GOOD MINING FIRM SAYS IT IS NOT ONLY ABOUT PROFITS BUT THE PEOPLE ALSO

Randgold Resources Chief Executive Officer Mark Bristow has tipped African governments to seek an equitable share in mining projects.

Mr. Bristow says the equitable rate should be around a 50:50 basis of mining revenues after the recouping of the capital cost of building the mine.

Randgold is a mining giant operating five gold mines in three African countries – Mali, Côte d’Ivoire (Ivory Coast) and the Democratic Republic of Congo.

Mr. Bristow says a successful mining industry needs a committed partnership that recognizes the realities of mining. 

Mr. Bristow says a country’s mineral resources are the property of the people, with the government acting as their stewards.

He was speaking at a two-day mining Indaba held in Johannesburg last week.

He says most African countries were endowed with great mineral resources, but that this was no guarantee of wealth creation that benefits all.

He cited the Democratic Republic of Congo and Venezuela as examples of resource-rich countries the former in minerals, the latter in oil – where people were poor and had not benefited from the resource wealth.

This is according to article published on the Mining for Zambia website today.

MCM INVESTS 1.3 BILLION DOLLARS IN NEW OPERATIONS.

Mopani Copper Mines has invested US$ 1.3 billion investment in its new mining operations in Zambia.

Company Board Chairman Moses Chilangwa says the investment will go towards capital projects that include sinking and equipping three new shafts.

The news shaft are Synclinorium and Mindolo deep in Kitwe, and the Mufulira deep shaft.

Speaking at a media briefing this morning, Mr Chilangwa says the new shafts are expected to come online by the end of 2018 and will double Mopani’s output from the current 3.8 million tons of copper ore hoisted per annum to 9 million tons by 2020.

He has however, acknowledged that the past three years have been challenging for Mopani and all stakeholders in the industry as a result of low commodity prices on the international market coupled with the energy deficit.

Mr. Chilangwa has however, stated that despite the challenges being faced, Mopani remains resolute and fully committed to all its social responsibility programmes in communities around the country.

He adds that over the past three years Mopani has invested more than 1 billion United States dollars in its operations to recapitalize its mining operations and extend the lifespan of its mines by a further 25 to 30 years.

Meanwhile Zambia Chamber of Mines says it is negatively impacted with the introduction of the SI 76 which had led to the mining firms delay in collecting raw materials such as copper concentrates.

Chamber of Mines President Nathan Chishimba says restricting transportation hours impacting on commercial production as mines will not get their concentrates on time.

Mr Chishimba explained that in town like Solwezi truck drivers are being subjected to the heavy traffic of the day which the industry had been avoiding by scheduling their program.

Mr Chishimba said the mining industry was waiting for feedback from the minister.

ZAMBIAN BREWERIES SLASHES BEER PRICES OF MOSI AND CASTLE

Zambian Breweries has reduced the price of its Mosi and Castle lager amid growing confidence in economic stability.

The recommended retail price of a 375ml bottle of both lagers is now K7, reduced from K7.50.

Zambian Breweries Country Director Annabelle Degroot says the cut in price of the nation’s favourite beers was a response to the improved inflation rate and several months of a stable exchange rate.

Ms. Degroot has thanked and commended the government for implementing measures to allow this level of stability.

“In response to government’s efforts to maintain a stable business environment, we are committed to retaining the affordability of our products,” she said.

Zambian Breweries expects the price reduction to encourage drinkers to move away from cheap illegally brewed high-alcohol beverages that pose a danger to public safety as well as denying government tax revenue.

The Country Director explained that when beer prices drop, overall alcohol consumption does not increase but rather consumers tend to move away from cheaper higher alcohol options with an average ABV (alcohol by volume) of 43 percent, back into clear beer with an average ABV of 4.5 percent. This is an important driver of responsible alcohol consumption and government revenue collection.

The decision is also aimed at stimulating volume growth, tax revenue growth and its associated positive impact on investment, agriculture and employment.

ZAMBIAN GOVERNMENT TO DEVELOP A STRONG TECHNOLOGY DIVERSIFIED ECONOMY

Zambia’s Commerce Minister Margret Mwanakatwe says there is need to develop a strong technology-based diversified and export focused manufacturing sector which is self-sustaining as part of the country’s development strategy.

Speaking at the Eastern Province symposium on development in Chipata district this morning, Ms Mwanakatwe said the country should also be dynamic, resilient to external shocks and competitive with effective entities that add value to locally abundant natural resources.

She said to this effect, Government will facilitate the up scaling of manufacturing sector towards higher value addition, and upgrade capacity in the provision of related services.

Ms. Mwanakatwe noted that government has placed emphasis on transforming industrial businesses and complementary services into strong value creating entities.

