Dubai Zimbabwe's second-largest gold market

THE United Arab Emirates (UAE) has consolidated its position as Zimbabwe's second-largest export destination as gold shipments to the region continue to grow, a new report by the country's statistical agency has shown.

As the global economy continues to face headwinds caused by Russia's invasion of Ukraine, commodity prices of minerals such as gold have firmed. According to the Zimbabwe National Statistics Agency External Trade Report for April published this month, bullion exports continue to drive exports.

This comes as relations between Harare and the UAE continue to grow as investors from the oilrich region renew their interest in the southern African nation.

ZimStat produces the monthly summary of external trade statistics report using data on merchandise statistics from the Zimbabwe Revenue Authority (Zimra) and secondary statistics from companies and trade organisations.

 This report shows monthly exports and imports by broad economic categories such as food and beverages, industrial supplies, fuels and lubricants, capital goods, transport equipment, consumer goods and goods not elsewhere classified.

Data for April 2022 shows that Zimbabwe's main exports were semi-manufactured gold (30.1%), nickel mattes including platinum group of minerals (PGMs) (22.8%), nickel ores and concentrates (14.7%), tobacco (11.5%), industrial diamonds (5.0%), ferro-chromium (4.7%), platinum unwrought or in powder form (2.4%) and coke and semi-coke (1.4%).

 The report also shows that during the month of April 2022, the country exported 2 963 kilogrammes of semi-manufactured gold valued at US$176.9 million, compared to 2 200 kilogrammes valued at US$135.5 million in March 2022.

 In the same month of April 2022, the country exported 1 150.1 tonnes of nickel mattes valued at US$133.9 million, compared to 1 009.5 tonnes valued at US$110.2 million in March 2022. Besides the major minerals usually exported, Zimbabwe also exported 103 kilogrammes of industrial diamonds valued at US$29.2 million in April 2022, compared to 148 kilogrammes valued at US$45.2 million in March, 2021.

 "South Africa remained Zimbabwe's major trading partner. In April 2022, exports to South Africa were 40.6% compared to 42.9% in March 2022. Exports to the UAE constituted 34.1% in April 2022 compared to 31.3% in March, 2022. Value of exports to China increased to 9.9% in April 2022, from 5.9% in March the same year. Exports to Mozambique constituted 4.3% in April 2022, being a decline from 7.1% in March 2022. The proportion of exports to Belgium was 1.2% in April 2022, compared to 2.1% in March, 2022," the report reads.

 "The proportion of imports from South Africa was 43.8% in April 2022, compared to 42.0% in March 2022. Furthermore, the proportion of the value of imports from Singapore increased to 16.4% in April 2022, compared to 12.6% in March 2022. Imports from China increased to 13.6% in April 2022 from 11.6% in March 2022. Other imports in 2022 came from Mozambique (2.8%), Mauritius (2.6%), India (2.4%), (United Emirates (1.4%), Zambia (2.6%), United Kingdom (1.2%) and United States (0.7%)."

Zimbabwe's major imports remained mineral fuels and mineral oil products which stood at 22.1% in April 2022, compared to 17.1% in March 2022.

This was followed by machinery and equipment at 13.1% in April 2022. Other imports in April 2022 included vehicles (8.3%), electrical machinery (4.9%), plastics (4.5%), cereals mostly rice (3.6%), animal and vegetable oils and fats (2.8%), pharmaceuticals (2.7%), paper and paper products (1.9%), and fertilizers (1.6%).

Notably, major imports in Zimbabwe were aggregated to reach 91.5% in April 2022. Cereal imports including maize increased from 1.7% in March 2022 to 3.6% in April 2022.

Rice, which comprised the bulk of cereal imports, constituted 1.3% in March 2022 compared to 2.5% in April, 2022. Nickel matte and concentrate undergo further processing before re-export.