The Sunday News
Dumisani Nsingo, Senior Business Reporter
THE Zimbabwe Miners Federation (ZMF) has called on the Government to expedite the formalisation of small-scale and artisanal miners to circumvent rampant mineral smuggling syndicates especially gold across borders.
ZMF organising secretary Mr Thembinkosi Sibanda said there was a lot of red tape that was impeding small-scale and artisanal miners to channel their gold to the country’s sole yellow mineral buyer, Fidelity Printers and Refiners.
“Two weeks ago we (ZMF officials) we were invited by Matobo Miners Association members, whose intention was to have their organisation affiliated to us. The miners seem to be producing substantial quantities of gold although virtually all of them seem to be tributing claims from Falcon Gold.
“The miners exclaimed that they were enduring a torrid time from various Government departments regulatory officials specifically mentioning the police, in their bid to sell their gold to Fidelity. The situation has resulted in most of the miners smuggling the gold to Botswana and South Africa,” said Mr Sibanda.
He said failure to expedite the formalisation of small-scale and artisanal miners was going to impact negatively on the sector’s set targets to attain and deliver 10 tonnes of gold to Fidelity Printers and Refiners this year.
“We have spoken about the need to have operations by small-scale and artisanal miners formalised for some time now and nothing has taken shape to that regard.
“As small-scale miners we have set a target of producing 10 tonnes or more of gold and 30 000 tonnes of chrome this year but owing to the bureaucracy affecting our operation we might not achieve these targets,” said Mr Sibanda.
The Ministry of Mines and Mining Development and that of Small to Medium Enterprises and Co-operative Development are working together to facilitate formalisation of artisanal mining.
The exercise is expected to tame rampant gold smuggling and enhance increased delivery of the mineral through Fidelity Printers and Refiners.
In 2014 the police intercepted more than 20 kilogrammes of gold being smuggled out of the country while 180 kilogrammes were intercepted from illegal panning sites.
Reserve Bank of Zimbabwe governor Dr John Mangudya has recommended that gold possession by artisanal miners be de-criminalised as an incentive for improved production and formal trade in the mineral.
Last year Zimbabwe generated $684,4 million from gold exports with small-scale miners accounting for more than $273 million.
ZMF’s information secretary Mr Ishmael Kaguru said the small-scale representative body was considering approaching the Ministry of Mines and Mining Development to have some of the claims being held by Falcon Gold handed over to small-scale and artisanal miners operating in Matobo District.
“There is a lot of gold mining activity in Matobo District with plus or minus 1 000 small-scale and artisanal miners operating there. In essence the area is rich in gold but three quarters of the Exclusive Prospecting Order (EPO) are being held by Falcon Gold from which the miners are tributing from.
“It’s only a few of the miners that are tributing claims from this company with most of the ground lying idle for more than 30 years and we believe Falcon Gold is holding onto the claims for speculative purposes and as such we intend to approach the Ministry of Mines and Mining Development and have some of them given to small-scale and artisanal miners,” said Mr Kaguru.
He also lamented how authorities such as the police, Environmental Management Agency and Rural District Councils were frustrating small-scale miners.
“Officials from EMA and the councils are charging exorbitant penalties for committing various offences instead of putting measures aimed at educating small-scale and artisanal miners. The unit tax demanded by council on these miners is also very high. Small-scale miners need to be supported. If you look at the first quarter of this year we have contributed 40 percent of the output without support.
“The police also end up dipping their hands presiding over disputes, inquiring on issues of protective clothing and inspection certificates instead of being concerned about where the returns of gold are taken. The police are so cunning to the extent that they ambush small-scale miners who are just coming from smelting their gold,” said Mr Kaguru.
There are more than 600 000 small-scale miners operating in Zimbabwe with combined figures of both registered and unregistered artisanal miners pegged at 700 000.
Last year small-scale miners produced 7,3 tonnes of gold, compared to three tonnes in 2014.
“We are in the process of compiling how much is being produced in each mining district in the country as well as detailing the challenges being faced by small-scale and artisanal miners in those areas,” Mr Kaguru said.
@DNsingo
