Chronicle Editor
Sunday News Correspondent
Chinese companies in Zimbabwe are doubling their efforts to extensively engage in investment and cooperation across various sectors that stretch from mining, agriculture, manufacturing, construction, and telecommunications.
The activities are in line with the Asian country’s business model of promoting economic and social sustainable development.
Combined, the Chinese firms’ involvement has provided significant support to Zimbabwe’s efforts in advancing agricultural modernization and expediting industrialisation.
In addition, the primed activities promote economic diversification on one hand and on the other, improve infrastructure conditions as well as boost local employment and tax revenue.
Employment and economy
China Minmetals Corporation (Bikita Lithium Mine Project) has invested $200 million to upgrade and build new production lines, with an estimated potential to create 1 500 job opportunities in the future. The company actively supports and cultivates local industries, promotes local employment, and has established a CSR committee to actively participate in community affairs.
At present, there are 1 078 local employees working for the company, 80 percent of whom come from local communities such as Bikita, Gutu and Masvingo.
It is understood that before 2022, the number of employees of Bikita Mining was only about 250. Since the acquisition of Bikita Mining by China Mineral Resources in 2022, the number of local employees employed by China Mineral Resources and its subordinate contractors has increased to 2 550. It can be seen that the investment in mineral resources has led to the employment of local residents.
In addition, the current minimum wage of the company is 450 yuan per month (excluding bonuses), and the average monthly wage is 1 178 dollars, compared with 770 dollars before 2022, an increase of 55,8 percent. To sum up, the livelihood of local residents has been significantly improved.
The joint venture company of Shengxin Lithium Energy-Max Mind Investment contribute $600 million in foreign exchange income annually to Zimbabwe, creating 700 job opportunities locally. Through fulfilling corporate social responsibilities, they continuously improve local transportation, education, and healthcare conditions, boosting local economic and social development.
Southern Mining Limited is currently one of the largest coal production enterprises in Zimbabwe, with 1,200 employees and an annual production of 400 000 tonnes of coking coal. The company is committed to giving back to the local community and has been awarded the CSRNZ Environmental Protection and Social Impact Medals for several consecutive years.
Humanistic care
To achieve mutual sustainable development between the company and the community, Huayou Prospect Lithium supports local educational development. With a cumulative investment of approximately $220 000, they have donated classrooms and teacher apartments to nearby schools, as well as 5 500 textbooks and 400 sets of desks and chairs. These efforts have significantly improved local educational facilities and promoted the quality of education.
Sinomine is currently constructing four new classrooms for Mara Primary School in Masvingo North free of charge.
In July 2023, Southern Mining Company spent over $500 000 to donate a community library to the town of Hwange. The library can accommodate approximately 120 people for reading. It includes both a traditional book reading area and an electronic device reading area, equipped with eight computers and other digital devices, providing a modern learning environment for local children.
Bikita invests in income-generating projects for local communities and supports the initiative of community people to generate income. For example, it donates 650 000 tons of decontamination powder to local residents every month. Residents earn income by selling decontamination powder, which improves the income of community residents. In addition, the company has established a community fund, managed by Chief Marozva, of $30 000 a year for community relief and poverty alleviation.
Infrastructure construction
Sinomine participated in the investment and construction of 132KV high-voltage transmission line, which was completed at the end of 2023 and formally electrified in March. The high-voltage transmission line connects Tokwe to Bikita via Masvingo, with a total length of 110 kilometres and a total investment of about US$22 million. The company has provided assistance for 36 wells, including 17 wells in Bikita West, 14 wells in Masvingo North and five wells in Masvingo West, with a total cost of about $104 000. These wells provide enough clean water for community residents and improve household sanitation.
In view of the increasingly serious local drought in recent years, our company plans to continue to assist the construction of community wells in Bikita area in the next step.
Bikita Lithium Mine, Sabi Star Mine, MiningChang mine in Gutu, and Southern Mining in Hwange Town have initiated the “Water is Life” public welfare project. They have drilled wells in nearby communities, providing stable sources of clean water.
The joint venture company of Shengxin Lithium Energy-Max Mind Investment has constructed a clinic for the local community and provided access to water and electricity, enabling villagers who previously had to travel seven kilometres for medical treatment to receive healthcare services right at their doorstep.
Max Mind Investment signed agreements with 40 families potentially affected by mining operations. According to the villagers’ preferences, they have been relocated to three different locations, where new residences have been provided with water and electricity connections. The company has also committed to employing at least one person from each family in the Sabi Star project.
Dinson Steel Plant has constructed new houses for affected villagers and provided free housing for local impoverished families. Additionally, they supply monthly food and daily necessities.
Sinomine has built hundreds of employee and residential houses, as well as a restaurant and a sewage treatment system, to facilitate the living conditions of local workers.
In June 2023, China Mining Resources repaired a 7km road between Bikita and Gutu.
Southern Mining expanded the residential roads in local villages and repaired and cleaned the main roads. Total repaired road is about 25km.
In May 2023, Sinomine invested US$24 million to construct a 120km (132KVA) transmission line and substation from Bikita to Tokwe. This project will provide electricity to rural areas including Bikita, Gutu, and Zaka, effectively promoting local economic and social development.
Max Mind Investment renovated and widened a 37km road from the mining area to the main road, installing signboards along the road. The previously potholed and narrow road has become smooth and spacious, providing convenience for local villagers.
“Enhancing people’s well-being, and elevating the country’s capacity for independent and sustainable development. The China-Zimbabwe cooperation is guided by the principles of mutual benefit, win-win cooperation, and common development.” With the common endeavour of Chinese companies in Zimbabwe, we are confident that there will be a new blueprint for sound co-operations of the two countries.
Sidumisile Mabena