Fidelity Gold de­liv­er­ies up 6,5per­cent

Chronicle (Zimbabwe) - - Business - Dos­man Mangisi

GOLD de­liv­er­ies in Zim­babwe grew by 6,5 per­cent in Au­gust to 13,3 tonnes from 11, 4 tonnes in July this year, ac­cord­ing to lat­est data from Fidelity Print­ers.

Small scale min­ers suf­fered a no­table de­cline in out­put by about 30kgs last month com­pared to 33,6kgs in July.

In to­tal the sub-sec­tor pro­duced 776,4kgs in July and 745,9kgs in Au­gust.

Fig­ures for large scale gold pro­duc­ers are also fluc­tu­at­ing. In July big min­ers pro­duced 1 040kgs and 1 185kgs in Au­gust. In May they pro­duced 1 087kgs and in June 953kgs —record­ing a de­cline of 134kgs.

Zim­babwe has set a tar­get of pro­duc­ing 24 tonnes of gold this year from 18, 4 tonnes recorded last year.

Zim­babwe Min­ers Fed­er­a­tion chief ex­ec­u­tive of­fi­cer Mr Welling­ton Takavarasha com­mented:

“The small scale min­ers have ex­pe­ri­enced a lot of dis­putes, which have gone for a long time in courts un­re­solved and many gold claims have been for­feited es­pe­cially in Mata­bele­land South.

“The re­la­tion­ship be­tween ar­ti­sanal and small scale min­ers with En­vi­ron­men­tal Man­age­ment Agency is still sour. It needs to be im­proved so that the sec­tor grows. Also lack of proper mech­a­ni­sa­tion in the sec­tor has con­tin­ued to dis­ad­van­tage the min­ers. We are likely not to meet the tar­get set”.

The Deputy Min­is­ter of Mines Fred Moyo said his min­istry was go­ing to visit the is­sue of gold pro­duc­tion and make the nec­es­sary in­ter­ven­tions.

“We are still re­vis­ing the fig­ures and we are yet to see the chal­lenges be­ing faced by gold pro­duc­ers as a min­istry”, he said.

The Govern­ment has said there is scope to raise de­liv­er­ies from small scale min­ers by curb­ing the smuggling of the metal, which is es­ti­mated to take up to 50 per­cent of the gold pro­duced in the coun­try.

Zim­babwe’s gold out­put is en­vis­aged to in­crease to 50 tonnes by 2020, gen­er­at­ing $1,8 bil­lion an­nu­ally.

A to­tal of $600 mil­lion is re­quired to in­crease pro­duc­tion in the next five years of which $410 mil­lion re­lates to ramp up cap­i­tal, while $190 mil­lion is for sus­te­nance of op­er­a­tions.

Gold is cur­rently con­tribut­ing around four per­cent to the fis­cus through Govern­ment taxes and other fis­cal charges, and an ad­di­tional four per­cent is gen­er­ated in the value chain.

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