Chinese businesses in Zambia laud establishment of minerals regulation body

LUSAKA, Feb. 3 (Xinhua) -- Chinese businesses in Zambia on Friday welcomed the government's decision to establish the Minerals Regulation Commission, an independent mining regulator, saying it will go a long way in improving operations in the mining industry.

Li Tie, the president of the Chinese Chamber of Commerce in Zambia (CCCZ), said the establishment of the commission was welcome as it will address many issues such as production reporting, mineral content analysis, illegal mining and illicit trade on minerals.

In remarks delivered at a national symposium on the 2023 economic performance, the 2024 budget as well as economic outlook, Li said it was the hope of Chinese businesses in Zambia that the commission will also ensure the speedy processing of mining licensing.

"Government may also consider intervening by making sure that this important institution is set up and becomes operation in the first quarter of the year," he said.

The Zambian has decided to establish the commission as part of reforms in the mining sector and to bolster regulation of the sector.

Li further welcomed the government's decision to conduct mineral aerial surveys to ascertain the availability of minerals in the country, saying it will reduce cost on would-be investors on exploration expenses.

According to him, the decision was a positive development which will have a positive impact in the mining sector.

He however expressed concern over the government's directives that exploration or mining licenses will not be transferred or sold to foreign entities.

"We suggest that government may intervene by finding a workable solution where both foreign and local investors may co-exist," he added.

Meanwhile, the Chinese businesses have welcomed the government's plans to introduce various incentives in multifacility economic zones in the country.

Li said the introduction of various incentives in multi facility economic zones were important and progressive precursors to economic development.

The government has decided to introduce various incentives in multi facility economic zones in order to attract more investors.

Among the incentives include harmonizing and reducing land rates levied by local authorities, introduction of automatically guaranteed quotas for expatriate employees at whatever level, provide for the extension of the validity period for the customs duty incentives accessible by a developer of a multifacility economic zone for five years, among others.