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Prosper Ndlovu in Harare
THE government will not budge on the beneficiation and value addition of natural resources and any investor keen to exploit the country’s mineral resources should indicate in their plans how they would implement the policy thrust, a Cabinet Minister said yesterday. Officially opening the 6th Zimbabwe Mining and Infrastructure Development Indaba here, Mines and Mining Development Minister Cde Walter Chidhakwa said beneficiation and value addition were an inevitable reality pursued by the government as part of long term efforts to unlock economic potential and create jobs.
He said the quest for resource nationalisation was a growing continental reality spurred by the persisting economic inequalities that sideline developing countries whose resources are exploited.
“The truth of the matter is that there is an order that has operated over the last 100 years, which created a situation where African minerals were mined and used to develop other countries while we remained poor,” he said.
“Europe used value addition and beneficiation of our minerals to develop industry and we’re saying there’s no alternative model for Africa. As a government, the most welcome investor is the one who has plans to value add. It’s not healthy, it’s not smart, to be a billionaire in a community of poor people. It’s high time our business ventures take into account these things.”
The minister urged mining companies in the country to cooperate with the government in ensuring the success of the beneficiation and value addition policy, which he said was aimed at doubling the country’s earnings.
“There’s now a resurgence coming out of the communities where mining firms operate, over growing poverty despite seeing truckloads of mineral ores being taken away,” said Cde Chidhakwa.
“This is a cause being driven by communities and not politicians. This is increasingly becoming a reality we all know. Mining is the centrepiece of Zim-Asset and its success is hinged on value addition. We need to ensure mining becomes a source of income for our people.”
He said the establishment of a platinum refinery plant was “a priority and a matter of great importance”, adding the government would do everything in its power to ensure the initiative succeeds.
Cde Chidhakwa said other value addition projects such as the diamond polishing and cutting plant and establishing chrome smelters and iron and steel plants were underway.
He urged the private sector to start working towards the beneficiation direction and invest in modern infrastructure that will transform their operations.
Mining is a major contributor to the country’s economy and an employer of thousands of people with more opportunities for increased growth.
Beneficiation and value addition are at the heart of the economic blue-print, Zim-Asset and the topic is already being seriously discussed at Sadc and African Union platforms.
Online Reporter