Standard Blog Whole Post - Zambian Business Times

0 likes

Financial Sector Deepening Zambia - FSDZ Chief

Lifestyle

Customary land tenure needs legal security backing – Land Alliance

The Zambia Land Alliance – ZLA, a non governmental organisation has called for the further review of the draft national land policy which does not appear to have a clear goals or clear overall objectives and what they feed into.

ZLA Executive Director Patrick Musole told the Zambian Business Times – ZBT in an exclusive interview that it is not clear from most objectives which entities are expected to play which role in the objectives realization hence, the situation analysis chapter should to be streamlined and be combined with some sections for a clear identification of issues which form the basis of the policy.

Musole also highlighted the need to enhance customary land tenure security stating that it does not have tenure security as there is no documentation linked to it hence, some registration form of customary land right should be considered.

He added that customary land owners should be provided with documentation recognized by government, traditional leaders and other stakeholder such as financial institutions to enhance land tenure security in the country.

“We are also aware of other organisations that are offering land certificates in certain chiefdoms on a pilot basis but these documents are currently not recognized by government, they are not legal documents and so, they are not official, therefore government through the ministry of lands should enhance customary land tenure security,” he said.

He has disclosed that the Alliance has made submissions on what should be reviewed in the draft national land policy and it is glad to report that the current draft has provisions for the certificate excerpt it does not clearly state who is to be responsible for issuing customary land certificate.

The ZLA Executive Director further called on government to maintain the dual land tenure system but added that the current system needs to be enhanced so that it provides a conversion of customary land to state and also to reverse the process to enable land owners convert back to their original status if the intended purpose is not archived.

Some development analysts have blamed the higher levels of rural poverty and under development in rural parts of Zambia to the lack of a secure land tenure system needed in a modern economy to support long term investments. Most rural folks depend on the generosity of their chiefs for their current assigned prices of land which some few unscrupulous traditional leaders have auctioned to city and foreign investors leaving the rightful owners in the cold.

The current system needs to be timely negotiated to balance the powers of the traditional leaders and the rights of their subjects to have a legal or documented claim on their assigned land if this injustice is to be stopped. It’s recognized that the traditional land system works well when the chief or leader is genuine but as leaders change, there has been cases were some few uncaring leaders have displaced and sold off arable land in the name of attracting investments but a great costs to the original long standing rural inhabitants.

June 14, 2019

0 likes

The Zambia Land Alliance – ZLA, a

Zambia can be a sugar production hub – Mansa Sugar

Mansa Sugar Limited has projected a deficit in Zambians’ Sugar production by 2030 due to the growth in population and the increase of living standards for most Zambians which is leading to growth in demand for the commodity.

Mansa Sugar Head of Projects and Corporate Affairs Bhupender Rathore says Zambia being a surplus country in sugar production expects a good growth rate in production but that currently, sugar productivity in the country has slowed down.

Speaking in an exclusive interview with the Zambian Business Times – ZBT, Rathore said that the estimated and projected deficit of sugar production on the Zambian market is due to the continued improvement in the living standards that Zambians are currently experiencing adding that sugar consumption is mainly dependent on the people’s income generation abilities.

He further stated that Zambia has huge potential to become a hub of sugar production to neighboring countries and that the opportunity can only be seized if the country further improves the sector. He pledged Mansa Sugars’ commitment to continue contributing to the development of the country through job creation and improved forex earnings.

Rathore disclosed that Mansa Sugar Limited currently has over 1,000 local employees and that the company is the largest formal employment contributor in Luapula province. “Being the one of the major economic contributor in Luapula and Chembe district, we have managed to generate employment in Chembe district, a palace which was thought of as being a remote area and literally had no formal employment, however the company has helped improve people’s living standards in the area and the province at large,” he said.

He has however urged locals in the province to seize the developmental opportunities that the province is receiving and that youths should acquire skills to be able to participate in projects being undertaken to avoid being left out giving jobs to other nationals.

Zambia has enjoyed considerable levels of self sufficiency in sugar production and is currently the net exporter of of the sweet commodity. The coming on stream of Mansa Sugar has further boosted the country’s sugar export prospects.

Other major producers in Zambia are Mazabuka’s based and Illovo owned Zambia Sugar, Consolidated Farming Limited and Kasama Sugar.

