Govt urged to prioritise mechanisation of small-scale mining

19 Nov, 2017 - 02:11 0 Views
Govt urged to prioritise mechanisation of small-scale mining Mr Tatenda Karimazondo

The Sunday News

 

Mr Tatenda Karimazondo

Mr Tatenda Karimazondo

Munyaradzi Musiiwa, Midlands Bureau
MANUFACTURERS of small-scale mining equipment have called on the Government to prioritise mechanisation and formalisation of small-scale gold mining to increase productivity and curb side marketing as well as gold leakages.

Speaking during the tour on Midlands industries by officials from the Reserve Bank of Zimbabwe last week, Midlands Metals managing director Mr Tatenda Karimazondo (pictured right) said there was a need for Government to start giving priority to the mechanisation and formalisation of small-scale and artisanal gold miners to enhance productivity. Mr Karimazondo said the mechanisation of the small-scale gold mining sector will ensure efficiency in gold production.

“There is a need for Government to start focusing on the mechanisation of small-scale gold mining sector so that you boost productivity. Of late, small-scale miners have contributed more than half of the overall gold output in the country. Formalisation of artisanal miners will also curb gold leakages.

There is also need for RBZ to support local manufacturers of mining equipment to enable a flawless operation of the gold mining sector,” he said.

Midlands metals produces ball mills, mill balls and supplies more than half of the large-scale gold miners in the country.

This comes at a time when the Government is making efforts to ensure that the country will meet this year’s gold production target of more than 27 tonnes.

Fidelity Printers and Refiners announced that as of July, the country had produced about 12,09 tonnes of gold. Last year, the country produced 21,4 tonnes of the yellow metal.

RBZ Deputy Director International Banking and Portfolio Management Mr Ernest Matiza said the Government was making tremendous efforts to ensure the viability of the gold mining sector.

“We allocate money specifically for the gold mining sector to ensure an increased productivity. As a country we realise $1 billion annually from gold sales. So this is a key production sector.

“As RBZ we opened a $40 million loan facility for small-scale miners and we believe this would go a long way in bolstering production,” he said.

Zimbabwe Miners Federation chief executive officer Mr Wellington Takavarasha said the country was still experiencing some leakages in the gold sector.

Mr Takavarasha said artisanal miners were producing close to two tonnes of gold per month half of which was being sold on the black market.

He said the Government was losing more than 800 kilogrammes of gold per month to the black market.

“The country is facing serious financial challenges and due to the shortage of foreign currency most miners have resorted to side marketing and the black market.

For instance we have more than a million artisanal gold miners in the country and their production capacity is close to two tonnes. Due to the criminalisation of gold panning most artisanal miners shun Fidelity and prefer the black market. The country is losing 800 kilogrammes of gold to the black market because they buy using hard currency,” he said.

 

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