Source: Caught red-handed — Government finally explains why it had to ban all raw mineral & lithium exports
In an explosive revelation, authorities have admitted that traffickers have been exploiting loopholes in the system, allowing truckloads of high-value resources to slip through border posts while being falsely labelled as a single, less-regulated mineral. This practice has allowed smugglers to bypass strict export restrictions, dodge massive tax bills, and conceal the presence of a cocktail of precious elements destined for foreign processors.
The Ministry of Mines and Mining Development has lifted the lid on the cunning scheme, explaining that Zimbabwe’s geology is both a blessing and a target. Permanent Secretary Mr Pfungwa Kunaka laid bare the details, stating that the suspension, announced last week by Minister Dr Polite Kambamura, is a necessary measure to force proper processing on home soil.
“Our ores are multi-mineral in nature and bear more than one element. Therefore, the suspension will enable us on a whole-of-Government basis to ensure our policies and measures are complied with, particularly our thrust on value addition and beneficiation of our minerals,” said Mr Kunaka.
He explained that a single consignment of rock, declared simply as “lithium ore,” could actually be teeming with valuable by-products like tantalum, tin, or even rare earth elements. By exporting it raw and undeclared, Zimbabwe was effectively giving away these bonus minerals for free, losing out on billions in potential revenue.
“The statement made it clear export processing of all materials (including those) in transit was suspended, as long as it had not left our borders when the statement was made. This affected not lithium alone but others. Where there was lack of clarity, the ministry followed up to clarify,” Mr Kunaka added.
The government insists that through proper beneficiation — which involves crushing, milling, and chemical separation — Zimbabwe can finally quantify, tax, and sell each individual mineral component at its true market value, rather than accepting pittance for unprocessed bulk rock.
The era of easy exports is over. Mines and Mining Development Minister Dr Polite Kambamura issued a stark warning to the industry, making it clear that the “national interest” now trumps corporate convenience. The government is erecting a fortress of red tape to ensure no grain of sand leaves the country without proper scrutiny.
Minister Kambamura directed the Zimbabwe Revenue Authority (Zimra) and the Minerals Marketing Corporation of Zimbabwe (MMCZ) to immediately block all shipments lacking valid permits. He stressed that only those with skin in the game will be allowed to play.
“Government expects cooperation of the mining industry on this measure which has been taken in the national interest,” said Dr Kambamura.
Under the new hardline stance, only mining companies that hold valid mining titles and have operational, government-approved beneficiation plants will be authorised to ship minerals out. Middlemen, agents, and third-party traders are now completely barred from the export game.
Exporters must now secure a recommendation letter from their Provincial Mines Office. This letter must confirm the company’s capacity for value addition and prove they are compliant with all regulations. Crucially, every single consignment must undergo rigorous testing to provide a full declaration of its mineral composition, backed by weight checks to catch any attempt at underhanded dealings.
This sweeping suspension is not a random policy shift, but the culmination of a furious government investigation sparked by a discovery at the Port of Beira in Mozambique. In January, authorities were alerted to massive stockpiles of Zimbabwean mineral ores sitting at the Mozambican port, sparking fears of a grand smuggling operation.
Deputy Chief Secretary in the Office of the President and Cabinet, Mr George Charamba, confirmed that the discovery had prompted President Mnangagwa to order an immediate and comprehensive investigation.
“In terms of Government policy, I wish to remind everyone who is involved in mining, as well as our law enforcement agencies who man our ports of entry, that Government took a position of slapping a blanket ban on the exportation of mineral ore with a view to ensuring that there is greater value addition activity on our minerals,” Mr Charamba stated at the time.
He pointed out that while lithium was previously granted a temporary exemption to allow companies like Prospect Lithium Zimbabwe and Bikita Minerals to build processing plants, that grace period was being exploited.
“In the event that the stockpiles in Beira are found to relate to minerals to which this ban applies and that they found their way beyond our territory without the necessary permission, Government, working closely with the sister Republic of Mozambique, will ensure that the bridge is repaired swiftly and without fear or favour,” he warned.
With over US$1 billion (approximately R18.4 billion) already invested in local lithium processing plants, some of which are slated to open next year, the government is signaling that the era of raw mineral exports is ending.
President Mnangagwa has consistently hammered home the message that while minerals account for over 60 percent of the nation’s exports, shipping them out raw is a fool’s errand that starves the country of jobs and industrial development. -iHarare
The post Caught red-handed — Government finally explains why it had to ban all raw mineral & lithium exports appeared first on Zimbabwe Situation.
