Government to Unveil US$10 Million fund for Chrome and Gemstone Miners
In an effort to promote the chrome and gemstone Artisanal and Small-scale Miners (ASM) in Zimbabwe, the government will unveil a US$10 million funding scheme to boost production and ensure responsible mining, the Minister of Mines and Mining Development, Hon. Winston Chitando announced.
By Rudairo Mapuranga
Speaking at the Zimbabwe Miners Federation (ZMF) AGM and Conference held at Hippodrome in Braeside, Harare, Minister Chitando announced that President Emmerson Mnangagwa will unveil a US$10 million facility fund for the non-gold ASM sector in September.
“Firstly, before the end of September, there will be an initial US$10 million facility specifically for equipping non-gold production. This facility is designed for miners, including those in the chrome and gemstone sectors. It will be launched by His Excellency, the President, on the day it is announced. All the mechanisms have been concluded, and we are just finalizing a few details before it goes to His Excellency,” Chitando said.
Minister Chitando emphasized that for chrome miners specifically, this facility means they can apply for funds to equip their operations. However, the launch of this facility will come with some rules and policies.
“One key rule is that all chrome ores cannot be traded freely. If you have chrome and want to sell it to a company, particularly those known for smelters, you must inform us.
“In some cases, miners are being undercut or eliminated by unfair practices, which is unacceptable. Therefore, a mechanism will be put in place to ensure that if you are a miner, you can only sell chrome ores with the transaction overseen by the MMCZ (Minerals Marketing Corporation of Zimbabwe),” he said.
According to the Minister of Mines, the physical ores do not have to go to the MMCZ.
“We do not want to create any protests. If the ore is at your mine and you normally sell it to a buyer, your paperwork must go to the MMCZ before the buyer can move it. The MMCZ will confirm that you are being paid fairly. Once confirmed, you can proceed with the transaction,” Chitando said.
This mechanism serves as a legal safeguard against fraud and is there to protect chrome miners.
Chrome miners have been crying foul of predatory chrome buyers who were purchasing ores with over 40 per cent chrome content at less than US$25, leaving miners in abject poverty.