Chronicle Editor
Averitable giant is rising in Manhize, Chirumhanzu District, Midlands Province.
Dinson Iron and Steel Company (Disco), a subsidiary of Tshingshan Holding Group of China is investing US$1 billion building a 600 000 tonne per year iron ore mining and steel production facility. At full spate, the venture will employ at least 10 000 people. With such a workforce at one place, Manhize will be a town on its own in the same way Hwange, Redcliff, Zvishavane and Mashava became as a result of coal, iron ore mining and steel production as well as asbestos mining.
Also, the output at Manhize is forecast to be so tremendous that existing transportation infrastructure does not have capacity to handle it all. As a result, Disco has included in its scope of works, construction of a railway line from the mine running east to a sea port in Mozambique and west to the Democratic Republic of Congo. The total investment at and around Manhize is projected to rise to US$3billion.
As development of the project advances, President Mnangagwa yesterday broke ground at the site.
“Through this investment our country will now host one of the largest iron and steel manufacturing plants on the continent,” he said.
“It’s expected to produce about 600 000 tons of steel per annum, over and above other related products. It (the project) is envisaged to leap-frog us to emerge as a dynamic industrial hub, churning out a broad range of value-added, ‘Made in Zimbabwe’ iron and steel products, for both local and international markets.”
He added:”The intricate nexus between the growth of the mining sector, local beneficiation and value chain across all levels in the mining sector cannot be overemphasised, hence the local beneficiation of and value addition of our abundant natural resources, particularly iron and steel, is set to accelerate and drive the economy high up the value chain.
“Metals and in particular, steel as a raw material and intermediate product are critical in the development of any nation. The production usage and consumption of steel products have been regarded widely as an indicator of economic progress and overall sustainable socio-economic development.”
Given that the project stands on iron ore reserves that could take the mine’s life up to 200 years with potential for annual output to double, it will be economically and socially transformative. Phase one is set to be commissioned in October next year.
It is investments such as these that demonstrate genuine national progress. The Government will rightly mention it as one of its successes. It is because of the policies that the Second Republic has put in place that a globally significant company such as Tshingshan has decided to pour so much money in one project in the country. The investment will be counted in the same bracket as Hwange Thermal Power Station Expansion, Beitbridge-Masvingo-Harare-Chirundu Road, Invictus Energy’s gas drilling and Huayou’s lithium as some of the signature projects to have occurred since the Second Republic came into office. There are obviously many more coming up elsewhere across the country whose implementation must be credited to the Government. The devolution fund is doing wonders too. Construction of clinics, hospitals, roads, irrigation schemes, dams and other high-impact community projects is underway countrywide.
It is encouraging that as Manhize begins producing the first rods of steel in the next 12 months, the country will begin to reduce importation of the product. Local industry has been spending tens of millions importing steel since the collapse of Zisco around 2009. In fact, the Zimbabwe National Statistics Agency reported in March that the country last year imported iron and steel products worth US$410 million from US$306 million a year earlier. This is a lot of money lost to the country just because we do not have an iron ore mining and steel production facility locally. That means exportation of hundreds of jobs as well. However, with the coming on stream of Manhize, all that value would be localised once again as it was prior to 2009.
With projects such as these and more, Vision 2030 of a prosperous and empowered, upper middle-income society will be easily achieved.
Online Reporter