Zimbabwe deploys gold mobilisation taskforce

Authorities have deployed a national gold mobilisation taskforce to Zimbabwe's eight mining provinces in a strategic move to increase gold deliveries to Fidelity Printers and Refineries (FPR). This initiative is part of the government's efforts to ensure that all gold produced in the country is accounted for and delivered through official channels.

The taskforce, a collaborative effort involving the country's security apparatus and the Ministry of Mines and Mining Development, was sent off during a workshop in Harare. Its primary objective is to monitor and ensure compliance with gold delivery processes from artisanal and large-scale miners.

Speaking at the event, Mines and Mining Development Minister Winston Chitando highlighted the growing global demand for gold, citing its role as a safe asset amidst economic and geopolitical uncertainties. He noted that the price of gold had surged from around US$1,900 in September 2023 to US$2,500 currently, which increases the importance of ensuring all gold produced is properly accounted for.

"With the rising global demand, we want to ensure that all the gold we produce finds itself through the rightful channels, and that's really the basis of this exercise," Chitando said.

Chitando praised the contribution of artisanal miners, who have played a pivotal role in helping Zimbabwe meet its national gold targets. However, he emphasized the need for responsible mining practices to ensure safety and sustainability in the sector.

"Currently, as of the end of August, we are about 70% above target, so we are on course to meet the national goal. But our aim is not just to meet the target - we want to exceed it significantly," Chitando added.

One of the main challenges facing the industry is the issue of illegal mining practices and side-market gold sales, which hinder the sector’s potential. Chitando stressed the importance of adhering to the country’s mining laws and curbing leakages that divert gold to unregulated markets.

"For the year 2023, gold deliveries to Fidelity stood at 30.1 tonnes, and our target for 2024 is 35 tonnes. From January to August this year, we delivered 20.7 tonnes, compared to 19.3 tonnes during the same period last year, which is a 7.2-tonne increase," Chitando said.

He also shared promising statistics on gold production, noting that large-scale miners had delivered 8.5 tonnes of gold to Fidelity this year, up from 7.7 tonnes in 2023, representing a 10.4% increase. Meanwhile, small-scale miners saw their deliveries rise from 11.7 tonnes to 12.1 tonnes, marking a 3.4% increase in output.

The government is optimistic that the taskforce’s efforts to crack down on illegal mining practices and side-market sales will further enhance gold deliveries, helping the country exceed its targets.