January-October 2021 refined copper exports down 4.7 pc - Zambia Statistics Agency

ZAMBIA'S cumulative volume of refined copper exported from January to October 2021 reduced by 4.7 percent to 735, 200 metric tonnes (mt) compared to 771,600mt in 2020 for the same period.

According to the latest Zambia Statistics Agency’s monthly statistical bulletin, copper production from January to October 2020 stood at 771,600mt and the country managed to produce 110,461mt to end the year with 882,061mt.

The bulletin further states that earnings from refined copper in October 2021 decreased by 0.1 percentage point to K11.753 billion from K11.764 billion in September this year. But Zambia Chamber of Mines president Godfrey Beene says the mines would unlock over US$2 billion worth of investments it held due to the alleged hostile relationship with the previous administration.

Dr Beene said the election of President Hakainde Hichilema and the United Party for National Development (UPND) brought optimism to the industry.

“The mines are ready to raise funding for the projects, which they had held back since 2019 because of tax changes that deterred investment.

“The mining companies’ main request to the new government is that they be allowed to deduct mineral royalties from the tax they pay on profits,” Dr Beene said.

Dr Beene said it was pleasing that the request had been accepted following Minister of Finance and National Planning Situmbeko Musokotwane’s announcement in the 2022 national budget that Government intended to attract investment and boost production in the mining sector.

He said the Minister announced that this would be done through the re-introduction of the deductibility of mineral royalty for corporate income tax assessment purposes.

Dr Musokotwane said Government intended to stimulate the mining industry to reach three million metric tonnes annual production in the next 10 years from the current 800,000mt.