President hailed on new diamond policy

25 May, 2018 - 00:05 0 Views
President hailed on new diamond policy The bumper crowd at the Zanu-PF rally at Sakubva Stadium last Saturday. Pictures by Tinai Nyadzayo.

The ManicaPost

Ray Bande Senior Reporter
THE crafting of a new policy which will lead into the unbundling of Zimbabwe Consolidated Diamond Mining Company (ZCDC) has been received with delight by residents in Mutare and surrounding areas amid expectation that the exploitation of the precious gems will finally benefit the local community.

Addressing party supporters at Sakubva Stadium on Saturday, President Emerson Mnangagwa said he is not happy with the diamond mining operations in Chiadzwa and the Government will soon craft a policy that will bring in more players.

President Mnangagwa said the new policy would ensure that locals benefit from the diamond mining operations in Chiadzwa.

“We are all aware that we banned the operations of several diamond mining companies in Chiadzwa thinking that this would improve production but it appears we have not been able to get the benefit we expected.

“Government is now working on a new policy that will see the communities around the diamond mining companies benefiting for the exploitation of the mineral resource in their area. We will be bringing in more players in the sector so that we have full exploitation and benefit from the mineral resource,” he said.

Mr Paul Sigauke, a local entrepreneur, said the people of Manicaland and Marange in particular are bitter that they have not benefited from the diamond mining proceeds.

“I think it is not a secret that the people of Manicaland and Marange in particular are bitter that they have not benefited from the diamond mining proceeds.

“People in Zvishavane have benefitted immensely from the platinum mining activities that are being carried out there but the same cannot be said here.

“Even the road that leads to the mining area is still a dust road yet we all know of town that were built from proceeds of mining activities in the respective areas, Johannesburg for example. Why can we not have the same here in Mutare? It is good that the President has alluded to that and we are expecting to see an improvement in our infrastructure,” said Mr Sigauke.

Mr Bongai Dube of Zimunya said it is time that the current administration make amends to the mistakes that were made by the previous leadership with regards to the exploitation of diamonds in Chiadzwa.

“It is clear that we as the people of Manicaland have not benefited anything from the mining of diamonds in Chiadzwa. I think it is time that the current administration make amends to the mistakes that were made by the previous leadership with regards to the exploitation of diamonds in Chiadzwa and we are happy that the President has noted that,” he said.

Mrs Tambudzai Manyeruke of Marange said addressing the issue of distribution of proceeds from Chiadzwa is critical in gaining the confidence of the people of Manicaland for the country’s new administration.

The First Lady Amai Auxilia Mnangagwa greets a Zanu-PF supporter at last Saturday’s rally at Sakubva Stadium.

“It is good that the President has mentioned it himself in his speech and the people of Manicaland are happy that he also realises that. We are now waiting to see his administration addressing those things that were erred by the former administration including the issue of distribution or use of proceeds from Chiadzwa,” she said.

Government consolidated the diamond mining operations in Chiadzwa after firms which operated at area for many years did not benefit the country and at one time, President Mugabe bemoaned the prejudice of $15 billion in revenue the country suffered.

Consequently, Government merged diamond mining companies previously operating in Chiadzwa and Marange into ZCDC as the State moved in to ensure accountability.

For years, Mbada Diamonds, Anjin, Marange Resources, Diamond Mining Company, Kusena Diamonds, Jinan and Gye Nyame operated in Chiadzwa under 50-50 joint ventures with the State’s Zimbabwe Mining Development Corporation.

However, Government said it did not get much from the ventures and to set up the Zimbabwe Consolidated Diamond Company to rectify this.

At its formation, Zimbabwe was primed for rich pickings through the ZCDC in which Government is the majority shareholder, with the country expected to sell at least 500 000 carats monthly at an average value of US$25 million. This was expected to bring a significant increase from the US$157,2 million that Chiadzwa miners remitted to Treasury in 2015.

However, the mining operations by ZCDC fell short of Government expectations.

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