President visits Manhize steel plant today
PRESIDENT Mnangagwa today visits the US$1,5 billion Dinson Iron and Steel Company (Disco) steel plant in Manhize near Mvuma to have an appreciation of progress at one of the country’s mega projects.
The plant, set to be one of the biggest steel producers in Africa, is scheduled for commissioning sometime this year, with major works at the giant plant almost complete.
When complete, the plant will be among Africa’s biggest integrated steelworks, being built by Disco, one of the three local subsidiaries of China’s global stainless steel producer, Tsingshan Holdings Group Limited.
The group also owns Dinson Colliery in Hwange in Matabeleland North and a ferrochrome plant, Afrochine Smelting Limited, in Selous.
The iron and steel investment positions Zimbabwe among the ranks of global steel manufacturing hubs, with projections indicating the country’s potential to emerge as a future powerhouse in the iron and steel industry.
Disco is projected to produce 600 000 tonnes of steel products in the first phase, rising to 1,2 million tonnes in the second phase, then 3,2 million tonnes in the third phase and ultimately five million tonnes per year in the final phase, earning the country millions of dollars in foreign currency.
The first production of pig iron is expected to commence by the end of the first quarter before they move to the production of steel billets in the second quarter.
The mega-investment project encompasses the establishment of a Smart City to be called Manhize Town and also a Science University.
It paves the way for the beneficiation and value addition of steel production, which will accelerate and drive the province’s economy high up the value chain with massive spin-offs for the entire country and the region.
Other products that the company will eventually produce include pipes, bolts and nuts, smaller slags, rolled tubes, fences, shafts, wires, and bars, among others.
The Minister of State for Midlands Provincial Affairs and Devolution Owen Ncube was yesterday at the plant with the investors putting final touches ahead of the visit by the President.
Minister Ncube said he was excited that President Mnangagwa is visiting the plant adding that as a hands-on leader, the President is monitoring progress ahead of the commissioning of the plant.
“We have a hands-on leader in the name of President Mnangagwa who doesn’t wait for reports but takes time from his busy schedule to visit projects like this one. As a province we are excited to be hosting him,” he said.
Minister Ncube said the Disco steel plant is one of the high-impact projects brought by the Second Republic in the Midlands province which they are excited and very proud of.
“As a province we are happy, we are excited and impressed by the level of investment brought by the Second Republic under the astute leadership of President Mnangagwa.
“This plant has the potential to turn the province into an industrial hub all thanks to the God-sent, vibrant and energetic leader President Mnangagwa,” he said.
Real Estate Developer and Construction expert Dr Tinashe Manzungu commended the Government for making sure that there is a conducive environment to attract foreign direct investment such as Tsingshan Holdings Group Limited which is establishing Disco.
“Disco investment is a clear indication of the fact that the Second Republic is putting in place measures and policies that attract investment. The growing investment interest in Zimbabwe from non-Western sources of capital is a result of friendly policies that are being put in place by the Government in line with Vision 2030,” he said.
Zimbabwe Institute of Foundries (ZIF) chief operations officer Mr Dosman Mangisi said Disco will spur the growth of Zimbabwe’s iron and steel engineering industry, which took a heavy battering following the collapse of the Zimbabwe Iron and Steel Company (Zisco) in 2008, once the largest steel manufacturing plant north of the Limpopo.
He said the investment represents a huge stepping stone in Zimbabwe’s modernisation and industrialisation agenda in line with NDS1 and Vision 2030.
“The world-class iron and steel plant will tap into a resource base that is estimated to last for 100 years and comprises a carbon and steel plant, an iron ore mine, and a ferrochrome plant, which will result in over 10 000 people benefiting through employment across value chains,” said Mr Mangisi.
He said the ZIF has started engaging Disco for raw materials like ferrochrome, pig iron, iron and steel, and coking coal once they start production.
“The company’s existence will bring the cost of doing business down, as companies are currently importing iron and steel as well as other related products,” said Mr Mangisi.