Local mine owners and players have complained of being left out as only elitist foreign mine owners, financiers and their representatives are having a say on Zambia’s mining industry at the mining indaba being held in South Africa.
The Emeralds and Semi-Precious Stones Mining Association of Zambia – ESMAZ has condemned the government’s decision to continue sideling local small-scale miners from attending regional forums like the African Mining Indaba which is annually hosted in South Africa.
ESMAZ has condemned the government’s decision to exclude local mining companies from such events, stating that it does not portray a commitment to supporting the real growth of locally owned sectors.
Speaking in an exclusive interview with the Zambian Business Times – ZBT, ESMAZ President Victor Kalesha has challenged government sincerity in their statements that they went to create linkages for small-scale miners when such indaba are held with mostly foreign-owned and controlled mining entities and financiers at the expense of growing local ones.
He noted that the lack of resources and the high cost of financing make it difficult for mostly local small-scale miners to attend such events, which are crucial for networking and exchanging ideas with potential investors.
As the African Mining Indaba is this year held in South Africa from 5-8 February 2024 under the theme “Embracing the Power of Positive Disruption for a Bold New Future for African Mining”, ESMAZ, however, feels there is a need for the government and even financial institutions participating support the creation of linkages for locally owned miners and help them be part of the event if Zambia is to meaningfully and inclusively develop.
Kalesha described the sidelining of small-scale miners from attending such events as a lack of priority by the government, stating that the government has failed to prioritize the importance of invving locals and small-scale mining in the country.
The ESMAZ President added that successive governments since time immemorial have always attended mining indabas while sidelining local miners.
Kalesha said Small-scale miners are important to the country’s economy, as they can bring back much-needed revenue to the country through exports once they have the right connections and networks.
However, our local miners face numerous challenges that hinder their growth and productivity.
Kalesha stated that small-scale miners understand these challenges and have solutions, but they cannot be implemented due to various hindrances, some of which need urgent solution to be addressed.
Kalesha called for more engagement between the government and other investors to exchange ideas and come up with mechanisms to see where the country wants to be. Locals Zambians are mostly playing in the small-scale mining sector, so sidelining them means exports proceeds will continue not being remitted back to Zambia.
He suggested that the private sector could be brought on board to support the sector, as it has done with road construction, generating more revenue for the country.
Kalesha added that it is crucial for the government to prioritize the small-scale mining sector and create linkages to allow them to participate in such events adding that by doing so, the country can generate more [real] revenue and create more real jobs in the mining sector. Kalesha said,
“What we feel is that Government should create interest and promote their own small-scale miners to have networking and linkages at the mining Indaba because their going alone with some representatives of mostly foreign interests does not portray commitment to supporting the small scale mining sectors.”
“We need more engagement rather than just having indabas in the country without directions that will not lead us anywhere as we need indabas with directions. Where do we want to see ourselves in the next 5 years, for example, the government has a road map for the copper industry of hitting 3 million tons of copper production by 2031, but where do we want to see the gemstone and emerald sector so there should be engagements so that we come up with mechanisms of seeing where we want to be as a country.”
“Just singing of being the largest producer of emerald when no local Zambians are participating is not enough because the trickle-down is not even being felt, contributing as much to the economy, but if we have many more small-scale miners and locals getting involved in the production and exports, we will have much more revenue remaining in the country unlike it is in the current scenario.”
