Business / Companies
ZMDC seeks sanctions clearance
17 May 2018 at 02:05hrs | Views
THE Zimbabwe Mining Development Corporation (ZMDC) has high hopes that international re-engagement efforts by the new political dispensation will result in removal of sanctions on affected public entities and enhance increased trade.
In 2013, the European Union (EU) agreed to lift the illegal sanctions it imposed on ZMDC in 2001 after the country embarked on the Land Reform programme in 2000. ZMDC acting general manager, Mr Garikayi Chimhina, said the illegal sanctions imposed on his company by the EU were negatively affecting their performance.
"We are in serious anticipation that they (EU) are likely to hear our President (Emmerson Mnangagwa). He has gone to different foras and has indicated that he is willing to reverse whatever wrong or negative that was done, which caused us to be on sanctions.
"As a company we have suffered, the reason why people talk about ZMDC as non-performers is because they do not know the internal part of ZMDC, which makes it suffer," he said.
Since coming into power in November 2017, the new Government led by President Mnangagwa has embarked on a re-engagement drive with the international community to attract the much-needed foreign direct investment.
Mr Chimhina said unlike some local mining houses, ZMDC was not able to make offshore transactions due to the embargo imposed on the company.
"ZMDC cannot make a transaction across boundaries. If that money tries to go to South Africa to buy equipment or to any other destination, we lose it through sanctions.
"So we are more local yet we are international. For example, if right now ZMDC wants to buy a ball mill from China, somehow we must find a proxy and as long as its discovered that this proxy is ZMDC related, the money is taken," he said.
"And we are saying we have suffered enough, we embrace the new political dispensation especially their policy (on re-engagement with the international community)."
As part of efforts to improve its operational capacity, the State enterprise was seeking joint venture partnerships with local and foreign investors to resuscitate its defunct gold and graphite mines that include Sandawana, Jena, Elvington and Lynx.
In 2013, the European Union (EU) agreed to lift the illegal sanctions it imposed on ZMDC in 2001 after the country embarked on the Land Reform programme in 2000. ZMDC acting general manager, Mr Garikayi Chimhina, said the illegal sanctions imposed on his company by the EU were negatively affecting their performance.
"We are in serious anticipation that they (EU) are likely to hear our President (Emmerson Mnangagwa). He has gone to different foras and has indicated that he is willing to reverse whatever wrong or negative that was done, which caused us to be on sanctions.
"As a company we have suffered, the reason why people talk about ZMDC as non-performers is because they do not know the internal part of ZMDC, which makes it suffer," he said.
Since coming into power in November 2017, the new Government led by President Mnangagwa has embarked on a re-engagement drive with the international community to attract the much-needed foreign direct investment.
"ZMDC cannot make a transaction across boundaries. If that money tries to go to South Africa to buy equipment or to any other destination, we lose it through sanctions.
"So we are more local yet we are international. For example, if right now ZMDC wants to buy a ball mill from China, somehow we must find a proxy and as long as its discovered that this proxy is ZMDC related, the money is taken," he said.
"And we are saying we have suffered enough, we embrace the new political dispensation especially their policy (on re-engagement with the international community)."
As part of efforts to improve its operational capacity, the State enterprise was seeking joint venture partnerships with local and foreign investors to resuscitate its defunct gold and graphite mines that include Sandawana, Jena, Elvington and Lynx.
Source - chronicle
