PRESIDENT Rupiah Banda has directed Konkola Copper Mines (KCM) and other mine managements in the country to quickly resolve outstanding differences with local suppliers over delayed payments.
And the president has challenged the private sector to take up the challenge and establish industries that will add value to copper products.
Mr Banda said he had received numerous complaints from local suppliers over delayed payments by the mines.
He said given the small size of operations of most suppliers, the situation had negatively impacted on their ability to expand their businesses.
“On several occasions, I have received complaints from the suppliers to the mines of delayed payments. Given the small size of operations of most suppliers, this has negatively impacted on their ability to expand the businesses. In this regard, I am urging the management at KCM and other mines to quickly resolve any differences that you may be having with the suppliers,” Mr Banda said.
The president said this when he officially commissioned phase one of the Konkola Deep Mining Project (KDMP) and the Nchanga smelter in Chililabombwe yesterday.
He also urged the mine management to continue working with the suppliers to develop their capabilities to supply not only the required quantities at the right time but also the right quality.
Mr Banda who was flanked by Mines Minister Maxwell Mwale, parliamentary chief whip Vernon Mwaanga, Commerce, Trade and Industry Deputy Minister, Lwipa Puma and other high ranking Government officials, said the challenge that remained in the sector was value addition.
While annual copper production was increasing, there was very little progress being made to add value locally to the commodity to enhance the benefits accruing to the nation.
[pullquote]The president praised KCM for committing $17.5 million for the development of Mulungushi University into the third public university as well as the awarding of 18 scholarships tenable at top Indian universities at which young Zambians would undertake studies in degree programmes.[/pullquote]
Export of copper ore means export of thousands of jobs meant for thousands of Zambians and therefore urged the private sector to take up the challenge and establish industries that will add value.
Mr Banda said there were still challenges in establishing industries that would provide the mining sector with the materials they required in the production process and it was an opportunity for the private sector to establish industries to support the mines.
“We also still face challenges. Again this is an opportunity for the private sector to establish industries to support the mines,” the president said.
The mining sector remains Zambia’s key source of economic growth contributing close to 15.9 per cent of the total GDP in 2009.
The president expressed concern that mining companies still had high production costs.
The president said, in addition, the Government would like to see continued expansion of mining activities through exploration and infusion of modern and state-of-the-art mining and metallurgical processing technologies.
On safety, Mr Banda said issues of environmental protection were still a matter of great concern to the Government and urged all mining companies to invest in improving safety and protecting the environment.
The president praised KCM for committing $17.5 million for the development of Mulungushi University into the third public university as well as the awarding of 18 scholarships tenable at top Indian universities at which young Zambians would undertake studies in degree programmes.
[Times of Zambia]
Modus operandi: “the president has directed….., the president has ordered…., the president has instructed…” Evreything wait for the president to order , instruct or direct!! Are there an policies existing??? Shame!!!!!!!!!
The man is rabid
Jack of all trades and MASTER OF NONE. This Unipist is in overdrive. UNIP OYEE – Uwakana xxxx
We need deliberate policies to safe-guard the interests of the small entrepreneur against the big players in the industry.
There is no need for the President becoming the debt collector on behalf of small businesses.
RB reminds me of the days when the news on ZNBC during Kaunda’s rule always started with the words “President Kaunda said “-trying to brain wash peolple to start thinking that he has answers to all problems .The man is exhausted , he needs to go back to his dry Farm and look at his chickens or goats passing by while he sits under a tree
:d:o:((2011 is nearly here and Bwezani Banda wants to capture CB votes from surpliers. We know what he is up-to. A whole president receiving complaints about surpliers not being paid?? Ha!! Find something better to do Mr President. Solve big things for the people of Z.
Well said number one! All systems are in hibernation in our country,we need someone to jumpstart the whole system.We have resources as a country but they are not used effectively because those in lead are clueless and it’s because they don’t want to learn and understand.
Well said RB, please ensure that the winfall tax on copper is considered so that the natiion benefits just like the suppliers and contractors would.
There was no mention in the late leaders will on taxes. so bwezani can`t continue that legacy.sorry guys just wait for 2011.
Yes we need policies not directives into place even a constitution without loopholes if we can develop, without which we are doomed,for leaders will continue to steal with impunity. that is why mwanawasa fought it tooth and nail that it doesnt work,hence here we are again Jesus said there is noone who is good but God alone