local diamond manufacturer who has obtained rough diamonds from the local diamond pool and to inspect any relevant records or documents.”
The MMCZ, the Statutory Instrument said, will ensure applicants acquire the gems from the local Government pool within 30 days of application.
“The general manager shall, after expeditiously considering every application, sell the diamonds in the local Government pool to applicant local diamond manufacturers at the most competitive prices no later than the end of the calendar month in which the applications thereof were received,” reads the Statutory Instrument.
The MMCZ would also impose penalties on diamond producers who make false claims or fail to execute recommendations made in their applications.
“The general manager may ... prohibit him or her from making any further application (and) reduce the volume of rough diamonds that are still remaining at the end of the reporting quarter.”
Jail terms and exorbitant fines will be imposed for bogus manufacturers that may dupe the MMCZ.
The regulations come as analysts highlighted that selling diamonds to local players produced multiple benefits.
They said value addition of gems results in increased profits, growth of the diamond sector and promoted employment creation.
Labels: DIAMONDS, INDIGENIZATION AND EMPOWERMENT ACT (ZIMBABWE), MINERALS MARKETING CORPORATION OF ZIMBABWE
Read more...
