Chinese Investors Blame Bureaucracy for Mining Violations

Published:

Chinese investors operating in Zimbabwe’s mining sector are blaming red tape and bureaucratic delays for some of the violations that have drawn sharp criticism from the government.

By Ryan Chigoche

They argue that, in many cases, delays in acquiring work permits and getting projects operational are forcing companies into non-compliance.

Speaking at the China-Zimbabwe Business Cooperation Roundtable held in Harare recently, Steve Ke Zhao, CEO of the China-Zimbabwe Exchange Centre, said that while the government’s concerns are valid, Zimbabwe’s own administrative inefficiencies are frustrating genuine efforts by investors.

“Unfortunately, at the moment, Chinese companies are facing a lot of trouble. After investing huge amounts like US$5 million or US$10 million, they’re facing challenges,” Zhao said.

“Some get ZIDA certificates but can’t get work permits. Machinery is sitting idle. It can’t be installed. They can’t operate. They end up doing something illegal—not because they want to, but because the system delays,” he added.

His comments follow growing public and government frustration over the conduct of some Chinese-owned firms, particularly in the gold and granite mining sectors, where allegations of environmental damage, labour violations, and cultural insensitivity have persisted.

Also speaking at the roundtable, Tafadzwa Muguti, Secretary for Presidential Affairs in the Office of the President and Cabinet, delivered a stinging rebuke. He accused certain Chinese companies of operating outside formal structures, violating laws, and disregarding Zimbabwe’s cultural heritage.

“We are noticing that some Chinese companies are going and digging up our ancestors’ graves to extract granite or gold. There are some of them picking up the bones, putting them aside, and starting to dig. That’s the greatest disrespect to any person, even in your culture,” Muguti said.

Authorities have also raised the alarm over foreign nationals, particularly Chinese visitors, entering the country on tourist visas and later engaging in business activities without proper permits. To address this, Muguti announced that all Chinese visa and investment applications would now require a letter of acknowledgment from the Chinese Ambassador—a move aimed at strengthening oversight.

Zhao, however, pushed back on the narrative that all misconduct is intentional. He said many Chinese investors face delays even after obtaining licenses from the Zimbabwe Investment and Development Agency (ZIDA), leading to stalled projects and, in some cases, unintentional breaches of the law.

He also acknowledged that some Chinese investors arrive without a clear understanding of Zimbabwe’s legal, labour, or cultural expectations.

To bridge that gap, his organisation has begun running workshops in partnership with local banks and regulatory agencies.

Meanwhile, the government has stressed that compliance alone is no longer sufficient.

Authorities want mining companies to support Zimbabwe’s industrialisation agenda by adding value to the country’s mineral resources.

A ban on raw mineral exports—especially lithium—is now being enforced as part of this beneficiation strategy.

The recently tabled Mines and Minerals Amendment Bill is expected to give legal force to this beneficiation drive by tying licence approvals and renewals to value-addition targets.

As Zimbabwe attempts to balance its push for accountability with the need to attract long-term foreign capital, Zhao’s remarks underscore a growing tension between policy ambition and investor frustration.

Whether the two sides can find common ground—before delays lead to further non-compliance or disinvestment—remains to be seen.

Related articles

spot_img

Recent articles

spot_img
error: Content is protected !!