Zimbabwe Vice-President Mujuru blasts retrogressive political parties that are stalling progress at Chisumbanje Ethanol Plant while officially closing the third biennial Zimbabwe Local Government Conference in Mutare on May 11, 2013., a photo by Pan-African News Wire File Photos on Flickr.
Value addition our new motto: Mujuru
February 28, 2014
From Golden Sibanda in VICTORIA FALLS
Zimbabwe Herald
The need for beneficiation and value addition of the country’s minerals is a “war cry” and a national motto that must be understood by all, Vice President Joice Mujuru told a mining conference in Victoria Falls yesterday.She said mining accounted for 15 percent of gross domestic product and generated about US$1,7 billion in exports, though diamond income to Government was a “disappointing” US$200 million.
The conference was held under the theme “Beneficiation: Maximising value from the mining sector in Zimbabwe”.
Addressing delegates at the conference that started on Tuesday and ended yesterday, VP Mujuru said everyone must rally behind Finance Minister Patrick Chinamasa’s call for a platinum refinery.
“Let me underscore that beneficiation and value addition is now a war cry, it has become our motto and it is important that this message is understood as we go forward,” the Vice President said.
“Let us rally behind the call by the Minister of Finance and Economic Development Honourable Chinamasa, in the 2014 Budget, highlighted the need to start preparing the local beneficiation of platinum,” she said, adding that other minerals – such as chrome, black granite and gold – must be considered as well.
The Vice President’s call dovetails with Mines and Mining Development Minister Walter Chidhakwa’s pleas for Zimbabwe, and Africa in general, to redefine the global economic order by adding value instead of exporting raw minerals to developed countries.
This comes as Government has identified mining as the centrepiece for economic development in line with its medium-term economic plan, the Zimbabwe Agenda for Sustainable Socio-Economic Transformation (Zim-Asset).
Beneficiation and value addition are a critical cluster of Zim-Asset, with other key clusters being food security and nutrition, social services and poverty eradication and infrastructure and utilities.
VP Mujuru said Government was fully aware of constraints to growth, and pointed out there was need to resolve energy deficits, increase water supply and generally improve infrastructure.
The VP said maximising benefits from mining fell in line with Africa’s mining vision under the auspices of the African Union. “We therefore seek win-win partnerships which recognise and value our aspirations,” she said.
President Mugabe has said mining will be central to Zimbabwe’s economic recovery and growth. The VP was cognisant of the fact that value addition and beneficiation were technology-driven and required meaningful investment in research and development, thus calling for innovative financing strategies.
Addressing the same conference, Minister Chidhakwa said the country should add value to its minerals for economic growth.
Minister Chidhakwa said Africa was still stuck in a global economic system established during colonialism.
“That scenario says you are exporting primary commodities at low prices and the developed world is exporting to you at higher prices, and balancing your books becomes impossible,” he said.
He said through beneficiation, non-diamond producing countries such as India import up to US$8 billion and make about US$14 billion annually in exports without mining a single stone. Minister Chidhakwa pointed out that India had created more 800 000 jobs from diamonds.
The Mines Minister said platinum mines should raise output from an average of 430 000 ounces per year to about 500 000 ounces by 2016 to justify the economic argument for establishment of a local refinery.
“We are determined in putting up a platinum refinery locally. We are at an advanced stage of getting the driver for a platinum refinery.”
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