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Kennedy Mavhumashava in Chinhoyi
STATE involvement in diamond mining and beneficiation will be deepened to ensure that the country derives more benefit from the exploitation of the precious mineral, President Mugabe said yesterday.
Officially opening the 14th Zanu-PF Annual National People’s Conference at the Chinhoyi University of Technology, the President said this new approach is an integral part of the Zimbabwe Agenda for Sustainable Socio-Economic Transformation (Zim Asset).
He took time to explain to the delegates the essence of the five-year economic plan, its structure and the benefits likely to accrue from its successful implementation highlighting the four strategic clusters that underpin Zim Asset — food security and nutrition, social services and poverty eradication, infrastructure and utilities and value addition.
“We have now said no more illegal selling of gold,” President Mugabe said while explaining the finer details of the fourth Zim Asset cluster on value addition.
“Illegal gold panners must sell to Fidelity (Printers) only. No illicit dealings in gold. On diamonds, we would like to centralise that like Botswana, South Africa, Angola, Namibia where it is not free-for-all. In other words only the State and the partner produce diamonds in these countries.
“It is precious and it lends itself to smuggling in a big way. It can be swallowed (in the process of being smuggled). So we need the Government to be always there.
“We will look at the possibility of rationalising the mining of diamonds. We will discuss this with our partners.”
His remarks come shortly after the Minister of Mines and Mining Development, Cde Walter Chidhakwa raised concern over unsatisfactory returns from diamond mining operations in which the State has shareholding.
Zimbabwe was recently granted authority to sell its gems at the World Diamond Centre in Antwerp, Belgium, following the lifting of sanctions on the Zimbabwe Mining Development Corporation. This will result in the country’s gems fetching competitive prices on the world market.
The conference started on Monday and ends today. It is being held under the theme “Zim Asset: Growing the Economy for Empowerment and Employment.”
Cde Mugabe said there must be more transparency in the mining sector and reiterated his criticism of the ZMDC, the arm of government through which it holds majority stakes in about five companies mining diamonds at Chiadzwa. A major shake-up would be carried out at ZMDC, he said.
He said Zimbabwe cannot continue exporting unprocessed minerals and other products as this amounts to exporting jobs and value, while leaving the country poorer. He said platinum miner, Zimplats, must invest in a refinery soon.
“Externalisation, no. We want our money back. When we export, the earnings must come back. We are warning them that unless we have a refinery within a short period, (former Minister of Mines, Dr Obert Mpofu) had said two years and I hope Minister Chidhakwa will stick to that. After that, we refuse to allow primary exports. Just giving others jobs. That is the same with gold. Even the Rhodesians refused to export gold in its raw form,” the President said.
Partners are welcome to invest in the country, he said, but warned that the Government must guard against negotiating deals that the country would regret in future.
Turning to cotton production, the President said some contractors were stealing from farmers by imposing unjust contracts that disproportionately benefit them while prejudicing producers.
“We must encourage cotton growers, redeem them from the cruelty of the extortionist system of the so-called contractors in Gokwe, Sanyati. We must get our cotton back on the footing it was with the State involved, not leaving farmers at the mercy of extortionate foreigners. Let’s clean our system and clean it of extortionists. But sometimes we are the extortionists, our educated young people. They don’t know the virtue of respecting that which is not yours,” said President Mugabe.
He said under the food security cluster, the Government would develop measures to boost food production. Regarding social services and poverty alleviation, which is the third Zim Asset cluster, the President said education, health and welfare issues would be prioritised. Civil servants, who will play a big role in implementing the economic plan would have to be paid better.
“These clusters don’t drive themselves. They need us to drive them. Are our people well paid? No. We must pay our people better, pay the teachers, doctors, and nurses well. But that does not mean exaggerated pay but to get them to have enough to feed their children,” said President Mugabe.
Infrastructure and utilities like roads, communication, power and water supply are also critical in advancing the success of Zim Asset.
“We must also improve reticulation (of water) in urban areas. Tsvina dziri kunwiswa vanhu mumadhorobha zvipere. Macouncils, zvekunwisa vanhu mvura inobva mutoireti (So that urbanites are provided with clean and safe water, not dirty water as if it is coming from a toilet), we don’t like that. That one is very important.”
Online Reporter