June 12, 2019

4 Comments

0 likes

Mansa Sugar Limited has projected a deficit

FQM contributed 14% of Zambia’s total tax budget of 2018

The just published 2018 Tax Transparency and Contributions to Government Report for First Quantum Minerals (FQM) has revealed that the mine paid more than US$533 million (K5.6 billion) in taxes to the Zambian government in 2018 with an additional US$10 million spent on community and social infrastructure projects.

During the year, the mine reports that it paid US$144 million in income tax to the Zambian Revenue Authority – ZRA, US$197 million in mineral royalties, US$73 million in PAYE, US$8 million in withholding tax and US$90 million in consumption and import taxes.

“The 2018 Tax Transparency and Contributions to Government Report highlights First Quantum’s contributions to the Zambian host Government, which helps to illustrate the positive impact FQM strives to create everywhere they do business. FQM strongly supports the various transparency initiatives which provide all stakeholders with clear information of the contributions which First Quantum makes to its host governments,” the report said.

The company’s Kansanshi Mine in Solwezi accounted for US$315 million of the payments – 58% of the total payments to Zambia, while its Trident project including Sentinel Mine at Kalumbila accounted for 28 percent or US$150 million, a figure that reflected that the mine only began commercial operation in 2016 and has yet to turn a profit.

FQM’s tax payments in Zambia during the year represented 14 percent of the country’s total budgeted tax revenue of K41 billion (US$3.9 billion) for 2018. The calculations are based on the average exchange rate for the year of K10.4781/US dollar.

“At First Quantum, we know that our success is dependent on the wellbeing of the economies and communities where our businesses operate. We also believe that transparency can help stakeholders to understand the economic benefits generated by our activities and how those benefits are distributed for local, regional and national economic and social development. Therefore, we strive to ensure that our disclosures are transparent, consistent, accessible and presented in a way that is easily understood,” FQM Chief Financial Officer Hannes Meyer said.

“In taking this transparent and responsible approach, we provide communities with the opportunity to understand the revenue contributions we make to their governments and how these contributions ultimately assist in the development of local communities and the overall economic and broader positive wellbeing of those communities and countries.”

Meye adds that First Quantum’s approach to tax and royalty payments reflects its underlying core values which focuses on building open and transparent relationships with the tax authorities in those countries.

June 12, 2019

0 likes

The just published 2018 Tax Transparency and

Tech

Zambia honored to host AUs economic, social and cultural council HQ

Vice President Inonge Wina has assured Civil Society Organizations – CSO’s and African Union – AU organs of government’s support to create a conducive environment to operate effectively in the country.

Wina has cited AU organs and CSO’s as equal partners in contributing to national development hence the need to participate in the integration and development agenda of the African continent.

Speaking when she officiated at the 3rd general assembly of the economic, social and cultural council – ECOSOCC of the African union, the Vice President pledged government’s commitment to providing a peaceful, stable and enabling environment conducive for the establishment of a critical African union institution such as the ECOSOCC.

The Veep said it is an honor that Zambia is now host of the key organ of the union which has moved from Ethiopia to Lusaka and that government will look forward to the establishment of the secretariat in Lusaka by the end of the second quarter, this year.

She has however urged the African union commission to hasten the completion of the recruitment process for ECOSOCC secretariat adding that lots of work is required in steering the organ into a more concise and effective mechanism of operation.

“ I am therefore, confident that once the secretariat is fully established in Lusaka, the African union will through ECOSOCC, soar to greater heights as strong partnerships are forged between governments and all segments of civil society, in particular, women, the youth, children, the diaspora, organised labour, the churches, the private sector and other professional groups,” she said.

Speaking at the same event ECOSOCC presiding offer Abozer Almana has urged members of ECOSOCC and CSO partners to take advantage of the political stability in the country and lobby for development for the vulnerable.

Almana also thanked government for giving CSO’s an opportunity to be integrated in the developmental agenda of the country.

0 likes

Vice President Inonge Wina has assured Civil

K136 million for roads arrears and Kazungula bridge project released

The Ministry of Finance has released K136 million to the National Road Fund Agency – NRFA to settle arrears related to road projects and other related activities.

