Interview: Better Brands founder Pedzisai “Scott” Sakupwanya
Pedzisai Scott Sakupwanya is a prominent figure in Zimbabwe’s gold mining industry. He has extensive experience and expertise in the gold sector. He not only has extensive experience but also expertise in the gold sector. Throughout his career, he has gained a deep understanding of the intricacies and challenges of the industry.
Which year has been your best year in terms of gold deliveries to Fidelity? How many tonnes did you deliver and how did you manage to deliver so much that year?
In terms of gold deliveries to Fidelity Gold Refinery (FGR), our best year was in 2022 when we delivered 18 tonnes of gold. This exceptional performance can be attributed to the incentives paid on gold deliveries which allowed us to offer a competitive price to ASM (Artisanal and Small-Scale Miners), which encouraged higher gold deliveries.
How many tonnes of gold did you deliver to Fidelity Gold in 2023 and what are your projections for 2024?
In 2023, we delivered 13 tonnes of gold to Fidelity Gold Refinery (FGR). Our projections for the 2024 year, are to deliver 20 tonnes of gold.
What is the biggest advantage of investing in Zimbabwe’s gold sector?
One of the biggest advantages of investing in Zimbabwe’s gold sector is its investor-friendly operating environment. Not only does the government support investment in the sector, but investors also have the opportunity to participate in the entire gold supply value chain, from mining to refining and producing value-added products.
Is it possible for foreign companies to buy gold in Zimbabwe by partnering with you as a top gold trader in the country?
Yes, foreign companies can buy gold in Zimbabwe and partner with Betterbrands Investments. At Better Brands, we facilitate the buying and exporting of gold to foreign destinations through Fidelity Gold Refinery (FGR).
What is your advice to those interested in investing in the country’s gold industry?
My advice to those wanting to invest in Zimbabwe’s gold industry is that now is the right time to do so. The government is supportive of investment in the gold mining industry and associated downstream industries. There are also incentives offered to formal gold producers. These factors create a favourable climate for investment in the sector.
What is the potential of Zimbabwe’s gold industry, in terms of growth? Where do you see it in the next 5 years?
The potential for growth in Zimbabwe’s gold industry is significant, with a projected capacity to produce 65 tonnes of gold per annum in the next 5 years. This highlights the country’s ability to increase production and become a major player in the global gold market.
During the previous term of government, it was projected that the gold industry would reach a US$4 billion milestone annually. Why do you think the vision was not achieved?
The vision of reaching a US$4 billion milestone annually for the gold industry was not achieved due to limited access to fresh capital caused by economic sanctions imposed on the country. These sanctions hindered the investment flow into Zimbabwe, making it a challenge to meet the ambitious target.
Some say Zimbabwe is a bad investment destination. Give us five reasons why this is a misconception.
Contrary to misconceptions, Zimbabwe is not a bad investment destination. There are several reasons supporting this:-
- Government policies are supportive of investments in all sectors of the economy.
- There is an availability of educated manpower that can easily be trained.
- Various incentives are offered by the government to different sectors.
- Foreign Direct Investment (FDI) has been reduced due to economic sanctions imposed on the country, but this does not discredit other investment opportunities.
- New massive projects are being commissioned in various sectors of the country’s economy.
Can you explain the core business activities of Better Brands Investments?
Better Brands Investments is primarily involved in gold buying and exporting to foreign destinations through Fidelity Gold Refinery (FGR).
What is the company’s strategy for mining and trading in Bullion and other commodities?
Our strategy for mining involves going underground and enhancing assistance to ASM sector players to ensure efficient and effective gold extraction. In terms of trading, we continue to mobilize gold by establishing gold-buying centres accessible to ASMs. We also plan to expand our gold buying footprint by establishing centres in all gold activity areas.
How does Better Brands Investments ensure transparency and accountability to its clients?
Better Brands Investments ensures transparency and accountability to its clients by conducting all activities per regulatory authorities’ requirements. All transactions and documentation are properly approved and documented, creating a transparent and accountable process.
Can you provide examples of the innovative solutions offered by Better Brands Investments?
Some examples of the innovative solutions offered by Better Brands Investments include:
- Providing mining inputs such as fuel and chemicals to ASMs.
- Offering mining equipment to miners under a loan scheme.
- Facilitating the purchase of inputs in local currency to prevent ASMs from engaging in informal markets.
Can you provide examples of the innovative solutions offered by Better Brands Investments?
- Innovative solutions offered by Better Brands Investments are as follows:
- Providing ASMs with mining inputs such as fuel and chemicals.
- Availing mining equipment to miners under a loan scheme.
- Facilitating the purchase of inputs in local currency, thus ensuring ASMs do not dispose of local currency on the informal market.
Safety has become a concern in the ASM industry lately. What should be done to ensure ASMiners take safety seriously? What should you, as miners, do to guarantee the safety of your workforce?
- Awareness campaigns on health and safety.
- Coming up with safety awards given to exemplary ASMs.
- Regular inspection of the operations of ASMs.
- Developing smart partnerships between ASMs and Large-scale mines that babysit the ASMs, thus enhancing knowledge and understanding of safety issues.
Most gold buyers fail to have their licenses renewed after failing to meet set targets. Where do you think buyers get it wrong, and how can a new buyer avoid making the same mistake?
Like with any relationship, it is of paramount importance that gold-buying permit holders regularly communicate with Fidelity Gold Refinery about the challenges they would be encountering in buying gold, to avoid last-minute surprises. One must avoid trying to bring forth challenges when it comes time for renewal.
Tadiwanashe wishes to venture into gold buying but has limited capital. What’s your advice to him to make it in the gold-buying industry?
Gold buying is a relational business. Strong relationships with the ASMs are crucial for one to be able to mobilize as much gold.