Chrome miners feels heat

Local ferrochrome producers are starting to feel the heat over plummeting global chrome prices that are likely to affect their viability with far reaching implications on the economy.

According to the producers, Global markets for ferrochrome and chrome ore have taken a downturn and 2019 is forecast to have depressed market conditions largely due to some imbalance in supply versus demand as well as uncertainties associated with global trade wars and changing economic dynamics of the key stainless steel producing countries.

The local producers have also accused big international players of suffocating African economies by dropping the prices of chrome so as to frustrate developing countries.

In an interview, Zimbabwe Mining and Smelting Company (Zimasco) General Manager Marketing, Ms Clara Sadomba said depressed market conditions are adversely affecting production at the country’s major ferrochrome and chrome ore producers.

She said Zimasco which is operating at 80 percent capacity is making significant strides in the industry is making frantic efforts to stay afloat in the wake of plummeting global ferrochrome and chrome ore prices.

“Global markets for ferrochrome and chrome ore have taken a downturn and 2019 is forecast to have depressed market conditions largely due to some imbalance in supply versus demand as well as uncertainties associated with global trade wars and changing economic dynamics of the key stainless steel producing countries.

The Herald

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