By Mercy Chewe
A consortium of Zambian suppliers in the Copperbelt and North Western Provinces has supported the Government’s plan to repeal the Mines and Minerals Development Act No. 11 of 2015.
According to acting Chief Government spokesperson Mike Mposha, the current Legislation is inadequate in dealing with many issues related to increase in illegal mining activities, environmental degradation, and poor occupational health and safety standards.
Consortium Secretary Kazhila Samukonga has declared that local suppliers are expecting the new Mines and Minerals Development Act to empower them.
Mr. Samukonga said the updated legal framework should help to stop foreign firms from disadvantageous local suppliers when it comes to getting business from mining firms.
He charged that foreign firms have been forming cartels in the mining sector to disadvantage local suppliers and contractors.
“We are very much aware as suppliers that a Monster Cartel is being formed by Golden Camp Solution, Kalonga Logistics, and TCL (TradeCorp) at a known mine in the Kalumbila District. Now that the 2015 Mines and Minerals Development Act has been officially abolished to make room for the creation of a Minerals Authority to oversee the mining industry, we can finally rejoice. This has been repealed to make room for the Regulatory Board and several other organizations to control the Mining Sector. In light of this, we would like to congratulate the minister of mines for his tenacious defence and commitment to his word. We anticipate having it deployed successfully,” Mr. Samukonga said.
Cabinet has approved in principle the introduction of a Bill in Parliament to repeal the Mines and Minerals Development Act No. 11 of 2015.
Mr. Samukonga said no foreigner should conduct business directly with the mines without a local intermediary.
“As for the mine suppliers and contractors, bravo for sticking with it; I believe this will place you in an excellent position to negotiate with the mine houses under legal rather than current lobbying conditions. Please don’t fall asleep, suppliers and contractors; this is the ideal opportunity to deal with the cartels described above. Zambia has permitted competition, but cartels have profited from the law’s flaws. The local content legislation will no longer permit cartels. This is our opportunity as Zambians to follow the example of the Congo DR, where local and foreign businesses collaborate to deal with the mines. In the DRC no foreigner can conduct business directly without a local intermediary. Zambian, get up and refuse Kalonga logistics and Tradecorp cartelism.”
“The Mining PS and Mining Minister must question the known mine about the Three Musketeers. Zambian suppliers and contractors want to make it known that it’s unacceptable and won’t allow it under any circumstances. Undoubtedly, the three companies have a plan that they best know. On our watch, they want to have control over the mine’s supply chain. This should not take off because it is unacceptable.The current litmus test for our government is the question of living expenses and local content in the supply chain,” he remarked.
“We want to address the Mines and Commerce Ministers directly on this matter, which we strongly feel falls under their authority. We need the government to take a stand on Kalonga Logistics, Tradecorp, and Golden Camp, the three Musketeers. This is an extremely hot topic in the Copperbelt and North Western, let’s face it. It must be resolved right away. The Three Musketeers are a cartel because there is only one person in charge of them. Why have you not sounded out the warning to the investor on the matter by now? Since there is traceable evidence on the individual controlling the 3 companies, why not ask them their intended plans.Zambians are alert and watching,” he concluded.
