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Oliver Kazunga Business Reporter
THE Minerals Marketing Corporation of Zimbabwe (MMCZ) is targeting to increase mineral export earnings from $1.2 billion to $6 billion over the next five years. MMCZ chairman Ambassador Chris Mutsvangwa told Business Chronicle that this was achievable on the back of high value mineral resources the country was endowed with as well as firming mineral prices on the international market.
“We have high value minerals such as diamonds, gold and platinum and we continue to discover more diamonds fields.
“Because these minerals fetch a higher value on the international market, we are targeting to increase mineral receipts from the current $1.2 billion to $6 billion in the next five years,” he said.
Ambassador Mutsvangwa said the Government was in the processing of formalising small-scale miners’ operations so that output in the sector was not traded through illicit channels.
He said illicit trading of precious stones was depriving the country of billions of dollars.
“Most of the minerals that we have in the country are of high value in terms of turnover on the world market. For example, our platinum is highly regarded in countries such as America and Japan because it is used in the car industry to produce catalytic converters. We also have other minerals such as coal, which will soon find its way to countries such as China through Tete province in Mozambique. The demand for coal in China is growing rapidly because of the emergence of new cities in that country,” said Amb Mutsvangwa.
The Chamber of Mines estimates that the mining industry requires $6 billion for recapitalisation with most of the funds needed for refurbishing processing plants, equipment and machinery.
The mining industry is on a rebound after years of operating in an attractive environment buoyed by inadequate infrastructure.
In terms of earnings, mineral exports have continued on a positive growth trajectory.
For example, in 2011 mineral exports surged to $2.45 billion from $1,6 billion in the prior year.
This growth was driven mainly by increased platinum, gold and diamond production buoyed by booming international prices.
Online Reporter