US$1 billion 2023 target set for diamond sector

20 Mar, 2020 - 00:03 0 Views
US$1 billion 2023 target set for diamond sector Minister Winston Chitando

The Chronicle

Pride Mahlangu, Business Reporter

MINES and Mining Development Minister, Winston Chitando, says the diamond industry is projected to contribute US$1 billion towards of the targeted US$12 billion mining revenues annually by 2023.

Last October, President Mnangagwa launched a strategic roadmap to the achievement of a US$12 billion mining industry by 2023, as Government ramps up efforts to increase the sector’s contribution to the economy by facilitating the exploitation of minerals throughout the entire value chain, with certain targets per mineral. Updating parliament on Wednesday about mining progress, Minister Winston Chitando said the US$12 billion milestone was based on detailed projections and targets.

He said US$165 million was realised from the diamond sector in 2019 compared to US$98 million in 2018. As such, the minister said interventions were being put in place to ensure the diamond industry increases output starting this year moving towards achievement of the US$1 billion mark by 2023.

“Diamonds are expected to contribute US$1 billion towards the US$12 billion target for the mining industry by 2023,” said Chitando. 

“In line with diamond policy, Anjin Investments has started production and Alrosa Diamonds, which is the largest producer of diamonds in the world and is already on the ground evaluating several sites to commence production. Government is working on improvements of the marketing framework.”

The minister said the Zimbabwe Consolidated Diamond Company (ZCDC) was also expected to gradually increase production. On the platinum industry, Minister Chitando said the sector was expected to contribute US$3 billion towards the US$12 billion target by 2023 centred on the expansion and production of projects undertaken by Unki, Zimplats Holdings Limited (Zimplats) and Mimosa Platinum mines. 

“Great Dyke investments have started opening a mining area and it is scheduled to produce its first concentrate in 2021. Karo Resources are ready to commence project work on the 1st portal having undertaken extensive evaluation work,” he said. 

“Bravura is on the ground undertaking evaluation work. Discussions with Todal Mining Ltd are advanced for them to get into the project phase; actually, they had a board meeting sometime this week.”

Minister Chitando said the chrome, nickel and steel sector were earmarked to achieve US$1 billion by 2023, and that the achievement will be necessitated by increased production due to various expansion projects underway by Zimasco, Zim-Alloys, JINAN and AFROSHEEN and a few other players. Recently, Government said mining sector regulations were expected to contribute US$4 billion to the economy this year due to fresh capital injection on new and existing projects. @pridesinstinctz

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