NRFA is however expected to pay k28 million for the ongoing works at the Kazungula bridge project, a multi-million bilateral project on the north-south corridor on the border between Zambia and Botswana.

In a statement made available to the Zambian Business Times – ZBT, Finance Minister, Margerate Mwanakatwe said once the project is complete, Kazungula bridge will facilitate trade, commerce and investment through improved efficiency of transit traffic and reduction in the time that local and international freight takes to be cleared at the border.

She said part of the funding tranche has been earmarked for the local routine maintenance contractors under the road development agency – RDA, and those under the ministry of local government.
She added that the release of the money is not only a cash flow stimulus for the small-scale contractors but also a demonstration of the government’s commitment to the domestic arrears dismantling strategy.

Mwanakatwe said the ministry has since put in place a system that will ensure that main road contractors, sub-contractors and consultants are also paid in due course. “My ministry wishes to see that the government’s policy of building local contracting capacity by allocation of 20% of major contracts to this category is sustained in order to empower our own citizens. Going forward, my ministry through the NRFA will continue to strengthen its domestic resource mobilisation efforts for the road sector by increasing the road tolling footprint across the country from the current sixteen to twenty-eight by the end of 2019,”

The Finance Minister is however keen to see that strong internal systems and controls are maintained at NRFA in order to remain on track and ensure that targeted road works are duly completed, and that the debt dismantling strategy is not derailed.

1 Comment

0 likes

The Ministry of Finance has released K136

Public investment board to scrutinize projects before funding to be unveiled

National Development and Planning Minister Alexander Chiteme has disclosed that his ministry is on the course of instituting plans towards its responsibility of becoming a focal point in the implementation of Zambia’s diversification agenda.

During a cabinet meeting that took place on May 27th, 2019, Ministry of National Development and Planning was designated as a center lead in the implementation of the diversification agenda for better accountability.

In an exclusive interview with the Zambian Business Times – ZBT, Chiteme said the ministry is in the processes of finalizing the set up of a public investment board aimed at assessing projects done by government to ensure social visibility and transparency in service delivery.

He mentioned that projects such as road construction and infrastructure will be benchmarked by the ministry in order to have a cost-effective project and avoid spending a lot of funds on certain projects which have low returns.

“We are enacting a public investment board which will make sure that every project that is being done by government passes through the ministry for appraisal before it takes course so that our projects can be effective and this is being done in line with pillar number one on the 7th National Development Plan – 7NDP,” he said.

The minister further revealed that the progress towards the implementation of the 7NDP is currently at 40% and that government has secured over K150 million towards its implementation. He has however noted the need by both private and public sectors in the country to play their specific roles in the implementation of the 7NDP if various objectives are to be archived.

Zambia has struggled to launch a sustained diversification drive as the dominance of the higher retuning copper mining industry seems to overwhelm other key sectors. The country only engages in serious diversification pronouncements when copper prices fall and those plans get abandoned as soon as copper prices pick up.

Experts have pointed out the need for serious and sustained investments in power generation which can easily be exported to other countries. Another industry is Tourism, with the peaceful people who readily welcome visitors, this can be an asset to get more tourists and host more conferences which would bring in the much needed forex as an alternative to over dependence on copper mining industry.

Agriculture and Agribusiness especially exports to neighboring countries with vast markets such as Angola and Congo DRC which even local Zambians can drive has remained on paper with no tangible bilateral deals being signed by the country.

In the end, the country has been trying to do everything every time which needs to be whittled down to specific focus sectors for investment so that the funds put in can have a higher impact and provide a long term platform for diversification.

0 likes

National Development and Planning Minister Alexander Chiteme

Lifestyle

Water and sanitation needs more investments – Veep

Vice President Inonge Wina has called for more investment in water and sanitation if the outbreak of diseases is to be prevented in the country.

Wina said investment in water sanitation and hygiene are a positive cost in social and economic returns and that they benefit the vulnerable group in society and prevent many citizens from outbreaks such as cholera.

Water Development and Sanitation Minister Dennis Wanchinga during the official opening of the 8th Zambia Water Forum and Exhibition – ZAWAFE, stated that water management is a core component of social and economic development hence the need to raise awareness on water security.

