The Zambian government plans to come up with a local content strategy aimed at encouraging mining firms to buy equipment and other supplies from local firms, a senior official said Wednesday.
Minister of Mines and Minerals Development Christopher Yaluma said the strategy will see more local firms benefiting from foreign mining firms and allow the country to get enough foreign exchange it requires.
The minister, speaking at the ongoing Copperbelt Agriculture, Mining and Industrial Expo in the city of Kitwe, added that the strategy is also aimed at discouraging mining firms from importing most of the things they need in their operations, according to state broadcaster, the Zambia National Broadcasting Corporation. ( There have been growing concerns over the decision by foreign mining firms who prefer dealing with foreign suppliers in Africa’s second largest copper producer.
Last month, the Zambia Consolidated Copper Mines Investment Holdings, an entity that holds shares in all mining firms on behalf of the government, revealed that out of 2.8 billion U. S. dollars spent by mining firms on procurement of goods and services, only 4 percent was spent locally.
Pious Kasolo, chief executive officer of the entity said Zambia was exporting 100,000 jobs through the trend of mining firms preferring to import the bulk of their supplies and services. Enditem