By Josephine Mugiyo, Diplomatic Correspondent
PRESIDENT Emmerson Mnangagwa says strategic partnerships are key for the mining sector to unlock its full potential.
He was speaking at the signing ceremony of the addendum to the Memorandum of Understanding between the government of Zimbabwe and Tshingshan Holdings at State House in Harare this Tuesday evening.
The mining sector remains key in the country’s quest to achieve an upper-middle-income society by 2030 and several initiatives are being implemented to unlock value in the sector.
In 2018, the government of Zimbabwe and Tsingshan Holdings signed a memorandum of understanding for the establishment of the Manhize Carbon Steel plant.
With the implementation of the project already underway, an addendum to the initial MOU was incorporated this Tuesday evening to pave way for the expansion of mining and other related activities being carried out by Tshingshan holdings.
President Mnangagwa, who witnessed the signing ceremony of the addendum to the MOU, stressed the importance of strategic partnerships in the mining sector given the huge capital required.
“Given the capital-intensive nature of mining as well as the need to consolidate the gains recorded in the sector, the consideration of joint efforts towards building long-term and strategic partnerships remains critical. In light of this, my government is committed to supporting and facilitating efforts by both local and global investors as we continue to build the modern and industrialised Zimbabwe we want brick-by-brick Zimbabwe to remain open for business,” he said.
Having led the ground-breaking ceremony at the Manhize Steel plant in October this year, President Mnangagwa says it is encouraging to note that Zimbabwe will be producing steel to meet local requirements and supply the international market.
“It is encouraging that Tshingshan holding will be producing steel enough to satisfy local and regional markets as well as for exporting to international markets. Hence the development of the steel industry in Zimbabwe is set to contribute to the built environment while giving impetus to the accelerated sustainable socio-economic growth of Thsingshan holding group will help drive the regional and continental modernisation and industrialisation agenda,” he said.
Captains of industry were also reminded to work together with foreign investors.
“I would like our captains of industry who are here who will be contacted by Tsingshan to do your best to cooperate, I must not force you to corporate,” he added.
The several joint ventures across multiple sectors are a result of the second Republic’s engagement and re-engagement drive.
The mining sector continues to score major milestones through the expansion of operations at already existing mines and the setting up of new ones.
Earlier this month, President Mnangagwa officially commissioned a central shaft at a Blanket mine in Gwanda which will increase gold output.
The establishment of the Sabi Star lithium mine in Buhera will also propel the mining sector towards achieving set targets.