eBusiness Weekly
Martin Kadzere
Zimbabwe’s mineral exports for the first five months of the year rose 7 percent, driven by firming platinum prices, latest official statistics from the government sales agency show.
The country realised $653,4 million from mineral exports between from $612,2 million in the same period last year, according to the Minerals and Marketing Corporation of Zimbabwe, a state entity charged with selling all minerals, except for gold and silver.
Other major drivers of the growth were coal, granite, chrome ore and nickel. Mineral exports accounts for Zimbabwe’s 65 percent of its foreign currency needs.
“This performance was about 5 percent below expectations mainly due to a decline in High carbon ferrochrome and diamond sales,” MMCZ acting general manager Dr Nomsa Moyo said.
The government has projected to surpass initial economic growth target of 4,5 percent his year, largely driven by the mining sector.
Since November last year–when President Emmerson Mnangagwa took over from his predecessor Robert Mugabe who resigned following widespread public protests and impending impeachment by the parliament, the government says Zimbabwe has attracted investment commitments in excess of $15 billion with the mining sector leading the pack.
The government has developed a new mining policy aimed at growing the Zimbabwe mining industry to $17 billion by 2030, spurred by investments in new, existing and closed mines.
Investors are also targeting less explored or unexplored minerals such as lithium and coal bed methane.
High carbon ferrochrome, which is used in the production of stainless steel—and spurred mineral revenue last year—declined by 25 percent in the period under review.
Platinum group metals (concentrate) exports rose by 25 percent to $198 million from $158 million a year earlier. PGMs (matte) fell 5 percent to $38 million from $36 million.
Nickel exports rose by 168 percent to $32,6 million from $12 million while diamond sales increased by 15 percent to $32 million from $27 million a year ago.
Chrome (lumpy) was up 138 percent to $9,5 million from $4 million while chrome concentrate rose 5 percent to $38 million from $36 million, the MMCZ said.
Overall tonnage exported, excluding emerald and diamonds and PGM (matte) increased by 28 percent to one million tonnes from 788 000 tonnes. Diamond production sales was up 18 percent from 353 947 carats to 414 826 carats. Nickel production.
Nickel export volumes declined four percent to 28 598 tonnes from 29 823 tonnes, coals increased by 26 percent 32 000 tonnes from 25 000 tonnes, coke (various) rose 132 percent to 36 000 tonnes from 19 000 tonnes and chrome (lumpy) was up 138 percent to 94 000 tonnes from 26 000 tonnes. PGMs (matte) production exports fell 7 percent to 4473 ounces from 4794 ounces in the same period last year.
Dr Moyo said demand for major mineral commodities was expected to remain stable throughout the second half of the year, on the back of a stable Chinese economy which is the major consumer of most minerals.
Zimbabwe has the second largest known platinum deposits after South Africa and the two largest producers Anglo American Platinum and Impala Platinum have operations in the country. The country also holds second largest chrome resources after South Africa.