She noted that locally available resources are not sufficient to finance Zambia’s development appetite saying both domestic and foreign direct investment remain important to the country’s development agenda.

She also stated that  Zambia is focusing on value addition of locally produced goods for  increased domestic and foreign  market  earnings, and development for  both hard and soft infrastructure such as roads, e-commerce and border facilities.

The Minister of commerce also stated that in order to promote industrialization, Government accessed US$50 for lending to Micro Small and Medium Enterprise (MSMEs) to enable them contribute to wealth and creation of employment.

“Through the Citizen Economic Empowerment (CEEC,) government is providing empowerment funds, technical support and mentorship programmes. My Ministry has also been encouraging MSMEs to tailored financial products,” she said.

And Minister of Agriculture Dora Siliya said that agriculture there is need to address threats that affects the agriculture sector for improved agriculture industry.

Ms Siliya noted that agriculture is one of the key sectors that contribute to the country’s job creation.

“Government is to this effect, putting in place stringent measures to ensure that challenges faced during the distribution of inputs in the 2016-2017 farming season are addressed. There is also need to increase production in the agriculture industry especially at household level,” She said.

The Minister further called on farmers to always consider farming as a business by embracing value addition to their produce and engaging in crop diversification which is vital in improving income generation at household level.

Meanwhile, Eastern Province Minister Makebi Zulu explained that the aim of the symposium is to bring stakeholders together and identify bottlenecks that affect the development agenda for the province.

Mr. Zulu said being an agro based and the largest producer of commodities such as maize, groundnuts and cotton, the province is still importing most of its finished products such as mealie meal and peanut butter.

“We are keen to promote and localize improved value chains in agro processing and its infrastructure development through the creation of an enabling environment for private enterprise to thrive and promote sustainable public private partnerships,” he said.

He noted that Government looks forward to a time when the farmers will be self-sustaining through improved systems of out grower schemes, mechanization of farming, best farming methods and crop diversification through extension services and promotion of agro processing.

And Paramount Chief Mpezeni of the Ngoni people of Eastern Province said traditional leaders in the province have committed themselves to do away with negative traditional norm and practices that hinder the development process.

Speaking through chief Madzimaweof the Ngoni people of Chipata district, Paramount chief Mpezeni said that chiefs are happy that government recognizes traditional leaders as partners in national development saying there is need for government to embrace and co-opt all levels of leadership for sustainable development.

INSURANCE PENETRATION GROWS IN ZAMBIA.

Insurers Association of Zambia president Paul Nkhoma has indicated that insurance market has recorded a 19 percent growth in 2016 compared to 17 percent in 2015.

Mr. Nkhoma says the market premiums are estimated to reach K2.5billion, with general insurance premiums contributing K1.7billion with the life premiums contributing 864 million.

In a statement He says for the first time in over a decade the general insurance premiums have grown at a faster rate than the life insurance premiums posting a growth of 23% (2015: 14%), while the life insurance premiums growth was only at 12% (2015:14).

Mr. Nkhoma says the contributions of insurance premiums to the country’s GDP however continue to be dismal contributing about 1.2%.

The African average is 3.5%, meaning that the premiums are supposed to be around K7 billion for the country to catch up with the African average

The Insurers Association of Zambia has revealed that only 2.8 percent of adult Zambians are insured.

ZAMBIA DROPS 4 PLACES ON EASE OF DOING BUSINESS INDEX.

Zambia has dropped 4 places on the 2017 Ease of Doing Business Index, ranking 9^th in Africa, 5^th in SADC and COMESA respectively.

This has culminated into Zambia ranking 98 out of 190 countries worldwide.

And Ministry of Commence, Trade and Industry Permanent secretary Kayula Siame says there is need to build a strong partnership between government and the private sector.

Ms. Kayula says government alone cannot be in position to address the challenges associated with the drop in the ranking.

She was speaking during the preparatory dialogue breakfast meeting with the private sector ahead of the Ease of Doing Business Initiative Conference to be hosted by Zambia.

The conference will be held from 16^th to 18^th May 2017 in Livingstone’s Avani Hotel under the theme ‘Doing Business Reforms for Industrialization, Value Addition and Job Creation.

And Ms. Kayula says the forthcoming conference will create a platform for strengthening partnership between government and the private sector as well as appreciate the methodo0lgy used in Ease of Doing Business ranking.

Ministry of Commence, Trade and Industry Permanent secretary Kayula Siame says private sector contributions to sustainable development hold key to driving Zambia’s growth.

Meanwhile Ms. Siame says there is need to improve business environment through replication of best practices, best reforms and ideas as they are a key drivers of the Zambian economy.