A consortium of Zambian suppliers in the Copperbelt and North Western Provinces has announced plans to stage a protest over alleged unfair business competition at Lumwana Mine in the North Western Province.
Consortium Secretary Kazhila Samukonga has charged that there are cartels at Lumwana Mine by foreign suppliers that are disadvantageous to local suppliers.
Mr. Samukonga said local suppliers want their concerns over the manner in which business is being done at Lumwana to be addressed by the authorities swiftly.
He said Zambian companies are not benefiting from the mining industry because foreign investors have formed cartels to externalise all the funds from the sector.
Mr. Samukonga further revealed that suppliers will further file a court injunction to restrain a firm operating as Kalonga Logistics Ltd from doing business at Lumwana in an unfair manner that is disadvantageous to local firms.
“We feel let down over various concerns we have been raising regarding business in the mines especially those in the North Western and now we are planning a protest. We want to know why Lumwana has brought in Coventry International Ltd trading as Kalonga Logistics to be a sole supplier to them. Coventry International is TradeCorp Affiliated. These and other concerns must be investigated immediately, or else there would be nothing for Zambian suppliers,” he said.
Meanwhile, the consortium has written to the Immigration Department requesting it to investigate a suspected case of non adherence to employment permits by named foreign nationals at Lumwana Mine.
A letter addressed to the Director General of the Immigration Department dated 8th August, 2023 stated in part:”We want to draw your attention to the fact that the aforementioned individuals received work permits to work as the procurement managers at Golden Camp Solution Ltd in Lumwana. However they now work as the Site liaison officers for TCL Supply Chain International in the commercial office at Lumwana, and one official enters the building as a representative for Coventry International Ltd, a foreign company that does business in Zambia as Kalonga Logistics Ltd.”
“You should be concerned about this, as these corporations have organized a cartel in Lumwana to prevent Zambian suppliers from receiving jobs or contracts there. Does the permission allow this named individual to use the same permit to operate at Golden Camp and TCL International? You should also be aware that the aforementioned businesses are Zambian supplier’s rivals, which explains our interest,” the suppliers wrote.
What kind of a country is this where citizens are treat like trash over foreigners why cant we be like Botswana and Namibia these countries always put their citizens first over any foreigner do we any leadership in Zambia i doubt.
How much are they paying you for risking your life in protests?
Present the facts not just shouting and protesting. What are the reasons that local suppliers are being sidelined and are they genuine or deliberate.
I tend to agree with your observation Razor. We have so called Zambian suppliers who are just good at complaining when they provide shoddy services. Just today a Zambian agent for a gas supplying company was not available at the outlet where people purchase the gas. Next you will hear that the gas company doesnt want to work with Zambian agents and a protest will be organised. Zambian suppliers should up their work ethics so as to compete at the international level. In a modern business environment dont expect business for shoddy work!
The proposed amendment to the Public Procurement Act of 2020 seeks to remove the need for local participation in public tenders. Currently, if an international company wants to supply products and services, they need to partner with locals with at least 20 percent shareholding. This government wants to remove that provision.
Spread the word please!
Lumwana mine for years has been known for such tendency of bringing foreigners in disguise, to work in Zambia & once they get permits they change the positions. The Cartels are there and am one of those victims who experienced such nonsense. They would even engage an Indian to provide bread and buns that can be produced by a local Bakery.