BREAKING: Kuvimba gets ZISCO
The defunct Zimbabwe Iron and Steel Company (Ziscosteel) is set to be operational again after Kuvimba Mining House was given the green light to take over the operation.
By Prince Sunduzani
This comes after many false starts to resuscitate the parastatal which closed shop a decade ago.
Kuvimba’s bid sailed past 8 other bids from various prospective investors who wished to be part of the awakening of the midlands province giant.
The Ministry of Information and Publicity announced the development in a post-cabinet briefing today saying the resuscitation partner was picked after due process was followed.
“After due process was undertaken for the identification of an investor to partner in the operationalization of ZISCO Steel, Cabinet approved that Kuvimba Mining House be engaged as the Investment partner for the resuscitation of ZISCO steel.” said the information ministry.
The Redcliff-based manufacturing giant which closed shop at the height of inflation in 2008, is a vital cog in the mining industry value chain and its re-opening will likely mean a turnaround in the country’s fortunes.
Last year, the Government projected that the reopening of Ziscosteel will see 3000 people getting employed at the plant and 20 000 people in the downstream and upstream industries.
Its demise is said to be costing the economy an average of US$1 billion annually through imports of steel and related products.