. . . earnings from value-added minerals up 283pc

ZIMBABWE’S earnings from beneficiated minerals increased by 283 percent over two years since 2020, according to the latest official statistics from the Treasury.

This underscores the positive impact of Government’s thrust for beneficiation to boost mineral exports.

The remarkable growth represents a significant development for Zimbabwe as the mining sector serves as a key driver of the country’s economic growth.

As such, mineral beneficiation is undoubtedly amplifying the sector’s contribution to the economy, creating jobs and reducing reliance on revenue from the export of raw minerals, which is vulnerable to global price fluctuations.

While the recent surge in investment in the mining sector has been met with optimism, some analysts caution that more concerted efforts are required to fully unlock the country’s mineral potential.

Despite the increased investment being a positive sign, some analysts emphasised the need for continued efforts to attract further investment, enhance operational efficiency and embrace technological advancements to ensure Zimbabwe’s competitiveness in the global mining arena.

According to statistics, revenue from beneficiated minerals increased to US$4,6 billion in 2022 from US$1,2 billion in 2020, driven by gold, platinum, ferrochrome and diamonds.

Gold and platinum accounted for US$2 billion each. Ferrochrome, coking coal and diamonds accounted for US$347,6 million, US$130,7 million and US$121,7 million, respectively.

Zimbabwe’s aggressive approach to reducing raw mineral exports has played a crucial role in stimulating investment in beneficiation facilities.

In a bid to protect its ferrochrome industry and foster local value addition, Government imposed a ban on the export of unprocessed chrome ore in August 2021. This decisive action was followed by another strategic move in December 2022, when Government prohibited the export of unprocessed lithium.

These export restrictions have effectively incentivised investments in beneficiation plants within Zimbabwe, enabling the country to maximise the value of its rich mineral resources.

Over the past two years, Zimasco spent around US$6,8 million in upgrading and rebuilding its furnaces, as well as developing its mines to sustain production.

When the projects have been fully commissioned, Zimasco’s production capacity is expected to increase by 120 percent by 2025. Another ferrochrome producer, Jinyi, spent US$7,1 million on

PAN-AFRICAN investment holding group Diaspora Kapita is angling to debut on the Victoria Falls Stock Exchange (VFEX) early next year to widen its net to attract investors.

This comes as several companies are eyeing the United States dollar-denominated exchange, which is seen as a secure vehicle for raising capital.

Now, Diaspora Kapita — an investment holding group focusing on identifying, acquiring and building a portfolio of sustainable growth assets in Sub-Saharan Africa — is targeting the first quarter of 2024 for its listing. This follows approvals from shareholders to carve out its financial services assets and convert them into a public company.

“Our objective from the outset has been to make Diaspora Kapita accessible to everyone. As we approach our 10th anniversary next year, we believe it’s the right time to go public. We aspire to play a strategic role in the economic growth of Zimbabwe”, said Diaspora Kapita chairperson Mr Lovemore Makunike.

“Over the years, many of our communities have remained mere spectators, watching other investors from lands afar take a deep dive into our local economy,