By: Ollus Ndomu
A fresh report on mineral smuggling in Zimbabwe shows that the country is losing 70% of its gold through smuggling, a scourge feeding cheaply international markets.
A report titled, ‘Illicit Gold Markets in East and Southern Africa’ and organized by the Global Initiative Against Transnational Organised Crime’s has revealed that 10% to 30% of authorised buyers still selling bullion to government Fidelity Printers and Refiners (FPR) are doing this only to keep their licences.
The report says about 50% of Zimbabwe’s 1,5 (estimated) million artisanal and small-scale gold miners (ASGM) have been smuggling this precious metal.
Half of Zimbabwe’s annaul traded gold is produced by small scale miners which the report implicates in the latest unearthed syndicate.
“Gold buyers revealed in interviews that they were selling between 10 and 30% of their gold to the FPR only to maintain their gold licences, with the rest being sold on the illicit market.
“Major foreign buyers, often from South Africa, partner with Zimbabwean dealers to buy large quantities of gold on the illicit market.
“While Bulawayo’s reach is limited to gold mined in areas close to the town, Harare attracts gold from across the country.
“Bulawayo buyers are generally less well-resourced and lack the US dollar buying power of their Harare competitors.”
Global Initiative adds, “Miners or buyers may also take gold directly to South Africa, especially from Matabeleland province in the south.”
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