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Polished: “We cannot continue exporting our rough diamonds without value addition.”

Oliver Kazunga, Senior Business Reporter

CABINET has approved strategies aimed at promoting value addition and beneficiation in the mining sector to grow the economy in line with the Zimbabwe Agenda for Sustainable Socio-economic Transformation (Zim-Asset).

Addressing delegates at the ongoing 2014 Mine Entra Conference in Bulawayo, Mines and Mining Development Minister, Walter Chidhakwa said in order to drive the economy forward Cabinet agreed to prioritise value addition and beneficiation in the diamond sector, implementing the coal-bed methane gas project in Lupane, as well as promoting mineral beneficiation on resources such as iron ore, chrome, coal, and nickel deposits.

“In Cabinet yesterday (Tuesday) we agreed that we institute and implement the three. We cannot continue exporting our rough diamonds without value addition but to sell polished diamonds. Over the last two months, we have been looking at negotiations with investors for our diamonds.

“We are looking at the possibility of trading diamonds for value addition. We know there are people (foreign market) that have the experience for manufacturing jewellery and extensive marketing of jewellery, we want to sell to you our diamonds; we must have a foot print to say a certain percentage is going as polished diamonds; a certain percentage is also going out as Zimbabwe jewellery. Let me assure you that we have done a sufficient amount of work in that regard,” he said.

No more rough diamonds: Zimbabwe wants to realise more money from its diamonds

He said the second area that government was prioritising was the Coal-bed methane gas project in Lupane.

“We have started pumping of the gas out of Lupane, a true historical moment….the gas will be used for the production of energy and fertiliser. We also see the significant development of petrol-chemical industry as we purify the gas,” he said, adding that the third area of focus was natural driven by resources such as chrome, coal and nickel deposits.

As government forges ahead with value addition and beneficiation, he said the ban on raw chrome export would be kept in place.

He said government was also looking at restructuring his ministry as well as computerising systems to eliminate corruption as well as improving efficiency and mineral output.