He noted with sadness the recent negative experiences that the country has endured as a result of poor sanitations, inadequate access to drinking water and the 2018/2019 drought spell and that government will put measures to minimize the impact of poor sanitations and enhance water security within its broader context.

He called on the ministries of water development, health, local government and the disaster mitigation unity to ensure water insecurity is minimized while access to access sanitation is enhanced. The government has declared the second week of June as the Zambia water week to be commemorated annually and nationwide.

And World Bank Representative Cestari Anna said Zambia is a country that is reach in water hence the need to understand the impact of sanitation to enable effective initiatives that would provide water security in the country.

She said the water forum creates a platform for the country to find the best methods that will protect water sources and improve sanitation.

This 8th Zambia Water Forum and Exhibition is themed “The impact of sanitation on water security in sun-Saharan Africa towards implementation of the sustainable development goal number 6,”

0 likes

Vice President Inonge Wina has called for

Agribusiness

Government U-turns again – lifts ban on import of livestock

The ministry of Livestock and fisheries has backtracked and again lifted the very suspension slapped on importation of various livestock and livestock products and animal feed at a meeting attended by over 300 concerned stakeholders at the Mulungushi International Conference Centre in Lusaka.

This follows petitions by various livestock stakeholders through the Zambia National Farmers’ Union (ZNFU) who submitted a dossier of resolutions outlining how the suspension was threatening to collapse the sector. The suspension was merely announced last week on 31st May 2019 by the Permanent Secretary, Dr. Shamulenge.

Ministery of Fisheries and livestock permanent secretary Dr. David Shamulenga announced the lifting of the ban on behalf of Minister Kampamba Mulenga-Chewe but that considerations will still be made to ban the importation of certain products that the country can manage to produce in order to support local business.

“Immediately after this meeting, we are lifting the suspension so that all the trucks that have been marooned can start coming in. Actually we had already allowed trucks to start coming through after we received reports of trucks being marooned by Saturday, but be aware that the ban will still be in effect on certain products that we will announce in a shortest possible time.

Dr. Shamulenge acknowledged receipt of the submission at the meeting but asked ZNFU to make a formal submission to the Ministery of Fisheries and Livestock which will be studied and a position taken on the various resolutions. He asked for dialogue among all stakeholders and urged other organisations affected by the livestock and livestock products suspension to make their submissions by next week Wednesday.

And ZNFU Director Commodities Fisho Mwale said farmers and other livestock stakeholders were deeply concerned with the decision to suspend importation of livestock products saying any delay to reverse the suspension would hurt the livestock sector severely.
He warned that supplies and feed would only last the country two weeks after which there would be trouble for the various players.

Mwale presented the petitions by Beef Commodity Committee, Poultry Association of Zambia, Dairy Association of Zambia, the Aquaculture Association of Zambia, Pigs Commodity Committee and the Crocodile Association of Zambia.

While calling for the lifting of the suspension, Mwale called on the Ministry of Fisheries and Livestock to carefully scrutinize the submissions as some were calling for the upholding of the suspension of certain imports that were causing an uneven playing field in the sector and hindering growth of the sector.

The meeting, which also attracted livestock players from DR Congo, Namibia, Zimbabwe and Mozambique ended with the lifting of the suspension by the Ministry of Fisheries and Livestock to allow business to get back to normal.

The constant u-turns by government agencies and ministries are blamed on the lack of utilization of the Business Regulatory Review Agency – BRRA, which spells out clear guidance on the requisite consultative and technical review process that is required before regulation affecting business is churned out.

The need to ban or increase tariffs on importation of products that are locally produced is an economic growth imperative but a few corrupt civil servants rush to issue blanket bans knowing very well that they will all together be reversed due to including of even other critical inputs that can not be locally manufactured on the banned list.

What will now happen is that the goods which are locally available which should have been banned with proper consultation and research will fall into the cracks and the ban or tariff increment be deferred indefinitely, weakening the growth prospects of local livestock sector growth in the medium to long term.

Concerned citizens and members of the public have called for accountability, taking of action on the civil servants that issue these half baked and un-researched bans only to profit from the embarrassing government policy u-turns.

Most cattle ranchers and livestock farmers generally have complained of cheap imports and sub-standard beef and other products that have been getting smuggled into the country disadvantaging the local farmers who are cable of satisfying the local market.

June 9, 2019